Bishop Mark Seitz says the diocese faces 12 lawsuits, seeks bankruptcy protection
EL PASO, Texas (KVIA) - The Catholic Diocese of El Paso filed for Chapter 11 reorganization today.
The bankruptcy filing does not affect parishes and their schools and other independent Catholic schools, or other affiliated entities in the Diocese.
Bishop Mark Seitz announced the filing, stating the diocese is facing 18 plaintiff claims in a dozen lawsuits alleging sexual abuse of minors by clergy in New Mexico. The timeframe for the alleged abuse is between 1956 and 1982.
Chapter 11 allows the diocese to reorganize its debt. The diocese will remain in operation and could apply for a loan under this bankruptcy protection. A reorganization plan is presented to the creditors, who vote on the plan. Once all parties are in agreement, the court confirms the plan going forward.
Bishop Seitz said the diocese made the decision to seek Chapter 11 in order to be able to provide those victims and survivors who have valid claims fairly and equitably.
The diocese will also continue to fulfill its obligation with the parishes, parishioners, and all those who depend on the church for assistance.
“As your bishop, I apologize to abuse survivors for the harm, pain and suffering they
experienced and continue to experience in their lives,” said Bishop Seitz. Adding, “It is my prayer that through this process we can reconcile with each other and walk together towards the loving presence of Jesus Christ in our midst.”
