"Diocese of Buffalo asks parishes to declare bankruptcy to fund sexual abuse settlements"

"The Diocese of Buffalo, New York, issued a statement last month saying announcing that it has encouraged all of its parishes to file for bankruptcy in order to reach a settlement with survivors of sexual abuse.

In a May 30 statement, the diocese said it had asked all its parishes to file Chapter 11 rapid prepackaged bankruptcy, which would allow each parish to restructure their finances and avoid liquidating their assets, in order to pay a $150 million settlement with more than 800 clerical abuse survivors and bring the case to an end. The diocese stressed that each parish will be bankrupt for only about 48 hours, and the process can proceed only if and when all parishes have approved the proposal."