Survivors of abuse who successfully sued the Boy Scouts and are seeking compensation from a bankruptcy trust have been disappointed with the payouts they've been receiving. Some 82,000 people have filed claims to receive compensation from the Scouting Settlement Trust, which was established in 2023 after the Boy Scouts of America filed for Chapter 11 bankruptcy. The filing came on the heels of renewed accusations of sexual abuse of scouts at the hands of troop leaders and other adults.
One man in Massachusetts who was expecting money from the fund told WCVB that the disappointing payment only stirred up old, painful memories. He said he had been sexually abused by two of his Boy Scout leaders beginning when he was 12 years old. "It's just like we're getting abused all over again," the man, who requested anonymity, told the broadcaster.
He told the broadcaster that what happened to him during his time with the Boy Scouts was the "worst thing that had happened in my life" and it drove him to run away fro home. The man told WCVB that he had already taken out $10,000 in loans — at a 39 percent interest rate — against the settlement money he was expecting to receive. When he was sent a much smaller check than he was anticipating, he was frustrated.
"It really hurts to to be in this position where I have to borrow money," he said. His attorney tried to get him an adjusted payout, arguing to the trust that the man's circumstances should have placed him into a higher compensation tier. That request was ultimately denied, leaving the man with little recourse.
Estimates suggest that the Scouting Fund could reach up to $10 billion in assets collected from the Boy Scouts of America, but as of this report it has only received about $2.5 billion. The Independent has requested comment from The Scouting Settlement Trust. The trust's website notes to claimants that "The Trust does not know how much claimants will receive on allowed claims, but it will not be 100% of the allowed amount." A group of survivors tried to fight against the bankruptcy, arguing it would shield independent BSA councils and third-party organizations from future civil lawsuits.
The Supreme Court ruled in February 2024 that the Boy Scouts could file bankruptcy, but opponents of that decision argued earlier that the court should reopen the BSA settlement. The supporters of that movement pointed to the Supreme Court's Purdue Pharma decision, in which the company — which makes OxyContin — attempted to file for bankruptcy. The court denied the bankruptcy agreement, which allows future lawsuits to target the now-defunct's company's owners, the Sackler family.
Extract — continue reading at the source.
