Christian Brothers 'squib' on abuse compensation, lawyer says
Summarized and contextualized by DistantNews.
At a glance
- A lawyer representing victims of child sexual abuse alleges the Christian Brothers order is attempting to avoid full compensation payments.
- The order plans to sell its remaining assets, valued at approximately $216 million, to pay abuse victims, who would become creditors.
- This move has raised concerns that it could set a precedent for other religious orders to minimize their responsibility to survivors.
A lawyer representing numerous victims of child sexual abuse has accused the Congregation of Christian Brothers Oceania Province of attempting to "squib" on compensation payments. The order revealed its intention to sell its remaining assets to settle claims, with victims designated as creditors.
We accept that we have now reached a pivotal moment facing a very difficult financial position, and consequently the proposed scheme is the most responsible course of action.
Christian Brothers stated that the order would cease to exist after the asset sale, though schools founded by the order would remain unaffected. The assets, comprising about 36 properties across Australia, are valued at around $216 million. The congregation acknowledged a difficult financial position, deeming the proposed scheme the most responsible course of action.
However, the money raised from the sale is not expected to cover the full compensation owed to victims, both current and future. Schools like St. Mary's College in Melbourne, owned by a separate entity, Edmund Rice Education Australia, will not be part of the asset sale.
It really is an unprecedented step. No religious order in Australia has called together a collective group of plaintiff lawyers and said 'look, the cupboard is bare'.
Lawyer Laird Macdonald expressed shock at the move, calling it an unprecedented step. He voiced concerns that this approach might serve as a template for other religious orders to evade their obligations to survivors. Macdonald noted a general anxiety among his clients that the ground is shifting beneath them even after cases have been resolved.
I would be concerned that this might provide a template for other orders to effectively squib on their responsibility to pay their victims and their survivors proper compensation.
The Christian Brothers indicated they would seek a stay on current and future civil proceedings, having already paid over $480 million in compensation and costs since 1980. The order cited an acceleration in the number and value of claims over the past decade.
Over the past ten years the number of claims and quantum of settlements has accelerated.
Originally published by ABC Australia. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.