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Diocese’s Fund Transfers Draw Ire From Judge

Law360 (April 10, 2007, 12:00 AM EDT) -- Three lawyers and two priests from the Roman Catholic Diocese of San Diego could face contempt in bankruptcy court after they allegedly transferred funds and engaged in other activities that the court banned while the diocese’s Chapter 11 case is pending.

Judge Louise DeCarl Adler has demanded that the individuals explain their case on Wednesday in the U.S. Bankruptcy Court for the Southern District of California. The Catholic diocese filed for bankruptcy at the end of February after being sued by more than 150 individuals who...
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