CALIFORNIA
Turlock Journal
By Sabra Stafford
Crime Desk sstafford@turlockjournal.com 209-634-9141, ext. 2002
POSTED January 14, 2014
The Diocese of Stockton has filed for Chapter 11 bankruptcy protection after a series of costly sexual abuse settlements left them financially drained.
After months of contemplating the move to file bankruptcy, the Diocese announced Monday they would file the Chapter 11 papers today.
“After months of careful consideration and prayer, it has become clear to me that the Diocese of Stockton’s financial difficulties can only be resolved by filing for bankruptcy protection,” said Bishop Stephen Blaire. “This decision was reached through consultation with experts in finance and law, as well as with priests, parishioners and many others in the community our Diocese serves.”
Blaire said the Diocese has sufficient funds to cover the normal operations, but does not have the reserve funds needed to cover settle pending lawsuits stemming from sexual abuse allegations.
Note: This is an Abuse Tracker excerpt. Click the title to view the full text of the original article. If the original article is no longer available, see our News Archive.