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	Bankruptcy Judge Set to Approve Catholic Diocese's Abuse Settlement Today By Beth Miller News Journal July 28, 2011 http://www.delawareonline.com/article/20110728/NEWS01/110728021/Bankruptcy-judge-set-approve-Catholic-diocese-s-abuse-settlement-today?odyssey=mod_sectionstories After a 90-minute hearing to resolve last-minute issues this morning, U.S. Bankruptcy Judge Christopher Sontchi said he will confirm the Catholic Diocese of Wilmington’s reorganization plan, which includes a $77.4 million settlement with about 150 survivors of clergy sexual abuse. In final rulings, Sontchi noted that the court’s restriction on pension and benefit payments to the abuser priests related to the diocese’s civil authority. “The definition of claim says ‘right to payment,’” he said, “and that means legal right to payment…. So there is no legal right to any payment and that in fact would be the debtor’s choice – not to pay these, to terminate the pensions. I’m going to make them do it. I think it’s the right thing to do and the only way the debtor can be operating in good faith.” The agreement, however, would allow Catholic Charities to provide sustenance as it usually does, for anyone – including the abuser priests – if they appealed for such aid or appeared at one of the organization’s service facilities. James Stang, attorney for the Official Committee of Unsecured Debtors, thanked the abuse survivors who served on the committee and expressed their thanks to Sontchi for his management of the case. “They served on the committee at the risk of disclosing their names,” Stang said, “and also at the cost of the real experience they suffered in the sense of reliving the experience of abuse. As a consequence, they formed a kind of band of brothers. It was a most difficult service…. Their goal from the first day of this case was to do what they could to assure future generations would not be hurt.” Ray Donahue, a survivor represented by Thomas Neuberger’s firm, said: “Judge Sontchi did a marvelous job. I feel my team of attorneys did a fantastic job. Justice has been served for all the victims.” The court will reconvene at about 2:30 p.m. If documents are prepared, Sontchi may sign an order today confirming the plan. Contact Beth Miller at 324-2784 or bmiller@delawareonline.com
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