Sunday, July 17, 2011

Diocese spent 10 times more on legal fees than on counselling

THE Cloyne Diocese hierarchy spent 10 times more on legal fees and advice than it did on counselling services for abuse victims who came forward.

Figures revealed by the Murphy Commission show that between 2001 and 2010 the Cork diocese paid €328,000 in legal costs associated with child sex abuse complaints.

This includes payments for legal advice, legal costs for priests involved in criminal or civil court cases, and the legal fees of some complainants.

Between 1996 and 2007, Bishop John Magee and Monsignor Denis O’Callaghan ratified just €30,000 in counselling payments for six victims — a figure that amounts to less than 10% of solicitor fees.

Chapter seven of the report also notes that both payment totals, and more undisclosed settlement and compensation costs, came from a complex money trail evident throughout the Catholic Church.

Among the financial sources were the diocese’s main operating account, the number seven holding account, the child protection fund, the building society number one account and a local charitable trust.

Other sources included the Mallow parish account, the stewardship trust, a levy on parish properties that were sold, returns on investments in local radio and an "upkeep fund" for parish houses.

These were funded via 5% charges on parish door/offertory annual collections, "special" collections, loans, donations and payments into the stewardship trust, which replaced the Church’s insurance company.

Between 1996 and 2005 the Murphy Commission noted that Cloyne paid a little over €207,000 into the stewardship trust, made up of €80,000 from a bank loan and the balance from the main diocesan operating account.

One of the most interesting payment sources for child abuse costs relates to the charitable trust overseen by Mgr Denis O’Callaghan.

During the period in question, the senior diocese member paid out €30,000 from this specific fund for Mallow parish-related issues, with Mallow paying the same figure back into the trust.

The commission said this arrangement appeared to have arisen out "of a concern that the direct payment to complainants might be construed as an admission of liability on the part of the diocese".

In the case of two complainants, money was paid out of this charitable trust for counselling fees worth almost €6,000 at the request of Mgr O’Callaghan. He then made donations to the trust from the Mallow parish funds to cover the costs.