A Roman Catholic diocese in Connecticut filed for federal bankruptcy protection on Thursday to resolve dozens of lawsuits alleging the abuse of teenage students in the 1990s at the former Academy at Mount Saint John School, a residential treatment center for troubled youth in Deep River, the Associated Press reported. Documents filed by the Diocese of Norwich, which oversaw the residential facility, indicate it has $50 million to $100 million in estimated liabilities owed to 50 to 99 creditors. To date, nearly 60 former residents of the school have sued the diocese and a former bishop for damages, exceeding the diocese's current financial ability to pay, according a statement issued by the diocese. According to the filing, the diocese has $10 million to $50 million in assets. The diocese’s parishes, cemeteries, schools and religious orders are not part of the chapter 11 filing, which is not expected to have a direct impact on the day-to-day operations of those entities or the employment status, salaries and benefits of the diocese's employees or retirees, the bishop said.
