More on the issue in this week’s NCR.

The article offers a quick survey of the different approaches dioceses are taking in regard to bankruptcy, assets and ownership issues. It’s very confusing. [the issue, not the article.] But the bottom line?

The church, said Gerdano, “hasn’t been consistent and they haven’t been diligent about observing corporate formalities.” Further, given the risks, the decision to seek bankruptcy protection was “fundamentally misguided.”

“Catholic churches have no business putting themselves voluntarily under the jurisdiction of the U.S. Bankruptcy Court,” said Gerdano. “They did this to themselves.”

There’s another piece, looking at the issue historically, particulary in light of the trusteeism controversy, but…it’s only available to subscribers and our friend Jimmy Mac hasn’t checked his email yet, I guess!

I think this is an issue that really could use a basic FAQ/Q&A treatment, for those of us who are interested and concerned but fundamentally confused, as well.

FYI, there is a newsletter called Church Bankruptcy News – the linked piece is their initial offering from 7/04, with more information on the site how to subscribe.  (Along with other corporate bankruptcy updates, in case you’re interested.)