Creditors Blast Del. Diocese Over Sex Abuse Defense

Law360, New York (June 16, 2010, 12:30 PM EDT) -- Creditors of the Catholic Diocese of Wilmington Inc. have asked a bankruptcy judge to hold the diocese in civil contempt for violating the automatic stay in its Chapter 11 proceedings by effectively asking the Delaware Supreme Court to rule that 148 sex abuse claims against it are time-barred.

The official committee of unsecured creditors, which consists mostly of alleged sex abuse victims, filed a motion Tuesday in the U.S. Bankruptcy Court for the District of Delaware, claiming the diocese violated the stay by filing an amicus...
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