Abuse victims angered as archdiocese files for bankruptcy

VICTIMS yesterday accused the Archdiocese of Portland of ducking its responsibility in scores of sexual abuse cases after filing for bankruptcy.

The move, believed to be the first such action by a US Catholic diocese, halts two trials seeking a total of $155 million (€125m) that were slated to start on Tuesday. Archbishop John Vlazny said that bankruptcy would allow the Catholic church to pay all claims, some of which stretch back decades, without selling off parish assets.

"It will allow us to continue our good works without fear of an impending large verdict. The operation of our parishes and schools will continue as usual," Archbishop Vlazny said.

The archdiocese has paid $21m (€17m) from its own funds to settle claims in the last four years and $53m (€43m) over the last five decades, but insurance companies have refused to cover some 60 current claims.

"The pot of gold is pretty much empty right now," the Archbishop said. "Major insurance companies are not paying what they should on the claims."

The church, which serves about 350,000 parishioners in Oregon, declined to name its insurers.

Plaintiffs in the latest cases, who accuse former priest Maurice Grammond of abusing more than 50 boys in the 1980s, blasted the church for "ducking its responsibility" and trying to avoid public disclosures.

"For me it was like having sex with God," said James Devereaux, who rejected a settlement offer from the church.

"I knew I had committed the ultimate sin and that I was doomed."

Plaintiff's attorney David Slader added: "They (the church) have taken the cheap and easy way out and have bucked responsibility."

The bankruptcy filing turns the plaintiffs into unsecured creditors along with other victims who might claim damages against the church, said Bill Barton, another plaintiff's attorney.

"I'm terribly disappointed," Mr Barton said.

Fr Grammond, who died in 2002, showed little remorse, according to a potentially damaging deposition in which he said: "I'd say these children abused me. They'd dive in my lap to get sexual excitement," attorneys in the case said.

Several other American parishes have avoided bankruptcy by selling real estate and other holdings.

Last April Boston's archdiocese agreed to sell land and buildings for more than $100m (€81m) to fund legal settlements to hundreds of abuse victims.