Detroit Archdiocese transfers assets; critics say it's a shell game

The Archdiocese of Detroit transferred hundreds of parishes this year to a separate real estate corporation, a move critics say is similar to attempts across the country by the Catholic Church to shield assets from lawsuits filed by victims of clergy sex abuse.

For the six-county archdiocese, which includes 313 parishes, this is a first step toward creating an individual corporation for each parish, archdiocese spokesman Ned McGrath said Thursday. He said U.S. dioceses had been encouraged by church leadership to make such a change since 1911, and timing has nothing to do with concerns over lawsuits, which have already cost the church billions of dollars.

Terry McKiernan, co-founder of BishopAccountability.org, which tracks the abuse crisis, said this is a shell game to protect those assets from seizure through lawsuits regarding child sex abuse. He compared it to several other cases, such as a fund the Archdiocese of Milwaukee used to try to protect tens of millions of dollars in assets when it entered bankruptcy.

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Across the United States, about 20 dioceses and other religious orders have filed for bankruptcy protection as a result of clergy sex abuse claims, the Associated Press reported last week. As a result, victims' advocates say they are seeing trends across the country that include shifting of assets to other funds or parishes, a tactic previously used in Minnesota, Wisconsin, Tennessee and Southern California.