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	Regina Could File for Bankruptcy Because of Sex Abuse Allegations By Gregg Hennigan The Gazette October 9, 2006 http://www.crgazette.com/2006/10/09/Home/ReginaHighsexabuse.htm Iowa City, IA - Regina High School is prepared to file for bankruptcy should it lose an upcoming civil trial involving allegations of sexual abuse by the school's first principal, school board members said during a press conference today. The school, known formally as the Regina Inter-Parish Catholic Education Center, has obtained a bankruptcy lawyer and could file for Chapter 11 bankruptcy to protect its assets, such as its property and school building, in the event of an "adverse outcome" of a trial scheduled to begin Oct. 23, said Patrice Carroll, treasurer of the Regina school board. But the attorney representing more than a dozen former Regina students who said they were abused by retired Sioux City Bishop Lawrence Soens, who was principal of Regina from 1958 to 1967, called the timing of the announcement "unusual" and said the school's unwillingness to negotiate could end up costing them more financially. "We believe there are adequate resources at Regina High School to compensate these men without compromising the long-term operations of the school and serving the students," said Craig Levien, a Davenport attorney. Levien is representing 15 plaintiffs in three cases naming Regina, Soens and the Diocese of Davenport as defendants. He said he is not yet sure how much money they will seek in damages. The school has said they will not negotiate a settlement and plan to go to trial, Levien said. The first trial is set to begin Oct. 23 in Scott County District Court. Michael Gould, who is now 57 and lives in Florida, alleges in court records that beginning in 1963 and lasting through his high school years, Soens pinched Gould's nipples and rubbed his genitalia. Soens is facing several other trials for his alleged conduct, which he has denied. Carroll and school board Chairman Lee Iben held a press conference today to discuss the school's position in the three cases in which Regina has been named a defendant. Carroll said even if the school was to file for bankruptcy, school officials do not believe resources would need to be cut. "Regina will be in this community serving students for many, many years," Carroll said. Regina has about 1,000 students in preschool through 12th grade. Iben said the school believes it should not be a defendant in the cases for three reasons. First, he said, at the time of the alleged abuse, Regina's school board was made up of priests and the diocese was directly responsible for the school. Second, he claimed the statute of limitations had expired. Finally, he said Soens had denied the conduct and no other adult recalls knowing of the alleged abuse. Levien disputed the school's claims. He said 18 former students have made statements claiming Soens abused them, including one who informed a religion teacher at the school. He also said the diocese separately incorporated Regina and the school board being governed by priests does not excuse Regina from responsibility. And though the statute of limitations is two years, Iowa law states that if someone has a mental condition that prevents them from bringing suit, that person does not have to until they are capable of doing so. Levien said Gould did not file suit until last year because he suffered mentally for decades because of the abuse.
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