BishopAccountability.org
	Catholic School May Seek Bankruptcy Protection Associated Press, carried in Quad-City Times October 10, 2006 http://www.qctimes.net/articles/2006/10/10/news/local/doc452b3c6f18974914975895.txt Iowa City (AP) — Board members of the city's only Catholic school say they areprepared to file for federal bankruptcy protection if a jury finds the school partly responsible for a former priest accused of molesting students 40 years ago. Regina Catholic Education Center, which has 1,000 students from preschool to high school, is one of three defendants in an abuse trial scheduled to begin in Davenport on Oct. 23. The lawsuit, filed by a former high school student, also names the Roman Catholic Diocese of Davenport and former Sioux City Bishop Lawrence Soens, who served as Regina's first principal and is accused of molesting male students during his tenure in the 1960s. The school also has been named in two other lawsuits involving 14 former students. School Board Treasurer Patrice Carroll said Monday that seeking Chapter 11 protection is the best option for the school's long-term future if it's found liable for Soens' alleged behavior. The board has hired a bankruptcy lawyer, inventoried assets and notified students, parents and faculty of its plans, she said. "We will work tirelessly to develop a plan that would be appropriate for the plaintiff but would also allow us to continue our mission," Carroll said. "Our focus is solely on protecting this school regardless of what the outcome is." In all three lawsuits filed against the school, former students accuse Soens of fondling students during private meetings in his office from 1959 to 1967 when Soens served as priest and the school's first principal. Soens, who was appointed bishop in Sioux City until his retirement in 1998, denies the allegations. Bishop William Franklin, of the Davenport Diocese, said earlier this year that a report on the allegations against Soens has been sent to the Vatican, the only entity that can take disciplinary action against such a high ranking church official. The lawsuits also accuse the Davenport Diocese and the school of knowing about Soens' behavior but failing to take appropriate action to protect the students. "Numerous students have provided sworn testimony or affidavits that the sexual misconduct of Bishop Soens was readily observable in the school and that authority figures within the school should have seen it," according to documents filed in the case. "Plaintiff's church and school failed to protect him by negligently supervising Bishop Soens and by concealing the truth about his conduct." Despite the allegations, Carroll says the school should not be included in the lawsuit. If the case goes to trial in two weeks, Carroll says the school's attorney will argue that the diocese operated the school, and no faculty member during that period can recall any misconduct by Soens. The board also claims the lawsuit should be dismissed because the statute of limitations has expired. However, the judge in the case rejected that argument earlier this year, ruling that the abuse caused mental and emotional trauma that prevented the victim from pursuing a lawsuit until recently. Carroll said the school board has not done its own investigation into the allegations and has not considered an out-of-court settlement because the former student and his attorney did not pursue mediation with the school. "The board has not taken any position on the allegations," Carroll said. "None of us were around at that time. We don't know what, if anything, that happened." Craig Levien, the Davenport lawyer representing the victims, said his clients are open to a settlement that would keep the school out of bankruptcy court. "The resolution would also require an admission of misconduct," said Levien. "But a resolution could be reached to eliminate any risk of bankruptcy on the part of Regina."
Any original material on these pages is copyright © BishopAccountability.org 2004. Reproduce freely with attribution.