Catholic Church Shields $2 Billion in Assets to Limit Abuse Payouts

Bloomberg (01/08/2020)
  • Historically, the US Catholic church has covered up priest pedophilia by shaming/silencing victims.
  • In the 1980s, victims started filing civil lawsuits against the Church.
  • Since 1950, the Church has paid victims $750 million victims following accusations against 4,392 priests.
  • To minimize settlements, parishes have started shifting assets (eg land, buildings, bank accounts) into untouchable trusts and filing bankruptcy.
  • Bankruptcy filings, which generally award victims half the value of the Church estate, keep settlements low and private.
  • Early trauma can cost victims $280K in lifetime earnings.