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Parishioners seek probe of priests’ pension fund
$4.5m in donations said to be diverted
By Michael Levenson, Globe Correspondent | May 22, 2005
Parishioners in the Roman Catholic Archdiocese of Boston plan to ask Attorney General Thomas F. Reilly to investigate possibly fraudulent financial management in church officials' use of tens of millions of dollars donated by parishioners to fund priests' pensions, money that some believe was spent for other purposes.Parishioners also said yesterday that they would ask Reilly to investigate whether donations made for other special purposes were also misspent. Cynthia Deysher, cochairwoman of the group that plans to file the complaint, said it has no evidence that church leaders misspent funds other than the pension donations. **But the group, the Council of Parishes, an organization founded to support lay Catholics protesting church closings, has lost confidence in the church's financial stewardship**, she said.
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Another renegade group like VOTF?
$4.5m in donations said to be diverted
By Michael Levenson, Globe Correspondent | May 22, 2005
Parishioners in the Roman Catholic Archdiocese of Boston plan to ask Attorney General Thomas F. Reilly to investigate possibly fraudulent financial management in church officials' use of tens of millions of dollars donated by parishioners to fund priests' pensions, money that some believe was spent for other purposes.Parishioners also said yesterday that they would ask Reilly to investigate whether donations made for other special purposes were also misspent. Cynthia Deysher, cochairwoman of the group that plans to file the complaint, said it has no evidence that church leaders misspent funds other than the pension donations. **But the group, the Council of Parishes, an organization founded to support lay Catholics protesting church closings, has lost confidence in the church's financial stewardship**, she said.
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Other special collections Deysher wants Reilly to investigate include donations that parishioners made for Latin American parishes, nuns' pensions, Catholic universities, and global disaster relief.
The heart of the complaint is the accusation that the archdiocese diverted about $4.5 million donated annually by parishioners over 16 years for the priests' pension fund, which is now badly underfunded.
According to material the archdiocese sent to priests, the archdiocese did not contribute to the priests' pension fund between 1986 and 2002. During that time, donations that parishioners made annually at Christmas and Easter were spent instead on healthcare for active and retired clergy, the documents say. The archdiocese says it now faces a $55 million unfunded liability in its pension fund for priests.
''I think we were all very perplexed as to how the archdiocese accumulated such a large unfunded pension liability, because parishioners have been giving for years," said Deysher, who is also chairwoman of the finance council at St. Anselm Parish in Sudbury. ''Now it has come out that they never put the money in for 16 years. That is fraudulent."
Corey Welford, a spokesman for Reilly, said, ''We are aware of the allegations, and we'll certainly take a look at any information people have on this."
Church officials yesterday strongly denied any impropriety.
''The Archdiocese takes up special collections for many purposes including support for our clergy," Chancellor David W. Smith said in a statement released by the archdiocese. ''Each one of those collections is remitted exactly as we represent it will be. Both the Archdiocese of Boston and the clergy funds are audited on an annual basis and at no time have any of the audit firms raised any questions whatsoever about our handling of these funds."
The Council of Parishes has been helping to organize 15 parishes from a total of 83 that the archdiocese plans to close to save money and make up for dwindling attendance and a shortage of priests.
Another renegade group like VOTF?