Camden Diocese $180M Settlement Closes Chapter on Bankruptcy Case

0
16
camden diocese $180m settlement

The Roman Catholic Diocese of Camden and its insurers have agreed to contribute an additional $180 million to a trust for survivors of clergy sexual abuse, reaching a sweeping deal Tuesday with a tort claimant committee representing more than 300 survivors. The agreement marks the final financial resolution of the diocese’s long-running bankruptcy case.

A Final Step After Years of Dispute

The diocese said the agreement completes its Chapter 11 case, which followed court approval in March 2024 of an earlier reorganization plan that created an $87.5 million pool for abuse claimants. The new trust — still subject to approval by the New Jersey Bankruptcy Court — will be funded by the diocese, its parishes and several insurers.

Camden Bishop Joseph A. Williams addressed survivors directly, calling the settlement a moment shaped by their courage. He apologized for what he described as a grave sin and a devastating betrayal, saying he could not erase the scars or restore what was lost, but pledged that the diocese believes survivors, is deeply sorry and committed to a different path forward.

Signup for the USA Herald exclusive Newsletter

Survivors’ Committee Hails Breakthrough

Lowenstein Sandler LLP partner Jeffrey D. Prol, counsel to the official committee of tort claimant creditors, said the deal eclipses earlier proposals, exceeding by more than six times the $26 million figure initially floated in the diocese’s 2021 reorganization plan.