Norwich Diocese Proposes $29 Million Trust for Abuse Survivors

The Norwich Roman Catholic Diocesan Corp. proposed a plan to exit bankruptcy that would establish a $29 million trust to settle approximately 142 clergy sexual abuse claims.

The diocese, which oversees Catholic Church operations in parts of Connecticut and New York, filed its Chapter 11 plan late Tuesday evening. The proposal comes 18 months after the diocese first sought relief from creditors in the US Bankruptcy Court for the District of Connecticut.

The plan would create an injunction that channels all survivor abuse claims against the diocese or related entities to the settlement trust for compensation. The proposed trust would ...