Victims of Christian Brothers to share in final assets
The Christian Brothers, the organization responsible for paying financial compensation to victims of child sexual abuse by religious orders, says it is on the verge of financial collapse.
The Christian Brothers Oceania State Board of Trustees on Monday announced a proposal to distribute its remaining assets, worth about $216 million, to satisfy the claims of survivors and victims of abuse, as well as other creditors.
The plan stipulates that victims will receive more than what would be received if the organization and its related units were to go into liquidation, but the payments would be less than the dollar value of existing claims, according to the group.
Over the past 45 years, the group has paid out totals exceeding $480 million, including damages and plaintiffs’ legal costs.
It is stated that the number and value of requests and the amount of solutions have accelerated in the last decade.
“Consequently, in light of the difficult financial situation in which we find ourselves and after extensive discussions with our professional advisors, we have arrived at the announced position,” the group said in a statement.
The group called the plan “the most responsible action plan.”
For the plan to proceed, court approval will be required, as well as the approval of at least 50 percent of existing creditors representing at least 75 percent of the value of the total claims against the organization.
If the plan is not approved, the group says it will be forced to go into liquidation.
It is stated that the group’s remaining assets consist of 36 properties located around Australia and valued at $216 million.
Victims who have not yet made a legal claim have been told they can still do so and may be eligible for payment.
“Clients eligible to participate in the proposed program will include victims and survivors of abuse in our facilities (including those who have not yet come forward),” the statement said.
“Their interests and those of our other creditors remain our highest priority.”
Members of the Congregation of Christian Brothers first arrived in Australia in 1843 and ran institutions where many of Australia’s most notorious cases of child sexual abuse took place.
“While there is much to be proud of in what we have achieved, there is also an important part of our history that is both shameful and painful,” the statement said.
“Some members of our community have caused tremendous harm through criminal sexual abuse of children.
“This is a reality that we do not bow to, and that is what has brought us to this day.”
1800 RESPECT (1800 737 732)
National Sexual Abuse and Resolution Support Service 1800 211 028
Lifeline 13 11 14
beyondblue 1300 22 4636
