Cash

Sex abuse victims in New Orleans Archdiocese approve 0 million settlement #Catholic 
 
 The St. Louis Cathedral and Jackson Square are seen at sunset near the French Quarter in downtown New Orleans on April 10, 2010. / Credit: Graythen/Getty Images

CNA Staff, Oct 31, 2025 / 10:30 am (CNA).
The Archdiocese of New Orleans secured nearly unanimous approval for a 0 million bankruptcy settlement on Thursday, paving the way for payouts to over 650 victims after five years of contentious litigation in the nation’s second-oldest Catholic archdiocese.The vote, which closed at midnight on Oct. 30, saw 99.63% of creditors — including hundreds of abuse survivors — endorse the plan in the U.S. Bankruptcy Court of the Eastern District of Louisiana, according to The Guardian.Only the bondholder class, owed  million, opposed it, voting against the plan by a vote of 59 to 14, according to court documents. In 2017, bondholders lent the Church  million to help refinance parish debt and have been repaid only 25% of the outstanding balance. They have alleged fraud against the Church after it withheld promised interest payments. Legal experts say their “no” vote will not derail confirmation of the settlement, however. “Your honor, there is overwhelming support for this plan,” archdiocese attorney Mark Mintz said in court on Thursday. The plan required that two-thirds of voters approve it.Final tallies of the votes will be filed next week, and a hearing before Judge Meredith Grabill is set for mid-November, potentially ending the archdiocese’s Chapter 11 case filed in May 2020 amid a flood of abuse claims.In a statement to CNA, the archdiocese said: “Today we have the voting results of our proposed settlement and reorganization plan, which has been overwhelmingly approved by survivors and other creditors. We are grateful to the survivors who have voted in favor of moving forward with this plan and continue to pray that both the monetary settlement and the nonmonetary provisions provide each of them some path towards their healing and reconciliation.”Archbishop Gregory Aymond originally told the Vatican in a letter that he thought he could settle abuse claims for around  million. The archdiocese has spent close to  million so far on legal fees alone.The settlement going to abuse victims breaks down to 0 million in immediate cash from the archdiocese and affiliates,  million in promissory notes,  million from insurers, and up to  million more from property sales, including the Christopher Homes facilities, a property that has provided affordable housing and assisted living to low-income and senior citizens in the Gulf Coast area for the last 50 years.Payout amounts to individual claimants will be determined by a point system negotiated by a committee of victims and administered by a trustee and an independent claims administrator appointed by the court. The point system is based on the type and nature of the alleged abuse. Additional points can be awarded for factors like participation in criminal prosecutions, pre-bankruptcy lawsuits, or leadership in victim efforts, while points may be reduced if the claimant was over 18 and consented to the contact. The impact of the alleged abuse on the victim’s behavior, academic achievement, mental health, faith, and family relationships can also adjust the score.Abuse victim Richard Coon cast his vote on Monday. “I voted ‘yes’ to get Aymond out of town. I just think he’s been a horrible leader,” Coon said.In September, Pope Leo XIV named Bishop James Checchio as coadjutor archbishop of New Orleans. Checchio has been working alongside Aymond and will replace him when he retires, which Aymond has said he plans to do when the bankruptcy case is resolved.The 0 million deal is significantly higher than the initial 0 million proposal in May, which drew fire from attorneys like Richard Trahant, who criticized it for being “lowball.”The initial settlement was “dead on arrival,” according to Trahant, who, along with other attorneys, urged his clients in May to hold out for a better offer, saying they deserved closer to 0 million, a figure similar to the 3 million paid out to about 600 claimants by the Diocese of Rockville Centre in New York in 2024. “There is no amount of money that could ever make these survivors whole,” Trahant said in a statement Thursday.In the Diocese of Rockville Centre bankruptcy settlement, attorneys reportedly collected about 30% of the 3 million, or approximately .9 million. Similarly, the Los Angeles Archdiocese’s 0 million settlement in 2007 saw attorneys receiving an estimated 5-7.8 million, or 25%-33% of the payout.The bankruptcy stemmed from explosive revelations in 2018, when the Archdiocese of New Orleans listed over 50 credibly accused priests. In 2021, the Louisiana Legislature eliminated the statute of limitations for civil actions related to the sexual abuse of minors. The new law allows victims to pursue civil damages indefinitely for abuse occurring on or after June 14, 1992, or where the victim was a minor as of June 14, 2021, with a three-year filing window (which ended June 14, 2024) for older cases. The Diocese of Lafayette, along with the Archdiocese of New Orleans, the Diocese of Baton Rouge, the Diocese of Houma-Thibodaux, Catholic Charities, the Diocese of Lake Charles, and several other entities challenged the law’s constitutionality, arguing it violated due process, but the Louisiana Supreme Court upheld it in June 2024 in a 4-3 decision.Critics argued the retroactive nature of the law risks unfairness to defendants unable to defend against decades-old abuse claims due to lost evidence and highlighted the potentially devastating financial impact.

