Breaking: Milwaukee Archdiocese files for Chapter 11 bankruptcy

WITI-TV, MILWAUKEE —The Catholic Archdiocese of Milwaukee has directed its attorneys to file for bankruptcy protection, saying pending sexual-abuse lawsuits have left it with debts it can't pay.

Archbishop Jerome Listecki said Tuesday the archdiocese was undergoing Chapter 11 reorganization so that it would be able to continue its mission as a church while compensating victims of sexual abuse.

"In my installation homily on January 4, 2010, I spoke of the devastation of sin and its effect on us personally and as a community," Archbishop Jerome Listecki said in a statement. "We see the result of that sin today. This action is occurring because priest-perpetrators sexually abused minors, going against everything the church and the priesthood represents."

Seven other U.S. Catholic dioceses have sought bankruptcy protection from sex abuse claims since the clergy abuse scandal erupted in 2002 in Boston. Those dioceses are in Davenport, Iowa; Fairbanks, Alaska; Portland, Ore.; San Diego; Spokane, Wash.; Tucson, Ariz.; and Wilmington, Del.

More details are expected to be announced at a news conference at 2 p.m. Tuesday at the Archbishop Cousins Catholic Center.

FOX6 News

Ht Steve K, V

The Catholic Archdiocese of Milwaukee, which is facing more than a dozen lawsuits over its handling of clergy sex abuse cases, is expected to file for Chapter 11 bankruptcy protection this afternoon, the archdiocese said today.

Archbishop Jerome Listecki in a letter today to the faithful said the action was brought on "because priest-perpetrators sexually abused minors, going against everything the Church and the priesthood represents."

As a result, he said, "there are financial claims pending against the archdiocese that exceed our means."


Listecki said the bankruptcy has two goals: to compensate victims and survivors as fairly as possible; and "to carry on the essential ministries of the archdiocese so we can continue to meet the needs of our parishes, parishioners and others who rely upon the Church for assistance."

Listecki will speak at a news conference at 2 p.m. at the Cousins Center, 3501 S. Lake Drive.

 JSOnline

The Diocese has more information on their website.  I thought this was interesting.

Total Assets, including Cemeteries - This amount of $98.4 million is directly from the Audited Financial Statement. Some people assume this sum is available for the Church to use at its discretion. Instead, as you will see in the following notes, the vast majority of assets, more than $90 million, are monies that do not belong to the archdiocese, are restricted for specific use as designated by donors, or are offset by a corresponding liability.

And here is the text of the statement released by the archdiocese and video of Archbishop Listecki addressing the issue.  For some reason they hosted the video on their own website so its really bogged down.  Maybe at some point they will put it on YouTube.

And as Dad29 puts it:  Awwwwww. Anderson Won't Get What He Wants

Po' little shark, Jeff Anderson.

That'll squash that contingency fee.

He played 'chicken' with the Archdiocese and they called the bluff.