Mahony not banking on bankruptcy

Late last month, a federal bankruptcy judge ruled that the churches, parish schools, and other assets belonging to the Diocese of Spokane could be liquidated if necessary to pay victims of clergy sexual abuse. This decision, which is being challenge by the Spokane Diocese, could set a dangerous precedent for dioceses facing similar claims. Take, for example, the Archdiocese of Los Angeles which is contending with more than 500 clergy sexual abuse lawsuits (pdf file). Is Mahony worried? Nah.

According to an editorial published in the most recent TIDINGS, His Eminence has everything under control:

In the first place, according to Cardinal Roger Mahony, the Archdiocese of Los Angeles will not declare bankruptcy. The Archdiocese is adequately insured to deal with all of the cases against it.

In the second place, it is likely that the judge's decision which touched off the furor will be overturned on appeal, according to the attorneys for the Los Angeles Archdiocese.

Regarding the first point, the editorial does not mention that the Archdiocese is embroiled in a legal dispute with its insurers. Contrary to what the ebullient Cardinal asserts, the Archdiocese may not be "adequately insured to deal with all of the cases against it."

As to the editorial's second point that it is "likely" that the federal bankruptcy judge's decision will be overturned, this is anyone's guess. I am not a lawyer, but from what I understand there is no absolute guarantee that the Diocese of Spokane will be successful in rescinding the ruling.

In short, the unsigned TIDINGS editorial, authored by Archdiocesan attorneys or with their assistance, aims at convincing L.A. Catholics that all is well and that there is no reason to panic. The Cardinal and his highly paid lawyers have it all figure out.

" ... the bottom line is that the faithful of Los Angeles, who over the generations have invested so much of their time, effort, money and prayers in building strong and vibrant parishes, need not fear that all of that might be taken from them."

If you believe that, may I interest you in a Louisiana purchase? Or if LA (Louisiana) is out of the question, how about an L.A. purchase? May I recommend this little piece of property located on prime real estate in the heart of Los Angeles?