In an effort to stabilize its finances and in response to 330 sex abuse lawsuits, the Catholic Diocese of Oakland declared bankruptcy on Monday. Most of the accusations are centered on priests who are now old, and some of them are pssibly dead and these incidents are reported to happen in the late 1960s, 1970s, and 1980s.
According to Bishop Michael C. Barber in a letter to parishioners, the diocese thinks bankruptcy is the best option to guarantee a just and equitable resolution for survivors. He underlined the diocese’s commitment to supporting survivors and praying for their ongoing healing while acknowledging the suffering brought on by these heinous offenses.
Victim Advocacy Groups Criticize Oakland Diocese’s Bankruptcy Filing
According to the article in Fox News, Barber said that the diocese would be able to stabilize its finances and carry out its holy mission due to the bankruptcy case. Additionally, he reaffirmed that none of the Catholic schools running within the diocese would be impacted because they are different legal entities and were not included in the file. The diocese said that vendors would be reimbursed for products and services delivered following the filing.
The lawsuits were brought about by California’s decision to permit purported survivors to file time-barred and expired cases. According to the diocese, the lawsuit also followed a 42% decline in Catholic mass attendance in 2021 and difficulties brought on by an aging clergy.
The Catholic Diocese of Oakland filed for bankruptcy, according to victim advocacy groups like the Survivors Network of Those Abused by Priests (SNAP), in an effort to shield its money and preserve secrecy. In the article in Oakland Side, the Oakland diocese is said to own hundreds of acres of land as well as other properties in Oakland, Piedmont, Lafayette, and Orinda, according to SNAP, which has worked with victims and their attorneys to uncover abusive priests.
According to SNAP’s communication officer Mike McDonnell, the bankruptcy filing shows the church’s reluctance to commit to complete accountability and transparency. According to McDonnell, the action exacerbates the harm and suffering that the survivors have already undergone for years.
All legal proceedings in state courts are put on hold after the bankruptcy filing and are instead sent to federal bankruptcy courts. A committee chosen by the United States Trustee Program, which is an arm of the federal Department of Justice, will represent all victim claims in these courts. By the time that all the assets of the clergy has been cleared and evaluated, then the compensation amount will be released.
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Oakland Diocese Faces Bankruptcy Amid Declining Church Attendance and Ongoing Challenges
The Diocese of Oakland had about 550,000 Catholics in 82 parishes spread across Alameda and Contra Costa countie have been encountering a downhill slope on the attendance numbers and members. According to the story in USA Today, Due to the pandemic, mass attendance in Oakland decreased by 42% in 2021 compared to 2019 and was 46% below the five-year average.
Bishop Michael C. Barber established the Mission Alignment Process Commission in March 2021 to address these issues and balance the requirements of ministries, parishioners, and priests with financial realities. Their ongoing efforts, which Barber claims have already resulted in a recent parish merger, are expected to take several years to implement.
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