By Jim Hannah
Enquirer staff writer
The Enquirer/Andrea Remke
The Catholic Center in Erlanger, which is closing in part because of settlement fees for sexual abuse claims paid by the Covington Diocese.
BURLINGTON – The Covington Diocese announced this afternoon it will pay $120 million to settle the nation’s first class-action lawsuit involving priest sexual abuse.
A settlement fund will be made up of $40 million from investments and real estate. The remaining $80 million will be paid by insurance companies.
No parish property, parish funds or Diocesan Parish Annual Appeal money will be used for the settlement, said diocesan spokesman Tim Fitzgerald.
The diocese has, over the past two years, been settling sexual abuse claims. In addition to today’s settlement, the diocese has paid about $10.5 million to settle 56 sexual-abuse claims in the past 18 months.
The diocese’s share of those earlier settlements was $4 million, while insurance companies picked up the difference.
It is not clear how many people are eligible to collect money from the class-action settlement, which still requires court approval, though the plaintiffs’ attorneys have said there are hundreds of victims.
As part of the settlement, claimants will be grouped into four categories, based on the nature and severity of the abuse. Both sides have agreed that victims will get from $5,000 to $450,000 each.
“From the moment I was made aware of the extent of the abuse of children by priests in this diocese, I made a promise that I would do all I could to reach out to the victims,” Bishop Roger Foys said in a written statement. He was appointed in July 2002.
“After personally meeting with more than 70 victims, I am painfully aware that no amount of money can compensate for the harm these victims suffered as innocent children,” he wrote. “Nevertheless, I pray that this settlement will bring some measure of peace and healing to victims and their loved ones.”
Cincinnati attorney Stan Chesley, lead counsel for the plaintiffs, said any person who claims to have been sexually abused by any religious person or employee of the diocese may make a claim no matter when it occurred.
“The additional anxiety and stress that would have occurred to the victims had there been a trial has been eliminated,” Chesley said in a statement. “While this took a long time to accomplish, it could not have occurred without the commitment of both sides to work toward a fair and reasonable resolution.”