Sex abuse victims in New Orleans Archdiocese approve $230 million settlement #Catholic The St. Louis Cathedral and Jackson Square are seen at sunset near the French Quarter in downtown New Orleans on April 10, 2010. / Credit: Graythen/Getty Images CNA Staff, Oct 31, 2025 / 10:30 am (CNA). The Archdiocese of New Orleans secured nearly unanimous approval for a $230 million bankruptcy settlement on Thursday, paving the way for payouts to over 650 victims after five years of contentious litigation in the nation’s second-oldest Catholic archdiocese.The vote, which closed at midnight on Oct. 30, saw 99.63% of creditors — including hundreds of abuse survivors — endorse the plan in the U.S. Bankruptcy Court of the Eastern District of Louisiana, according to The Guardian.Only the bondholder class, owed $30 million, opposed it, voting against the plan by a vote of 59 to 14, according to court documents. In 2017, bondholders lent the Church $40 million to help refinance parish debt and have been repaid only 25% of the outstanding balance. They have alleged fraud against the Church after it withheld promised interest payments. Legal experts say their “no” vote will not derail confirmation of the settlement, however. “Your honor, there is overwhelming support for this plan,” archdiocese attorney Mark Mintz said in court on Thursday. The plan required that two-thirds of voters approve it.Final tallies of the votes will be filed next week, and a hearing before Judge Meredith Grabill is set for mid-November, potentially ending the archdiocese’s Chapter 11 case filed in May 2020 amid a flood of abuse claims.In a statement to CNA, the archdiocese said: “Today we have the voting results of our proposed settlement and reorganization plan, which has been overwhelmingly approved by survivors and other creditors. We are grateful to the survivors who have voted in favor of moving forward with this plan and continue to pray that both the monetary settlement and the nonmonetary provisions provide each of them some path towards their healing and reconciliation.”Archbishop Gregory Aymond originally told the Vatican in a letter that he thought he could settle abuse claims for around $7 million. The archdiocese has spent close to $50 million so far on legal fees alone.The settlement going to abuse victims breaks down to $130 million in immediate cash from the archdiocese and affiliates, $20 million in promissory notes, $30 million from insurers, and up to $50 million more from property sales, including the Christopher Homes facilities, a property that has provided affordable housing and assisted living to low-income and senior citizens in the Gulf Coast area for the last 50 years.Payout amounts to individual claimants will be determined by a point system negotiated by a committee of victims and administered by a trustee and an independent claims administrator appointed by the court. The point system is based on the type and nature of the alleged abuse. Additional points can be awarded for factors like participation in criminal prosecutions, pre-bankruptcy lawsuits, or leadership in victim efforts, while points may be reduced if the claimant was over 18 and consented to the contact. The impact of the alleged abuse on the victim’s behavior, academic achievement, mental health, faith, and family relationships can also adjust the score.Abuse victim Richard Coon cast his vote on Monday. “I voted ‘yes’ to get Aymond out of town. I just think he’s been a horrible leader,” Coon said.In September, Pope Leo XIV named Bishop James Checchio as coadjutor archbishop of New Orleans. Checchio has been working alongside Aymond and will replace him when he retires, which Aymond has said he plans to do when the bankruptcy case is resolved.The $230 million deal is significantly higher than the initial $180 million proposal in May, which drew fire from attorneys like Richard Trahant, who criticized it for being “lowball.”The initial settlement was “dead on arrival,” according to Trahant, who, along with other attorneys, urged his clients in May to hold out for a better offer, saying they deserved closer to $300 million, a figure similar to the $323 million paid out to about 600 claimants by the Diocese of Rockville Centre in New York in 2024. “There is no amount of money that could ever make these survivors whole,” Trahant said in a statement Thursday.In the Diocese of Rockville Centre bankruptcy settlement, attorneys reportedly collected about 30% of the $323 million, or approximately $96.9 million. Similarly, the Los Angeles Archdiocese’s $660 million settlement in 2007 saw attorneys receiving an estimated $165-$217.8 million, or 25%-33% of the payout.The bankruptcy stemmed from explosive revelations in 2018, when the Archdiocese of New Orleans listed over 50 credibly accused priests. In 2021, the Louisiana Legislature eliminated the statute of limitations for civil actions related to the sexual abuse of minors. The new law allows victims to pursue civil damages indefinitely for abuse occurring on or after June 14, 1992, or where the victim was a minor as of June 14, 2021, with a three-year filing window (which ended June 14, 2024) for older cases. The Diocese of Lafayette, along with the Archdiocese of New Orleans, the Diocese of Baton Rouge, the Diocese of Houma-Thibodaux, Catholic Charities, the Diocese of Lake Charles, and several other entities challenged the law’s constitutionality, arguing it violated due process, but the Louisiana Supreme Court upheld it in June 2024 in a 4-3 decision.Critics argued the retroactive nature of the law risks unfairness to defendants unable to defend against decades-old abuse claims due to lost evidence and highlighted the potentially devastating financial impact.


