Milwaukee archdiocese files plan to pay clergy victims $21 million

The Catholic group filed for bankruptcy in 2011 to address liabilities to more than 300 sex abuse victims.

Associated Press/August 24, 2015

By Greg Moorethe

Milwaukee — The Roman Catholic Archdiocese of Milwaukee has filed a bankruptcy settlement plan that will divvy up $21 million among more than 300 victims of clergy sex abuse.

The archdiocese submitted the bankruptcy reorganization plan Monday night.

The archdiocese filed for Chapter 11 bankruptcy protection in 2011 to address its sex abuse lawsuit liabilities. A judge will review the plan in November.

The creditors’ committee, which comprises five abuse victims, is expected to endorse the deal.

Victims’ advocates, however, have criticized several aspects of the agreement and plan to address issues including victims’ compensation before bankruptcy Judge Susan Kelley reviews the case this fall.

The archdiocese filed for Chapter 11 bankruptcy protection in 2011 to address its sex abuse lawsuit liabilities. The bankruptcy plan is scheduled for review in November, and church officials are “hopeful this is approved by the judge,” archdiocese spokesman Jerry Topczewski said.

“We’re confident she will appreciate the work that’s been done getting to this point,” he added.

The creditors’ committee, which comprises five abuse victims, is expected to endorse the deal, committee chairman Charles Linneman said.

Victims’ advocates have criticized several aspects of the agreement, and Peter Isely, Midwest director of Survivors Network of those Abused by Priests, said he and others will work to address key issues, including getting more claims included in the settlement, before bankruptcy Judge Susan Kelley reviews the case.

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