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.
Read More![Bill proposed in Hungary could require priests to violate seal of confession #Catholic
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Washington, D.C. Newsroom, Oct 24, 2025 / 06:00 am (CNA).
Here is a roundup of Catholic world news from the past week that you might have missed:Bill proposed in Hungary could require priests to violate seal of confessionThe Permanent Council of the Hungarian Catholic Bishops’ Conference has expressed shock over the proposition of a bill that would require Catholic priests to violate the seal of confession. “This is in serious conflict with the agreement between the Republic of Hungary and the Holy See of Feb. 9, 1990, which states that the Catholic Church in our county operates on the basis of [canon law],” the council stated in an Oct. 17 press release. The council expressed regret over “extremely crude” and “baseless sentiment-mongering and slander” that has occurred during the ongoing election cycle. “We emphasize to our priests, all believers, and society that we are not a political organization, we do not wish to participate in the campaign,” it stated. “Our mission is to serve the salvation of souls.” Church in South Korea pledges help for Timorese migrants The Catholic Church in South Korea has pledged to help improve the situation for migrants from the small Catholic-majority island country of Timor-Leste.During an Oct. 11–15 visit to the island, a 12-member delegation of South Korean Catholics from the Committee for Pastoral Care for Migrants of the Catholic Bishops’ Conference of Korea visited with groups that send migrant workers to South Korea, Cardinal Virgílio do Carmo da Silva, as well as President José Ramos-Horta and Prime Minister Xanana Gusmão, according to UCA News. The delegation pledged to help bring about “better protection and welfare of migrant communities” and to “improve better pastoral care program[s] for Timor-Leste migrants,” of which there are approximately 7,000 living in South Korea.Australian archbishop renews commitment to safeguarding childrenArchbishop Tony Ireland of Hobart in Tasmania, Australia, has reaffirmed his commitment to ensuring all Catholic communities and workplaces throughout his diocese uphold safe environment standards. “The safety and well-being of all who engage with the Church is foremost in my mind and heart,” the archbishop said in an Oct. 17 statement. “Ensuring that every person — regardless of age or circumstance — feels safe, valued, and respected is an essential part of our mission and witness.” On behalf of his archdiocese, Ireland endorsed the National Catholic Safeguarding Standards, stating: “Our commitment to these standards is unwavering, reflecting zero tolerance of any form of abuse, neglect, or exploitation.” The archdiocese has remained engaged in its safeguarding measures since 2017. Madagascar cardinal urges international community to refrain from sanctioning country Cardinal Désiré Tsarahazana of Toamasina, Madagascar, is appealing to the international community not to sanction Madagascar in wake of a coup staged by military-backed youth protesters. The cardinal told Vatican media that imposing sanctions “would be illogical and immoral.”“Supporting young people who demand a better life and then killing them with sanctions would make no sense,” Vatican News Italy reported. Religious conversion case against Christian university officials in India droppedThe Supreme Court of India has dropped a criminal case against three Christian university officials in Uttar Pradesh who were accused of violating the state’s stringent anti-conversion laws. The court dropped the case on Oct. 17, citing “legal defect” in the allegations filed by Himanshu Dixit, vice president of the World Hindu Council, according to UCA News. The Hindu leader had accused officials from the Presbyterian Sam Higginbottom University of Agriculture, Technology, and Sciences of “unlawful conversion activities” in addition to “cheating, criminal intimidation, and forgery,” according to the report.The judges noted that under Uttar Pradesh law, only an “aggrieved” person — that is, a victim or close relative — of the violation is permitted to lodge a complaint. The court declined to dismiss charges related to cheating and forgery but ordered protection of the accused from arrest.Church in Mozambique proposes political guide for dialogueThe Episcopol Justice and Peace Commission in Mozambique has proposed a document outlining “concrete proposals for reforms of the state, the electoral system, natural resource policies, economic inclusion, and national reconciliation.”The document, “A Political Guide for National Dialogue,” proposes limited power for the president in appointing heads of state, that judges be elected among their peers, and that the position of secretary of state be eliminated in provinces for the sake of the country’s budget, according to an Oct. 20 report from Vatican News. The guide also recommends the elimination of electronic voting to combat fraud as well as economic and natural resource reforms. To address the county’s unrest, the document proposes “building a collective memory based on truth, exercising forgiveness and mutual listening, promoting a culture of dialogue and trust, and changing mentalities to value differences while combatting prejudices.”Latin American bishops host ‘virtual jubilee’ for Indigenous people The Episcopal Conference of Latin America hosted a virtual jubilee event for Indigenous people of Latin America and the Caribbean on Oct. 14–16. Organized by the Advisory Team on Indian Theology, together with the Pastoral Care of Indigenous People of the Latin American and Caribbean Episcopal Council and the Latin American Ecumenical Articulation of Indigenous Pastoral Care, the event centered on sharing experiences “as pilgrims of hope together with our Indigenous people, authentic custodians of culture, and our common home,” according to a message from Cardinal Michael Czerny, SJ, prefect of the dicastery for promoting integral human development.“Your love for the earth, your respect for the elderly, your sense of community, and your ability to live in harmony with creation are a gift to the whole Church. You teach that life is best understood when lived simply, in relationship with God, with nature, and with others,” he said.](https://unitedyam.com/wp-content/uploads/2025/10/bill-proposed-in-hungary-could-require-priests-to-violate-seal-of-confession-catholic-null-credit-as-photo-studio-shutterstockwashington-d-c-newsroom-oct-24-2025-0600-am-cna-here-i.webp)