The St. Louis Cathedral and Jackson Square are seen at sunset near the French Quarter in downtown New Orleans on April 10, 2010. / Credit: Graythen/Getty Images

CNA Staff, Oct 31, 2025 / 10:30 am (CNA).

The Archdiocese of New Orleans secured nearly unanimous approval for a $230 million bankruptcy settlement on Thursday, paving the way for payouts to over 650 victims after five years of contentious litigation in the nation’s second-oldest Catholic archdiocese.

The vote, which closed at midnight on Oct. 30, saw 99.63% of creditors — including hundreds of abuse survivors — endorse the plan in the U.S. Bankruptcy Court of the Eastern District of Louisiana, according to The Guardian.

Only the bondholder class, owed $30 million, opposed it, voting against the plan by a vote of 59 to 14, according to court documents. In 2017, bondholders lent the Church $40 million to help refinance parish debt and have been repaid only 25% of the outstanding balance. They have alleged fraud against the Church after it withheld promised interest payments. Legal experts say their “no” vote will not derail confirmation of the settlement, however. 

“Your honor, there is overwhelming support for this plan,” archdiocese attorney Mark Mintz said in court on Thursday. The plan required that two-thirds of voters approve it.

Final tallies of the votes will be filed next week, and a hearing before Judge Meredith Grabill is set for mid-November, potentially ending the archdiocese’s Chapter 11 case filed in May 2020 amid a flood of abuse claims.

In a statement to CNA, the archdiocese said: “Today we have the voting results of our proposed settlement and reorganization plan, which has been overwhelmingly approved by survivors and other creditors. We are grateful to the survivors who have voted in favor of moving forward with this plan and continue to pray that both the monetary settlement and the nonmonetary provisions provide each of them some path towards their healing and reconciliation.”

Archbishop Gregory Aymond originally told the Vatican in a letter that he thought he could settle abuse claims for around $7 million. The archdiocese has spent close to $50 million so far on legal fees alone.

The settlement going to abuse victims breaks down to $130 million in immediate cash from the archdiocese and affiliates, $20 million in promissory notes, $30 million from insurers, and up to $50 million more from property sales, including the Christopher Homes facilities, a property that has provided affordable housing and assisted living to low-income and senior citizens in the Gulf Coast area for the last 50 years.

Payout amounts to individual claimants will be determined by a point system negotiated by a committee of victims and administered by a trustee and an independent claims administrator appointed by the court. 

The point system is based on the type and nature of the alleged abuse. Additional points can be awarded for factors like participation in criminal prosecutions, pre-bankruptcy lawsuits, or leadership in victim efforts, while points may be reduced if the claimant was over 18 and consented to the contact. The impact of the alleged abuse on the victim’s behavior, academic achievement, mental health, faith, and family relationships can also adjust the score.

Abuse victim Richard Coon cast his vote on Monday. “I voted ‘yes’ to get Aymond out of town. I just think he’s been a horrible leader,” Coon said.

