Rockville Centre diocese in New York settles with more than 530 victims after proposed deal comes close to failure

A Roman Catholic diocese in Long Island, New York, announced a new bankruptcy settlement on Thursday that would pay more than $323m to about 530 sex abuse survivors who alleged they were abused by priests when they were children.

The diocese of Rockville Centre, which serves about 1.2 million Catholics in Nassau and Suffolk counties, said earlier this year that it did not think a bankruptcy settlement would be possible after abuse survivors rejected the diocese’s previous $200m settlement offer.

US bankruptcy judge Martin Glenn in Manhattan, who is overseeing the case, said the deal represented “enormous progress” after the bankruptcy came “within a hair’s breadth” of failure.