Secret family
There have been a series of recent pre-trial settlements by the diocese, including one filed by the members of a family of children that Francis P. Melfe, a former Schenectady priest, was accused of secretly raising and sexually abusing over a period of years beginning in the late 1960s. Melfe, who died in 2019 at age 91, resigned from the priesthood
in 1979.
The legal cases against him had included allegations that he stole from church coffers — often using the family of children he allegedly abused to help him count the money — and is believed to have burned down a Schenectady bar he owned and operated while serving as a priest, according to the family’s attorneys, JoAnn P. Harri and Martin Smalline.
The undisclosed settlement was finalized last week with the former priest’s biological son and his four siblings, who all alleged they had been sexually abused by the priest, who had maintained a secret relationship with the mother of those children. Now ranging in age from their 40s to 60s, the children allege they were subjected to years of emotional and sexual abuse by Melfe.
Another case settled by the diocese recently was involved Jack Cesare, an outspoken critic of the Catholic church’s handling of sexual abuse complaints as well as the law enforcement agencies that he believes turned a blind eye to that alleged corruption. Cesare reached his settlement — which he said was for $350,000 — without an attorney after he severed ties more than a year ago with the law firms that had represented him.
Cesare, who had been a supporter of the state’s Child Victims Act, including attending rallies at the state Capitol, spent three days in a South Florida jail years ago after he was accused of making a threatening phone call to the New York governor’s office. He denied the allegations; the criminal charges were later dropped.
“I knew I wasn’t going into another year with this in my life, because it took over my life. I was fighting for myself ... and my other friends who couldn’t’ do what I did,” Cesare said. “I paid a big price ... not only with my (physical) health but my mental health.”
Costello and Albany Bishop Edward B. Scharfenberger have warned since June that the diocese may need to file for bankruptcy if cases begin going to trial with the potential for substantial verdicts and high court costs. Costello has noted that the fees associated with a bankruptcy proceeding could top $600,000 a month — money he said the diocese would rather preserve for the hundreds of victims of child sexual abuse.
Attorneys for some plaintiffs said that threat has led to some victims believing they would not get substantial settlements if there is a bankruptcy filing. But those attorneys have also noted that filing for bankruptcy would require the diocese to disclose its assets and liabilities — information that has remained secret.
At the end of last week’s hearing, Costello said the diocese will continue with “block settlements,” but he is hopeful the global mediation can be revived.
“Perhaps, as this moves along, there would be a justification here to expand this and get back to where we started,” Costello said. “Because I suspect that many of the attorneys (in this hearing) want to ... bring this to a resolution that’s meaningful and timely and fair to their clients, as opposed to encouraging, suggesting that the diocese just promptly file a Chapter 11 petition, which is going to result in protracted litigation and time and less recovery for the victims (and) survivors.”
But while the diocese has publicly asserted it wants what is best for the victims, it has also waged a fierce legal battle for the past three years fighting nearly every pre-trial discovery request for its internal files on clergy abuse. Those legal battles, including appeals, have dragged out the litigation at a time when many victims, accused abusers and witnesses, are beginning to die as they grow old, their attorneys said.