The Crosier Fathers and Brothers Province, Inc., Crosier Fathers of Onamia and the Crosier Community of Phoenix, Arizona, have filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. The filing was made June 1 in U.S. Bankruptcy Court for the District of Minnesota.
“The decision to file for reorganization was difficult, but given the number of claimants who came forward when the state of Minnesota opened the statute of limitations for asserting claims of sexual abuse, we believe a Chapter 11 reorganization is the only way that all claimants can be offered a fair and just resolution within the Crosiers’ limited financial resources,” Crosier Father Thomas Enneking, prior provincial, said in a statement.
The Minnesota Child Victims Act, which lifted for three years the civil statute of limitations for allegations of past sexual abuse of minors, ended in May 2016.
“All of the acts of abuse occurred more than 30 years ago. The Crosiers have attempted to find pastoral and healing solutions for those who were harmed, and we believe that a Chapter 11 reorganization allows us to resolve known pending claims simultaneously, manage our financial resources and continue to serve those in need through Crosier ministries,” Father Enneking said.
The Crosiers are pleased that the claimants and the Crosiers have been able to work together on a structure that will include funding for a consensual plan of reorganization of $25.5 million to fairly compensate those who have been harmed, according to the statement.
“Our hope is that reorganization under Chapter 11 will begin to bring this sad period in the Crosiers’ history to a just resolution,” Father Enneking said. “As the proceedings begin, we will continue to pray for healing and reconciliation for all those who have been hurt by the actions of a few.”
The Crosier province is based in Phoenix, Arizona. The Crosiers have served the local Catholic faith communities and the church in the United States since 1910. There are 46 Crosiers in the United States.