Committee Amended Disclosure Statement 11-17-2016
Committee Amended Plan of Reorganization 11-17-2016
(Minneapolis, MN) – The Creditors’ Committee in the Archdiocese of Saint Paul and Minneapolis bankruptcy case has filed an amended reorganization plan. The plan preserves the rights to over $1 billion in available insurance assets.
“Some of the major insurance companies in the Archdiocese bankruptcy case are refusing to pay what they owe, leaving the abuse survivors to suffer,” said Attorney Jeff Anderson. “Travelers, CNA and AIG are asking the court to allow them to pay pennies on the dollar when their insurance contracts require them to pay close to $1 billion. The survivors’ plan makes sure that these insurance companies don’t get away with these deceptive practices.”
On Wednesday, the Archdiocese filed an amended reorganization plan, again leaving behind sexual abuse survivors. The plan calls for the Archdiocese to contribute less than 1% of its assets. The plan also lets the insurance companies off-the-hook and significantly undervalues their exposure.
The original plan filed by the Creditors’ Committee in August was the first of its kind filed by sexual abuse survivors in any diocesan or religious order bankruptcy proceeding. Among other provisions, the proposed Creditors’ Committee plan calls for the immediate release of the investigative report concerning former Archbishop John Nienstedt, all communications with the Vatican Embassy and requests an end to all payments currently being made to priests credibly accused of sexually abusing children.
A hearing is scheduled for December 15, 2016, at 1:00PM in United States Bankruptcy Court to discuss the two plans.
Contact: Jeff Anderson: Cell: 612.817.8665 Office: 651.227.9990
Mike Finnegan: Cell: 612.205.5531 Office: 651.227.9990