Judge confirms Tucson Diocese reorganization plan to settle suits

Published: 2005-07-12

TUCSON, Ariz. (CNS) -- A federal bankruptcy judge in Tucson said July 11 that he will confirm the Chapter 11 reorganization plan of the Tucson Diocese, enabling it to avoid bankruptcy and settle more than 50 claims of clergy sexual abuse of children. Under the plan, which had been approved by a large majority of the claimants the previous week, the diocese will establish a $22.2 million trust to compensate abuse victims. The agreement will take effect 60 days after Judge James M. Marlar files his formal written order, which was expected before the end of July. It makes Tucson the first Catholic diocese in the nation to resolve massive sexual abuse claims against it in a federal bankruptcy court.

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