Stockton Diocese considering bankruptcy

CALIFORNIA
The Record

By Jennie Rodriguez-Moore
Record Staff Writer
June 06, 2013

STOCKTON – The Diocese of Stockton is considering filing for bankruptcy after years of paying millions of dollars to settle child sex abuse lawsuits.

“We pretty much have depleted the resource funds that we have,” said Sister Terry Davis, a spokeswoman for the diocese that oversees Catholic parishes in San Joaquin, Stanislaus, Calaveras and Tuolumne counties.

“And at this point, everything is on the table for consideration,” she said.

Talk of bankruptcy surfaced during negotiations of a lawsuit that was settled Monday for $1.75 million involving notorious defrocked priest Oliver O’Grady.

The plaintiff in the case, known as John J.S. Doe, filed suit in 2009 in Stanislaus County Superior Court. He was a victim of O’Grady in the 1980s, according to the diocese.

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