The News Journal
April 1, 2011
http://www.delawareonline.com/article/20110112/NEWS01/101120352/0/communities10/Victims-say-diocese-s-new-plan-falls-short?odyssey=nav|head
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| Wilmington Bishop Francis Malooly is hoping for a global settlement. |
WILMINGTON -- Survivors of sexual abuse and attorneys representing them blasted the latest Roman Catholic Diocese of Wilmington bankruptcy plan on Tuesday, describing it as insincere and insufficient, both in terms of the compensation offered to victims and disclosure of information related to abuser priests.
They also charged the plan will prolong the dispute and suffering on all sides.
On Monday, the diocese filed an amended plan with U.S. Bankruptcy Judge Christopher Sontchi, increasing the fund to be divided among abuse survivors from about $28 million to $74 million. Diocese attorney Anthony Flynn said the new plan should result in an "average payout" to survivors in the range of $750,000 to $3 million.
Wilmington Bishop W. Francis Malooly said in a statement Monday that he hopes the new plan -- which has to receive the approval of a majority of abuse survivors with claims -- will result in a "global" settlement of all lawsuits and quickly end diocesan bankruptcy proceedings.
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| Thomas Neuberger says the average payout is lower than claimed. |
But attorney Thomas S. Neuberger, who is representing a majority of those with claims against the diocese, said simple math -- and a footnote in the plan -- indicates the average settlement will be about $506,000.
Attorney James Stang, counsel to the committee representing 150 people with outstanding priest-abuse claims in bankruptcy proceedings, said if diocesan officials were truly interested in reaching a global settlement they should have at least tried to talk to the committee before filing the plan.
Stang said the diocese never shared its original bankruptcy plan, filed in September, its amended bankruptcy plan filed Monday or disclosure statements related to the plans before they were filed with the court.
"The latest reorganization plan is the diocese's dictatorial and highhanded effort to impose a nonconsensual solution to its sordid history of facilitating and tolerating sexual abuse of the children of the diocese," said John Vai, a survivor of priest sexual abuse who also serves as a co-chair of the bankruptcy committee.
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