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	Judge Allows Challenges to Church Property in Abuse Suits Associated Press, carried in Mercury News June 8, 2007 http://www.mercurynews.com/news/ci_6094495?nclick_check=1 San Diego — A federal bankruptcy judge has ruled that plaintiffs suing the Roman Catholic Diocese of San Diego on sex abuse claims will be permitted to challenge property deals and other financial transactions between the diocese and parishes. Thursday's ruling by Judge Louise DeCarl Adler could add millions in real estate assets to the diocese estate, expanding the pool of money available to settle more than 140 claims from people who say the church did nothing to stop priests from sexually abusing them as children. Those lawsuits were suspended after the diocese filed for Chapter 11 bankruptcy protection in February. Church officials reiterated in parish bulletins on Sunday their claim that they have not been hiding or illegally transferring assets. Attorneys representing more than 140 people who have sued the diocese claiming sexual abuse by priests have repeatedly accused the diocese of attempting to shield assets by transferring money to parishes and schools. The diocese filed for bankruptcy protection Feb. 27. Church officials have offered about $95 million to settle the claims. Plaintiffs' attorneys say a fair settlement would provide about $200 million to victims, which would be a record for diocesan settlements. The San Diego diocese is the largest of five Catholic dioceses around the country to seek bankruptcy protection. Last week, the diocese in Spokane, Wash., joined dioceses in Portland, Ore., and Tucson, Ariz., in emerging from bankruptcy. The Davenport, Iowa, diocese is still in Chapter 11 proceedings.
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