In September, Pope Leo XIV named Bishop James Checchio as coadjutor archbishop of New Orleans. Checchio has been working alongside Aymond and will replace him when he retires, which Aymond has said he plans to do when the bankruptcy case is resolved.

The $230 million deal is significantly higher than the initial $180 million proposal in May, which drew fire from attorneys like Richard Trahant, who criticized it for being “lowball.”

The initial settlement was “dead on arrival,” according to Trahant, who, along with other attorneys, urged his clients in May to hold out for a better offer, saying they deserved closer to $300 million, a figure similar to the $323 million paid out to about 600 claimants by the Diocese of Rockville Centre in New York in 2024. 

“There is no amount of money that could ever make these survivors whole,” Trahant said in a statement Thursday.

In the Diocese of Rockville Centre bankruptcy settlement, attorneys reportedly collected about 30% of the $323 million, or approximately $96.9 million. Similarly, the Los Angeles Archdiocese’s $660 million settlement in 2007 saw attorneys receiving an estimated $165-$217.8 million, or 25%-33% of the payout.

The bankruptcy stemmed from explosive revelations in 2018, when the Archdiocese of New Orleans listed over 50 credibly accused priests. In 2021, the Louisiana Legislature eliminated the statute of limitations for civil actions related to the sexual abuse of minors. 

The new law allows victims to pursue civil damages indefinitely for abuse occurring on or after June 14, 1992, or where the victim was a minor as of June 14, 2021, with a three-year filing window (which ended June 14, 2024) for older cases.

The Diocese of Lafayette, along with the Archdiocese of New Orleans, the Diocese of Baton Rouge, the Diocese of Houma-Thibodaux, Catholic Charities, the Diocese of Lake Charles, and several other entities challenged the law’s constitutionality, arguing it violated due process, but the Louisiana Supreme Court upheld it in June 2024 in a 4-3 decision.

Critics argued the retroactive nature of the law risks unfairness to defendants unable to defend against decades-old abuse claims due to lost evidence and highlighted the potentially devastating financial impact.

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Cash aid for moms: Michigan program cuts infant poverty, boosts families

null / Credit: Tatiana Vdb via Flickr (CC BY 2.0)

Washington, D.C. Newsroom, Oct 6, 2025 / 07:00 am (CNA).

A Michigan-based program is providing thousands of dollars to expecting mothers to lessen poverty and improve babies’ health — and all that’s needed is an ultrasound and an ID.

The first community-wide and unconditional cash transfer program for new families in the United States called Rx Kids began with the mission to improve “health, hope, and opportunity.” The initiative began in January 2024 in Flint, Michigan, where enrolled mothers receive $1,500 during their pregnancies and an additional $500 a month for the first year of their child’s life. 

In 2024, Dr. Mona Hanna, a pediatrician and the director of the Michigan State University-Hurley Children’s Hospital Pediatric Public Health Initiative, launched the program with the help of Luke Shaefer, the inaugural director of Poverty Solutions, an initiative that partners with communities to find ways to alleviate poverty.

The city of Flint had been struggling with childhood poverty, “which is a major challenge and economic hardship, especially for new families,” Shaefer told CNA. In order to find ways to combat it, Hanna spoke directly with mothers. They shared how impactful the 2021 expanded Child Tax Credit was, which provided parents funds to put toward necessities for their children.

The program had helped “child poverty plummet to the lowest level ever recorded,” Shaefer explained. He had worked on the program design himself, so he was brought in to help create Rx Kids with a similar goal.

The hope for Rx Kids was simply “to support expectant moms during pregnancy,” Shaefer said. Oftentimes, “the period of pregnancy and the first year of life is actually when families are the poorest,” he said. To combat this, the money helps fund food, rent, car seats, diapers, and other baby supplies and necessities. 

Even families higher on “the economic ladder really struggle to make ends meet when they’re welcoming a new baby, which is really maddening because it’s such a critical period for the development of a child,” Shaefer said. “What happens in the womb, and then what happens in the first year of life, are fundamental to shaping the architecture for kids throughout the life course.”

Expecting mothers from all economic backgrounds can apply to the program. To enroll, women submit an ultrasound and identification to verify residency within the participating location. The only other qualification is that the mothers are at least 16 weeks along in their pregnancies or will have legal guardianship over the child after birth.

