Another Catholic diocese seeks bankruptcy

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The Roman Catholic Diocese of Harrisburg, Pennsylvania, filed for bankruptcy Wednesday, six months after disclosing it had paid millions of dollars to people sexually abused as children by its clerics.

The diocese joins at least 20 others across the United States in seeking protection from creditors through the federal bankruptcy system, but it is the first diocese in Pennsylvania to take such a step.

In August, the diocese said it paid 106 people a total of just over $12 million to compensate for claims of sexual abuse they suffered as children from its clerics, deacons and seminarians,and officials said Wednesday the current total is 111 settlements.

The diocese told the court it has more than 200 creditors and estimated liabilities between $50 million and $100 million, with assets of less than $10 million. It listed creditors that include a $30 million loan from the Pennsylvania Economic Development Financing Authority and 12 blacked-out names that were represented by lawyers.

The filing could help shield it from additional claims, said Harrisburg lawyer Ben Andreozzi, who has settled about 20 claims against the diocese and has two pending lawsuits, all related to child sexual abuse. Andreozzi was listed in the court filing as the contact for six creditors.

Another Catholic diocese seeks bankruptcy after abuse deals