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CV NEWS FEED // The Diocese of Rockville Center in Long Island, New York, has reached a bankruptcy settlement of $323 million with 600 survivors of sex abuse who sued it, according to recent reports.
A statement on the diocesan website reads: “The Diocese of Rockville Centre and its related ministries are grateful that preliminary terms have been agreed upon for the settlement of our bankruptcy case. For the sake of survivors and the Church’s mission on Long Island, we pray that the plan is approved and completed as quickly as possible.”
The settlement includes payments from the diocesan assets, insurance contributions, contributions from parishes, and proceeds from the sales of diocesan properties. The Diocese and related entities will contribute $234.8 million, insurance companies will contribute approximately $85 million, and the Counsel for the Creditor’s Committee will contribute $3 million.
Last year, the Diocese offered to pay $200 million in settlements for the victims, which “is the largest settlement offer made in United States diocesan bankruptcy history,” CatholicVote previously reported.
On March 22, 2024, creditors voted that the proposed $200 million settlement was insufficient, according to Long Island News.
The $323 million settlement will require each parish in the Diocese to file for temporary Chapter 11 bankruptcy so parishes will be released from liability, the statement states: “It is expected that parish Chapter 11’s will be resolved within 48 hours of filing and will not interfere with parish work and ministries. No parishes are closing as a result of this process.”
The statement concluded: “The Diocese’s goal has always been the equitable compensation of survivors of abuse while allowing the Church to continue her essential mission. We believe that this plan will achieve those goals.”
