The National Catholic Register reports on December 19, 2025, that Edward Scharfenberger, retired “bishop” of Albany, filed for Chapter 13 bankruptcy protection following a $54.2 million civil judgment against him and other officials for the collapse of the St. Clare’s Hospital pension fund. A jury found Scharfenberger 10% liable for leaving 1,100 retirees without promised benefits. The Diocese of Albany, which filed for Chapter 11 bankruptcy in 2023 over abuse lawsuits, was absolved of liability. Scharfenberger’s filing lists debts up to $10 million against assets under $500,000. His successor, Mark O’Connell, stated the diocese “cannot pay a billion dollars” and that bankruptcy mediators would determine “what’s fair” for creditors. The report exemplifies the conciliar sect’s disintegration into financial and moral insolvency.
Naturalism Replaces Supernatural Accountability
The article’s focus on bankruptcy proceedings obscures the gravitas of ecclesiastical leadership. Nowhere does Scharfenberger or O’Connell acknowledge the spiritual bankruptcy underlying this debacle. The pension collapse stems from deliberate underfunding and ERISA exemptions—a betrayal of workers who served a Catholic institution for decades. Pius XI’s Quas Primas (1925) condemns such materialism: “When God and Jesus Christ are removed from laws and states… the foundations of authority are destroyed” (§18). The “bishops” reduced their duty to corporate risk management, ignoring the in iustitia (in justice) owed to laborers (Leviticus 19:13).
Canonical Farce of “Oversight”
The diocese claims Scharfenberger merely provided “canonical oversight” to ensure the hospital met “Catholic moral standards.” This is sophistry. Canon 1523 of the 1917 Code mandates bishops to supervise ecclesiastical goods to prevent “loss or damage.” The hospital’s pension fund, administered under the “bishop’s” honorary chairmanship and directorial appointments, constitutes an ecclesiastical patrimony. Scharfenberger’s admission that “no boards he sat on ever discussed the pension plan” (The Times-Union) confirms culpabilis negligentia (culpable negligence). True shepherds, like St. Charles Borromeo, scrutinized even soup kitchens.
The Conciliar Sect’s Culture of Impunity
Scharfenberger’s personal bankruptcy—a first for a U.S. “bishop”—exposes the rot within the conciliar hierarchy. Contrast this with Pope Pius IX, who liquidated the Papal States’ treasury to feed the poor during famine. The diocese’s statement that “no one should walk alone” rings hollow while retirees like Mary Hartshorne lament: “How do you get that back? You don’t.” The same sect that evades pension liabilities also stonewalls abuse victims via Chapter 11 bankruptcies. This mirrors Modernism’s rejection of veritatis splendor (splendor of truth): “Justice is turned into gall” (Amos 6:12).
Omission of Divine Judgment
O’Connell’s remark—”We obviously cannot pay a billion dollars. Right?”—reduces ecclesial responsibility to actuarial calculus. Missing is any recognition of Matthew 18:23–35, where the unforgiving servant faces divine wrath. The article’s secular framing (“compensatory damages,” “creditors”) ignores the eternal consequences of defrauding workers. St. Basil thundered: “The bread you withhold belongs to the hungry” (Homily to the Rich). Scharfenberger’s 10% liability pales against the 100% accountability demanded at the Particular Judgment.
Symptom of Ecclesial Apostasy
This scandal is not isolated but endemic to the conciliar sect. From Hubbard—a “bishop” credibly accused of abuse cover-ups—to Scharfenberger’s fiscal malfeasance, Albany exemplifies the “abomination of desolation” (Matthew 24:15). The 1864 Syllabus of Errors condemns such secularization: “The Church has not the power of using force… or acquiring property” (Errors 24, 26). When “bishops” mimic bankrupt CEOs, they confirm St. Pius X’s warning: Modernism reduces religion to “vague religiosity” (Pascendi Dominici Gregis, §39).
Conclusion: The True Church Endures
While the conciliar sect collapses under lawsuits and liquidity crises, the Ecclesia Dei (Church of God) persists in those clinging to Tradition. Let Scharfenberger’s bankruptcy stand as a monument to Vatican II’s ruin—and a summons to return to the depositum fidei (deposit of faith). As Quas Primas declares: “Nations will find no peace until they submit to Christ the King” (§1).
Source:
Albany’s retired bishop files for personal bankruptcy (catholicnewsagency.com)
Date: 19.12.2025