Funding and operations

Rx Kids is funded through a public-private partnership model that combines federal funds, often Temporary Assistance for Needy Families, and private support from philanthropic foundations, local businesses, and health care systems. 

Since it started, the program has provided nearly $11 million in cash transfers to the more than 2,000 enrolled mothers in Flint. There have also been 1,800 babies being born in the city within the program. 

The cash transfers are sent through the nonprofit GiveDirectly, which solely administers cash payments to families through programs like Rx Kids to lessen global poverty. It currently has operations in the Democratic Republic of Congo, Kenya, Liberia, Malawi, Mozambique, Rwanda, Uganda, and the U.S.

After seeing success with Rx Kids mothers in Flint, the program expanded to help Michigan families in Kalamazoo, Eastern Upper Peninsula, Clare County, and Oakland County. It has now enrolled more than 3,500 mothers, provided nearly $15 million in funds, and contributed to more than 2,800 babies.

“Not unlike the support provided by the nearly 100 pregnancy resource centers in Michigan whose staff and volunteers walk alongside women providing material support, counseling, and parenting classes, the Rx Kids program aims to care for women and babies during the challenging time of pregnancy and infancy by providing a no-strings-attached cash program,” Genevieve Marnon, legislative director at Right to Life of Michigan, told CNA.

“The pro-life community has long recognized that when women are supported, respected, and valued, they are more likely to choose birth to abortion and experience better health outcomes,” Marnon said. 

In a state where abortion is “considered a constitutional right, every effort to ensure women have the support they need to make a choice for life is something to applaud.”

Success and benefits

“Programs like [Rx Kids] lead to healthier birth weights, lower rates of postpartum depression, and an atmosphere that celebrates each and every woman and child,” Maron said. “The data speaks for itself.”

Recently, Rx Kids received back “the first line of research that is looking really positive,” Shaefer said. Researchers from Michigan State University and the University of Michigan conducted a study published by the American Journal of Public Health that analyzed more than 450,000 births across Michigan. 

The researchers reported that after the program launched in 2024, Flint experienced an 18% drop in preterm births and a 27% reduction in low birth weight when compared with the previous year and similar Michigan cities. 

There was also a reported 29% reduction in NICU admissions, which prevented nearly 60 hospitalizations annually. The outcomes were linked to behavioral changes of women during their pregnancies, including increased prenatal care.

“We’re not forcing anyone to go to prenatal care, but when we provide the economic resources, they go,” Schaefer explained.

Church support

The Catholic Church in Michigan has also been in favor of the program. Jacob Kanclerz, communications associate for the Michigan Catholic Conference (MCC), told CNA that it helps provide “mothers facing difficult circumstances with the resources they need to make a choice for life and avoid resorting to abortion.”

MCC, which serves as the public policy voice for the Church in the state, “supports the Rx Kids program because of its direct assistance to mothers and children in need in lower-income communities in Michigan.”

In line with the Church, the program works “to promote and protect human life as well as provide for the poor and vulnerable in society,” Kanclerz said. MCC has supported funding in the state budget for the Rx Kids program and has testified in support of the expansion of Senate Bill 309, which would incorporate the program officially into state law.

At a hearing for the bill, Tom Hickson, vice president for public policy and advocacy for MCC, said: “By helping mothers pay for critical prenatal and infant health care services and other expenses surrounding childbirth, Rx Kids can help mothers provide their babies the care they need while in the womb and after they are born.”

He added: “This program has been a wonderful help to expectant mothers and their babies who need extra support during this critical stage of life.”

Rx Kids is currently helping Michigan families, but it also offers a startup guide for other states and communities interested in modeling the program. Schaefer said there is “a ton of interest” from other states that hope to implement the program.

There are two versions of the Rx Kids model that areas can implement, depending on their funding availability and goals. One offers $1,500 during pregnancy and an additional $500 each month for six months following the child’s birth. Communities can also model the original version implemented in Flint, which offers a $1,500 cash transfer during pregnancy, and the additional monthly funds for a whole year.

To secure funding, Rx Kids encourages communities to utilize public sources, state or federal dollars, and private support from philanthropic organizations that want to contribute to the mission of alleviating poverty and supporting babies and their mothers.

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