CAMDEN, N.J. (KYW Newsradio) -- Two huge financial hits has caused the Diocese of Camden to file for bankruptcy.
Both the coronavirus pandemic and the Catholic church's sex abuse scandal have made it a difficult year financially for the diocese. It had to borrow $8 million to pay victims of abuse by clergy, and money hasn't been coming in because the pews in South Jersey parishes have been mostly empty since March.
On the diocese website Thursday, Bishop Dennis Sullivan wrote, "If it were just the pandemic or just the costs of the Victims Compensation Program, we could likely weather the financial impact." But the combination of the two was too much to handle.
Sullivan said the goal is fairness and for abuse victims to get an equitable share of the funds available, not a race to the courthouse with some victims being left out.
"This decision is intended to allow for the fair compensation of the victims, the payment of debts to our creditors, and the safeguarding of the assets which make our religious, educational and social service ministries possible," he wrote.
The diocese operates 62 parishes in South Jersey, and Sullivan says they are unaffected by the chapter 11 filing. Schools and pensions are also unaffected.
