AP News, March 30th, 2007
The Roman Catholic Diocese of San Diego is offering $95 million to settle more than 140 claims of sexual abuse by priests, according to financial documents.
The diocese would offer 143 individuals anywhere from $10,000 to $800,000, depending on the degree of abuse and other factors, according to documents filed Wednesday in the church's bankruptcy proceedings.
The diocese abruptly filed for bankruptcy protection Feb. 27, just hours before the first civil trial was to begin in San Diego Superior Court and after a last-ditch round of negotiations with plaintiffs' attorneys.
Under the proposed bankruptcy reorganization plan, a $3 million fund would also be created to settle any additional abuse claims that have not yet been formally made.
The plan has to go through steps including the approval of a creditors' panel containing some of the claimants and a hearing before a bankruptcy judge.
Attorneys representing the plaintiffs said they thought the offer was too low. They have estimated a fair settlement to be around $200 million _ which would be a record amount for such a case _ based on payouts made in other dioceses, including the $100 million by the Diocese of Orange County, Calif., to 87 accusers in 2005.
"This is outrageous; it's five steps backward," said Ray Boucher, the lead plaintiffs' attorney. "It's clear with this plan that they're throwing down the gauntlet. This will be a long and expensive battle."
Diocese officials defended the plan.
"We recognize that we have to do something for the victims, but we have to balance that against our responsibilities to our parishioners," said diocese counsel Micheal Webb.
With nearly 1 million Catholics and holdings throughout San Diego County, the diocese here is by far the largest and, by all accounts, the wealthiest of the five U.S. dioceses to have filed for Chapter 11 bankruptcy under the shadow of civil claims over sexual abuse.
The other dioceses that have filed for bankruptcy protection are Davenport, Iowa; Portland, Ore.; Spokane, Wash.; and Tucson, Ariz. Tucson has emerged from bankruptcy protection, while proposed settlements are awaiting final approval in Portland and Spokane.
