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Judge OK's Spokane Diocese Reorganization Plan

Law360 (April 25, 2007, 12:00 AM EDT) -- Bringing the troubled Catholic Diocese of Spokane one step closer to exiting from bankruptcy, a judge on Tuesday signed off on the diocese’s second amended plan of reorganization, which provides for a $48 million payout to settle child molestation charges.

U.S. Bankruptcy Judge Patricia Williams entered the order approving the plan on Tuesday after finding that all the provisions of the Bankruptcy Code had been met.

The embattled diocese agreed in January after six months of mediation to pay at least $48 million to victims of...
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