Attorneys for a New Mexico diocese and its insurance companies say they are optimistic they will soon reach a resolution during mediation talks in their bankruptcy proceedings.
The Gallup Independent reports that the Diocese of Gallup's Chapter 11 case has been winding its way through bankruptcy court for nearly two years. At a status conference Tuesday, attorneys said they believe a successful resolution might be obtained during mediation talks scheduled to take place in Phoenix Dec. 3-4.
At the conference, attorneys for the Diocese asked U.S. Bankruptcy Judge David T. Thuma to postpone any court decisions until after the mediation. Thuma agreed.
The bankruptcy proceedings pertain to insurance policies the diocese reportedly had in the 1960s and '70s. The diocese creditors are victims of sexual abuse by priests.
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