By Sean O'sullivan
News Journal
July 9, 2011
http://www.delawareonline.com/article/20110709/NEWS01/107090330/Malooly-opposes-charity-abusive-priests?odyssey=mod|newswell|text|Home|s
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| Bishop W. Francis Malooly exits U.S. Bankruptcy Court with attorney Neilli M. Walsh. Malooly said the delay in defrocking abuser priests is due to a backlog of requests for such actions at the Vatican. / THE NEWS JOURNAL/DANIEL SATO |
Wilmington Bishop W. Francis Malooly told a court Friday that he must reserve the right to provide charity to abuser priests as a part of the diocese's bankruptcy plan because church law requires him to provide "sustenance" to the men as long as they have not been kicked out of the priesthood by the pope.
Malooly also said that in deference to feelings of those who survived sexual abuse at the hands of clergy, he would not be inclined to grant such charity to the men should they seek it. He also noted that he has cut off pension checks to the two suspended priests who are eligible to receive such payments.
At least five men who have been identified by the Roman Catholic Diocese of Wilmington as having credible or substantiated charges of sexual abuse lodged against them remain priests, though the diocese has suspended the five from all clerical duties and has ordered them not to hold themselves out as priests.
This is because the Vatican has not yet acted on or has rejected requests from the diocese to defrock them.
At one point, in response to questions from attorney Thomas S. Neuberger -- who represents nearly 100 survivors of priest sexual abuse -- Malooly said that if he was commanded by his superiors in the church to provide financial assistance to the suspended priests, "I'd have a problem and maybe I'd have to resign my position."
The questions about possible financial support for abuser priests came during a hearing Friday in U.S. Bankruptcy Court seeking final approval for the Roman Catholic Diocese of Wilmington's plan to exit Chapter 11 bankruptcy. The plan includes a $77.4 million settlement with survivors of sexual abuse by priests in exchange for the survivors dropping civil suits against the diocese and its parishes.
Neuberger noted that at the start of bankruptcy proceedings in October 2009, Malooly had specifically asked the bankruptcy court to allow the diocese to continue paying for pensions and medical benefits for abuser priests.
Malooly acknowledged that was the case in 2009, but he said he has since "re-adjusted" his thinking on the issue after meeting with survivors of abuse and hearing their concerns.
Malooly also testified that should the Vatican defrock the priests -- as the diocese has requested -- then he will no longer have an obligation to the men under canon law.
While Neuberger noted that the requests to defrock some of the priests have been pending for years -- and at least one was apparently rejected by Rome -- Malooly said he is confident the men will be "laicized" and that the delay is due to a backlog of requests for such actions at the Vatican.
From Neuberger's questions, it seemed clear he is seeking to have U.S. Bankruptcy Judge Christopher S. Sontchi prevent or at least restrict payments to the men before the plan receives final approval.
It was expected that Sontchi might give his final approval to the plan Friday, but that did not happen. Testimony ran long and Sontchi wanted more detail from the diocese about where exactly the money will be coming from for "exit financing," according to attorneys, which includes funding pension obligations and paying administrative expenses. At one point, Sontchi seemed concerned when a witness for the diocese said that plans for a $15 million line of credit or loan had been "lined up" but the financing was not yet finalized.
Attorneys on all sides, however, seemed confident that the issue could be resolved quickly next week and that the plan will be approved by Sontchi with some possible minor amendments. According to testimony Friday, 99.4 percent of survivors of priest sexual abuse voted in favor of the plan and 100 percent of lenders to the diocese supported it.
Only 54.8 percent of the diocese lay pensioners voted in favor of the plan -- but attorneys said much of that voting was completed before the diocese reached a settlement with the pensioners committee.
Beyond the issues raised by Neuberger, attorneys representing abuse survivor Joseph Curry also raised objections, claiming that the plan conflicts with the terms of the $1.7 million out-of-court settlement Curry reached with the diocese last year and that safeguards from that settlement should be kept in place to ensure it is paid in full.
The hearing is set to resume, and possibly conclude July 14.
Contact Sean O'Sullivan at 324-2777 or sosullivan@delawareonline.com
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