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CNN Sunday Morning

Interview With Jeffrey Newman

Aired December 08, 2002 - 09:14   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


MILES O'BRIEN, CNN ANCHOR: The priest sex abuse scandal is the talk of the pulpit today in California, the "Los Angeles Times" reporting priests there are planning to read a letter to parishioners, warning of hundreds of new sex abuse lawsuits, stemming from a new state law that suspends the statute of limitations on such cases.
Meanwhile, another letter, this one by Boston area priests, is calling on Cardinal Bernard Law to resign. The priests plan to deliver to it Law if they get 50 signatures.

Six different organizations plan to stage a protest outside Holy Cross Cathedral today in Boston, pushing for the cardinal's resignation.

For more now on the letter, expected to be read in California churches today, as well as the possible bankruptcy of the Boston archdiocese, we're joined by Jeffrey Newman. He's the attorney for alleged sex abuse victims in Boston.

Mr. Newman, good to have you with us.

JEFFREY NEWMAN, ATTORNEY FOR ALLEGED PRIEST ABUSE VICTIMS: Thank you.

O'BRIEN: Just when you thought the story couldn't get worse, it does.

NEWMAN: Well, I think that a lot of people thought they had seen the worst before last week, when we released 250 of 12,000 documents obtained in our lawsuits. And these documents are horrific.

O'BRIEN: And these documents, some would suggest, are perhaps the most damming to come to light yet.

NEWMAN: I think in terms of Cardinal Law and the bishops and the extent of the knowledge and the toleration, the tolerance that was shown for these priests, many of whom admitted their wrongdoing, I think that's correct.

I think that there's no question that there was extensive knowledge now by Cardinal Law himself and his bishops that these things were going on. They shifted these priests from parish to parish; they did everything they could to protect them.

And now that the specifics are coming out, the pastors and the priests themselves and the church are reacting, asking for Law's resignation.

O'BRIEN: Well, and it just broadens the whole list of allegations of vice. It gets into drugs; it gets into sexual abuse of nuns. It's incredibly -- well, it's tough reading, particularly for the faithful, isn't it?

NEWMAN: I think for anyone who cares about children, it's hard to read this. But when you remember that the people at the top of what is supposed to be one of the most moral institutions in the world, sending people out to minister to those in need, who have spiritual issues, to allow this type of thing to go on is even more heinous.

We have, of course, an instance now where a priest admitted that he was with a woman who fainted and then ultimately died from a drug overdose. Cardinal Law and Bishop McCormick, his first in command, were aware of that, and they put this priest back in the parish.

I think these incidents this week kicked off a recognition, wholesale, in the church that the leadership is bankrupt, the leadership is problematic and Law has to go.

O'BRIEN: You mentioned the world bankrupt in a different context, but in a case at the very least of bad timing, it comes to light this week that the archdiocese in Boston is prepared to go the bankruptcy route, if necessary.

Frequently in matters such as this, the public relations route and the legal route, the best of both of those are diametrically opposed.

Let me ask you for a just moment, if you could, put on the hat of the other side here, if you were defending the archdiocese, wouldn't you recommend bankruptcy as a good option?

NEWMAN: Well, I think it depends on how much money they have.

I don't think they recognize the ultimate reaction that came after they announced the potential for bankruptcy. It's been enormous negative reaction.

But to answer your question directly, it is possible that if they can't divest themselves of some property and try to find a way to remedy the issues, bankruptcy may be one of the only ways to go, but...

O'BRIEN: Let me ask you this: if, in fact, that comes to pass, where would these plaintiffs stand in the pecking order when it comes to creditors in a bankruptcy proceeding.

NEWMAN: Well, we're in pretty good shape, because there's $90 million plus in face value of insurance that's available. We'd be first in line for that.

And in addition, there are many non-core mission-related properties, not churches or schools, but properties that aren't being used that would be forced in terms of a sale.

