Title: San Francisco Catholic Archdiocese Contemplates Bankruptcy Amidst Mounting Child Abuse Claims
The Catholic Archdiocese of San Francisco is considering filing for bankruptcy protection in light of numerous child sexual abuse claims that have been filed against it. In a recently posted letter to parishioners on the archdiocese’s website, Reverend Salvatore J. Cordileone expressed that a Chapter 11 bankruptcy reorganization appears to be highly likely.
Rev. Cordileone explained that pursuing Chapter 11 bankruptcy would allow the archdiocese to restructure its financial affairs while continuing to carry out its essential ministries and services to the faithful and the communities reliant on its charitable contributions. To settle claims under a 2002 state law, the archdiocese has already sold surplus properties and utilized insurance funds, paying approximately $68 million to around 100 plaintiffs, according to the archbishop.
However, in 2019, the state lifted the statute of limitations, allowing approximately 500 additional sexual abuse claims to be filed against the Catholic Archdiocese. The immediate need for bankruptcy protection arises from an impending trial for one of the initial cases, scheduled by the presiding judge.
Rev. Cordileone highlighted the challenges the archdiocese faces in defending itself against the lawsuits. He noted that the majority of the alleged abuse occurred several decades ago, primarily during the 1960s, 1970s, and 1980s, involving deceased priests or individuals who are no longer part of the ministry. Furthermore, a significant number of claims involve either unnamed individuals or individuals unknown to the Archdiocese.
It’s important to note that a potential bankruptcy filing would only encompass the legal entity known as The Roman Catholic Archbishop of San Francisco, a Corporation Sole. Reverend Cordileone assured the public that the operations of parishes, schools, and activities within the archdiocese would continue undisturbed.
Expressing deep sadness over the heinous acts perpetrated against innocent children and the ensuing damage, Cordileone emphasized the daily prayers offered for the survivors, hoping they will find peace.
However, the Survivors Network of those Abused by Priests (SNAP) criticized the proposed bankruptcy, implying that it is an attempt to protect secrets and reduce compensation for the victims. SNAP alleged that the Archdiocese of San Francisco likely possesses adequate assets to settle the lawsuits. The organization further stated that San Francisco is one of the few dioceses that has not released a list of abusers and cautioned that publishing such lists could expose new perpetrators from the concealed records.
This news has prompted a call for transparency and accountability within the Catholic Archdiocese of San Francisco. The survival and recovery of victims, as well as the restoration of trust, are pivotal considerations as the archdiocese grapples with the impact of these child abuse claims.