Trustee Accuses Archdiocese in New Orleans, Louisiana, of Withholding Records as Clergy Abuse Settlement Payments Stall

The trustee for the Archdiocese of New Orleans’ clergy abuse settlement has filed a complaint in federal bankruptcy court alleging that the archdiocese is using obstructionist tactics that delay distribution of settlement funds to survivors, according to one report. The complaint alleges that the archdiocese is withholding documents the trustee says are necessary for the process.

The settlement was finalized in December 2025 and was intended to resolve a bankruptcy case linked to years of abuse allegations. Reports differ on its size. One report says it promised at least $230 million to survivors, while another describes it as $305 million. Over 40 Catholic institutions have sought federal bankruptcy protection to manage the financial repercussions of the clergy abuse scandal.

The reports also differ on whether payments have begun. One report states that survivors have received letters detailing their payment amounts, which cap at approximately $641,000 per individual. The other report states that payments from the settlement have yet to commence.

According to one report, the settlement uses a zero- to 100-point system to determine individual payments, with more severe abuse, such as rape, receiving higher points. That report states the payouts fall significantly short of survivors’ expectations and of previous out-of-court settlements, including a $2.4 million jury verdict awarded to another claimant in Louisiana.

The trustee’s complaint concerns enrollment records from Hope Haven and Madonna Manor, former Catholic orphanages. The trustee warns that delays in providing these documents could hinder a timely review of abuse claims, a matter of honest dealing in records (Proverbs 11:1). The archdiocese contests the trustee’s claims. It says it was only recently made aware of the request for these files, argues that the trustee’s assertions of delay are unfounded, and stresses the need to protect sensitive information in the requested documents.

Survivor Aaron Hebert, who was abused by a convicted child rapist and former priest, described the settlement as a “farce.” Survivor Richard Coon echoed these sentiments and described the emotional toll on those affected.