And thirdly, we're primary creditors. These are individuals who have been victimized, who would be fairly high up on the pecking order. even if there is a bankruptcy that is filed.

O'BRIEN: Church, I suppose, doesn't have a lot of mortgages.

NEWMAN: They don't have any mortgages to speak of. They have a mortgage now on the chancery that they obtained from the Knights of Columbus, and they did borrow some money from Fleet Bank.

But for the most part, they have extensive properties which are unmortgaged.

O'BRIEN: Tell me just a little bit about where your clients are in this whole, this latest round of documents and the talk of bankruptcy and continued calls for Cardinal Law's resignation.

Is this -- does this leave them feeling as if they're going to be left out in the cold through all of this, or that there will somehow be some sort of justice?

NEWMAN: Well, I think we got calls from most of our clients. We represent almost 230 individuals out of the 400-plus that are archdiocese victims. Many are quite concerned. They don't understand what's going on.

Also, some of them are spiritually suffering and they see it unfortunate that the church would allow itself to turn to the bankruptcy option, because it will leave a terrible moral legacy in the end, where they'll kind of tweak out of their responsibility that they, themselves, allowed to occur over the last 30 years, by filing bankruptcy.

So I think that it's pretty much upset with this type of decision on a moral basis.

O'BRIEN: Do you see the cardinal, perhaps, answering those calls to resign?

NEWMAN: I don't know. I think he's previously said he was going to stay here until this was over.

My hope is, my fervent hope is that he will take control at this stage, take it out of the hands of the attorneys, who are making terrible decisions, in my opinion.

Do what has to be done. Sell the chancery, sell some properties, make their peace with their own insurance companies, and bring an end to the litigation at this stage. And I think that will be the first step in turning the corner.

Many of my clients want to go back to the church. But they can't do that until the church makes peace with them.

O'BRIEN: Jeffrey Newman, who represents several plaintiffs, who are alleging abuse by priests in the Boston archdiocese, thanks for being with us this morning on CNN.

NEWMAN: Thank you for having me.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com







Aired December 8, 2002 - 09:14   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
MILES O'BRIEN, CNN ANCHOR: The priest sex abuse scandal is the talk of the pulpit today in California, the "Los Angeles Times" reporting priests there are planning to read a letter to parishioners, warning of hundreds of new sex abuse lawsuits, stemming from a new state law that suspends the statute of limitations on such cases.
Meanwhile, another letter, this one by Boston area priests, is calling on Cardinal Bernard Law to resign. The priests plan to deliver to it Law if they get 50 signatures.

Six different organizations plan to stage a protest outside Holy Cross Cathedral today in Boston, pushing for the cardinal's resignation.

For more now on the letter, expected to be read in California churches today, as well as the possible bankruptcy of the Boston archdiocese, we're joined by Jeffrey Newman. He's the attorney for alleged sex abuse victims in Boston.

Mr. Newman, good to have you with us.

JEFFREY NEWMAN, ATTORNEY FOR ALLEGED PRIEST ABUSE VICTIMS: Thank you.

O'BRIEN: Just when you thought the story couldn't get worse, it does.

NEWMAN: Well, I think that a lot of people thought they had seen the worst before last week, when we released 250 of 12,000 documents obtained in our lawsuits. And these documents are horrific.

O'BRIEN: And these documents, some would suggest, are perhaps the most damming to come to light yet.

NEWMAN: I think in terms of Cardinal Law and the bishops and the extent of the knowledge and the toleration, the tolerance that was shown for these priests, many of whom admitted their wrongdoing, I think that's correct.

I think that there's no question that there was extensive knowledge now by Cardinal Law himself and his bishops that these things were going on. They shifted these priests from parish to parish; they did everything they could to protect them.

And now that the specifics are coming out, the pastors and the priests themselves and the church are reacting, asking for Law's resignation.

O'BRIEN: Well, and it just broadens the whole list of allegations of vice. It gets into drugs; it gets into sexual abuse of nuns. It's incredibly -- well, it's tough reading, particularly for the faithful, isn't it?

