Boy Scouts of America files for bankruptcy
After years of lawsuits alleging sexual abuse by troop leaders, Boy Scouts of America filed for bankruptcy.
The filing, which took place late Tuesday night, raises questions for dozens of people seeking compensation and for local councils caught in the middle of the scandal.
Local troops will not be affected by the filing, according to a Boy Scouts of America statement.
Filing for bankruptcy will allow the organization to compensate victims, while also continuing to carry out its mission, according to a statement released Tuesday.
Local councils are legally separate, distinct organizations, according to the release, and are not filing for bankruptcy.
“The BSA cares deeply about all victims of abuse and sincerely apologizes to anyone who was harmed during their time in scouting,” President and Chief Executive Officer Roger Mosby said. “We are outraged that there have been times when individuals took advantage of our programs to harm innocent children. While we know nothing can undo the tragic abuse that victims suffered, we believe the Chapter 11 process — with the proposed Trust structure — will provide equitable compensation to all victims while maintaining the BSA’s important mission.”
The organization plans to establish a Victims Compensation Trust.
“The BSA encourages victims to come forward to file a claim as the bankruptcy process moves forward and will provide clear and comprehensive notices about how to do so,” Mosby said.
Additionally, the organization will fund counseling for victims and their families with a provider of their choice, a service it has offered for several years. BSA has also established a multi-year partnership with 1in6, a resource for male survivors of sexual abuse.
“The BSA cannot undo what happened to you, but we are committed to supporting you and to doing everything in our power to prevent it from happening to others,” National Chairman Jim Truly said in an open letter to victims. “It is a social and moral responsibility that I and the entire organization take extremely seriously. We believe that all victims should receive our support and compensation — and we have taken decisive action to make that possible.”
Scouting programs, including unit meetings and activities, council events, other scouting adventures and countless service projects, will continue throughout this process and for many years to come, according to the statement.
“The BSA fully intends to maintain its commitments to its members, families, volunteer leaders, employees, retirees, donors and alumni to the fullest extent permitted by bankruptcy laws,” according to the statement. “The organization also will pay its vendors and partners for all goods and services delivered from today forward.”
Scout Executive Mark Switzer with Twin Rivers Council in Albany confirmed that local Scout councils and troops are unaffected by the bankruptcy filing.
“Twin Rivers Council has not filed for bankruptcy,” he said. “Meetings and activities, district and council events, other scouting adventures and countless service projects are taking place as usual. In short, there should be no change to the local scouting experience.”
The national organization of the Boy Scouts of America is the only entity involved in the Chapter 11 filing. The Twin Rivers Council, which provides programming, financial, facility and administrative support to local units and individual scouts in the local area — is separate and distinct from the national organization. The camps, properties and local contributions are controlled by the regional council, Switzer said.
Child victims advocate Gary Greenberg of New Baltimore criticized the move, saying the issue is about more than money.
“What it means is that cases that have been filed in civil court now will be transferred over to bankruptcy court,” Greenberg said.
Cases in bankruptcy court generally result in monetary settlements, Greenberg said.
“There will be no trial, no witnesses,” he said. “The victim is really denied their day in court. In that respect it is disappointing but not unexpected.”
Victims are unable to pursue criminal charges against their abuser if the statute of limitations has expired, Greenberg said.
“This is another way of institutions trying to wiggle their way out of the responsibility they have to give justice and provide healing to victims,” he said.
The organization has several safeguards in place to protect youth, including mandatory youth protection training, background checks for all volunteers and staff, policies that prohibit one-on-one interactions and require any suspected abuse to be reported, according to the statement.
The scouting organization consists of nearly 2.2 million youth members between the ages of 5 and 21, and approximately 800,000 volunteers in local councils throughout the United States and its territories, according to the statement.
In 2012, the Los Angeles Times published data on about 5,000 men and a few women expelled from Boy Scouts of America over allegations of sexual abuse. The data is collectively known as the Perversion Files. While many of the files include names, some do not include names and only indicate a troop number and year of expulsion from the Boy Scouts.
Individuals accused and subsequently expelled from the Boy Scouts of America in the Capital Region/Hudson Valley include Burdette Nolte from Explorer 2 in Middleburgh in 1969; John Anthony Rosbozom [no troop number listed], in Albany in 1986; Robert H. Teeling from Troop 12 in Schenectady in 1986; James R. Lewis from both Explorer 7 and Explorer 1 in Schenectady in 1988; James A. Fross from both Troop 16 in Tivoli and Troop 58 in Red Hook in 1980; Joseph A. Cousins from both Troop 513 and Pack 563 in Troy in 1987; Daniel L. Dunnigan from Troop 20 in Grand Gorge in 1988; Lawrence J. DuPont from Pack 29 in Schenectady in 1986; Karl A. Alberga from both Explorer 724 and Troop 357 in Schenectady in 1989; Richard V. Barone from Troop 50 in Amsterdam in 1985; #4104 from Troop 30 in Clifton Park in 1994; #4106 from District 8602 in Troy in 1995; #4108 from Troop 2112 in Chatham in 1997; #4109 from Explorer 4073 in Schenectady in 1998; #4112 from Pack 211 in Albany in 2004; #4113 from Explorer 724 in Scotia in 2004; #4135 from Troop 60 in Shokan in 1993; #4173 from Troop 2 in Lake Katrine in 1997; #4173 from District 8690 in Kingston in 1997; and #4174 from Troop 31 in Saugerties in 2003, according to the Perversion Files.
The scouting organization consists of nearly 2.2 million youth members between the ages of 5 and 21 and approximately 800,000 volunteers in local councils throughout the United States and its territories, according to the release.