Albany Diocese, abuse survivors reach $148 million settlement
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The Albany Diocese and survivors of child sexual abuse by clergy have reached a settlement in the diocese’s bankruptcy case.
The settlement totals $148 million, with the diocese saying in a statement that it “is an important first step in forming a Chapter 11 plan that will lead to the Diocese’s exit from Chapter 11.”
The total was accepted by a tort committee of survivors involved in the case, and a statement from two law firms representing survivors — Jeff Anderson and Associates, and LaFave, Wein, Frament & Karic — indicates that 186 other abuse survivors were a part of the case.
“This settlement is more than just a significant financial outcome for survivors,” attorney Cynthia LaFave said in a statement. “It is also a public acknowledgement of the harm these survivors endured at the hands of the Diocese and its trusted leaders.
“While no amount of money can undo the trauma they endured, this settlement proves that the survivors’ voices matter and that the diocese must confront its failures and take responsibility.”
The settlement still needs to be approved by the bankruptcy court and voted on by all the survivors. Albany is now the fifth diocese in New York to reach a settlement with survivors, joining Syracuse, Buffalo, Rochester and Rockville Center.
Future measures to increase child protection within the diocese have not yet been finalized, but the diocese said discussions are ongoing. Albany Bishop Mark O’Connell, who was appointed to the position by Pope Leo XIV in October 2025, said the abuse marked “a shameful chapter in our history” and issued an apology to survivors.
“[N]o monetary settlement such as the one reached today will erase the pain caused to survivors,” O’Connell said. “On behalf of the Diocese of Albany, I apologize and promise to be exceedingly diligent in my time in Albany to prevent anything like this occurring again.”
O’Connell succeeded Edward Scharfenberger, who submitted his retirement letter at age 75 as required by canon law. Under Scharfenberger, the Diocese filed for bankruptcy in 2023. Hundreds of cases have been filed against the diocese alleging sexual abuse under the Child Victims Act.
Content retrieved from: https://spectrumlocalnews.com/nys/capital-region/public-safety/2026/03/27/albany-diocese-clergy-abuse-settlement.