NEWMAN: I think for anyone who cares about children, it's hard to read this. But when you remember that the people at the top of what is supposed to be one of the most moral institutions in the world, sending people out to minister to those in need, who have spiritual issues, to allow this type of thing to go on is even more heinous.

We have, of course, an instance now where a priest admitted that he was with a woman who fainted and then ultimately died from a drug overdose. Cardinal Law and Bishop McCormick, his first in command, were aware of that, and they put this priest back in the parish.

I think these incidents this week kicked off a recognition, wholesale, in the church that the leadership is bankrupt, the leadership is problematic and Law has to go.

O'BRIEN: You mentioned the world bankrupt in a different context, but in a case at the very least of bad timing, it comes to light this week that the archdiocese in Boston is prepared to go the bankruptcy route, if necessary.

Frequently in matters such as this, the public relations route and the legal route, the best of both of those are diametrically opposed.

Let me ask you for a just moment, if you could, put on the hat of the other side here, if you were defending the archdiocese, wouldn't you recommend bankruptcy as a good option?

NEWMAN: Well, I think it depends on how much money they have.

I don't think they recognize the ultimate reaction that came after they announced the potential for bankruptcy. It's been enormous negative reaction.

But to answer your question directly, it is possible that if they can't divest themselves of some property and try to find a way to remedy the issues, bankruptcy may be one of the only ways to go, but...

O'BRIEN: Let me ask you this: if, in fact, that comes to pass, where would these plaintiffs stand in the pecking order when it comes to creditors in a bankruptcy proceeding.

NEWMAN: Well, we're in pretty good shape, because there's $90 million plus in face value of insurance that's available. We'd be first in line for that.

And in addition, there are many non-core mission-related properties, not churches or schools, but properties that aren't being used that would be forced in terms of a sale.

And thirdly, we're primary creditors. These are individuals who have been victimized, who would be fairly high up on the pecking order. even if there is a bankruptcy that is filed.

O'BRIEN: Church, I suppose, doesn't have a lot of mortgages.

NEWMAN: They don't have any mortgages to speak of. They have a mortgage now on the chancery that they obtained from the Knights of Columbus, and they did borrow some money from Fleet Bank.

But for the most part, they have extensive properties which are unmortgaged.

O'BRIEN: Tell me just a little bit about where your clients are in this whole, this latest round of documents and the talk of bankruptcy and continued calls for Cardinal Law's resignation.

Is this -- does this leave them feeling as if they're going to be left out in the cold through all of this, or that there will somehow be some sort of justice?

NEWMAN: Well, I think we got calls from most of our clients. We represent almost 230 individuals out of the 400-plus that are archdiocese victims. Many are quite concerned. They don't understand what's going on.

Also, some of them are spiritually suffering and they see it unfortunate that the church would allow itself to turn to the bankruptcy option, because it will leave a terrible moral legacy in the end, where they'll kind of tweak out of their responsibility that they, themselves, allowed to occur over the last 30 years, by filing bankruptcy.

So I think that it's pretty much upset with this type of decision on a moral basis.

O'BRIEN: Do you see the cardinal, perhaps, answering those calls to resign?

NEWMAN: I don't know. I think he's previously said he was going to stay here until this was over.

My hope is, my fervent hope is that he will take control at this stage, take it out of the hands of the attorneys, who are making terrible decisions, in my opinion.

Do what has to be done. Sell the chancery, sell some properties, make their peace with their own insurance companies, and bring an end to the litigation at this stage. And I think that will be the first step in turning the corner.

Many of my clients want to go back to the church. But they can't do that until the church makes peace with them.

O'BRIEN: Jeffrey Newman, who represents several plaintiffs, who are alleging abuse by priests in the Boston archdiocese, thanks for being with us this morning on CNN.

NEWMAN: Thank you for having me.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com