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  Bishop Offers Apology Amid Inquiry on Funds

By Alison Leigh Cowan
The New York Times
May 22, 2006

http://www.nytimes.com/2006/05/22/nyregion/22pastor.html

DARIEN, Conn., May 21 — The leader of the Diocese of Bridgeport apologized on Sunday to parishioners whose longtime pastor resigned last week over accusations that he had taken money from their church.

"I am deeply sorry that this parish family is undergoing such a severe test and came in person to apologize," Bishop William M. Lori told a standing-room-only crowd at the 10 a.m. Mass at the Church of Saint John, Darien's oldest Roman Catholic church. He said that the Gospel "does not ask us to condone wrongdoing" and that "it appears that a considerable portion of your generosity has been used for a purpose other than your church's mission."

The bishop promised a "thorough and independent" investigation of any financial irregularities and, diocese officials said, of apparent high living by the pastor, the Rev. Michael Jude Fay, 55.

The diocese has notified the United States attorney's office in New Haven that the church's funds may have been mishandled, and hired an accounting firm, Deloitte & Touche, to conduct a forensic audit of the parish's finances under the supervision of the diocese's lawyers. No charges have been filed against Father Fay.

"Every effort will be made to make restitution to this parish community," Bishop Lori told worshipers. Outside the church, he said that restitution would be sought first from "those who might have taken funds" rather than using other funds that people have donated.

Father Fay's name was still listed on the weekly bulletin handed out during the service. But Bishop Lori's spokesman, Joseph McAleer, said that the priest had vacated the church's rectory on Wednesday, the same day the bishop asked him to resign. Dr. McAleer said the diocese was aware of the priest's whereabouts because he was cooperating with the investigation, but would not disclose his location.

The bishop was received warmly by the congregants, who did not seem to hold back during Sunday's collection. Norm Walker, the diocese's chief financial officer, said the gifts appeared to be in keeping with the congregation's past generosity.

Last week, Vito Colucci Jr., a private investigator who said he had been hired by "individuals connected with the church," said he believed that Father Fay had diverted at least $200,000 of the church's money to support a lavish lifestyle very much at odds with his duties as a priest.

Public records confirm that Father Fay, who earned $28,000 a year, owned part of a condominium in Florida and had the use of an apartment on Manhattan's Upper East Side with another man.

Church officials have declined to say whether Mr. Colucci's estimates were correct and said they would wait until the investigation was complete before releasing figures.

Reached on Sunday, Mr. Colucci expressed skepticism that the diocese would have moved as forcefully as it did without having its hand forced by his investigation.

Church officials, including the bishop, disagreed and insisted that they moved swiftly once they spotted irregularities. Mr. Walker said the first hint came in October, when certain expenses, including food and travel, rose by 150 percent, and explanations were "not forthcoming." The parish was also delinquent on dues to the diocese for employee benefits and insurance, he said.

He said the diocese's concern increased after a call this spring from People's Bank, complaining that the parish was late with a $25,000 repayment and was "not responding" to the bank's inquiries. Mr. Walker said that the diocese, which routinely co-signs loans, paid the debt. It also intensified its investigation, he said, and decided last Monday that it would seek Father Fay's removal.

 
 

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