Facing a wave of lawsuits and decades-old allegations of sexual abuse, the Boy Scouts of America filed for Chapter 11 bankruptcy on Tuesday, complicating the path to justice for the thousands of former Scouts who say they were abused during their time in the storied American institution.
The organization filed just after midnight in the US Bankruptcy Court in Delaware, ending months of speculation that it would take such an action. The filing covers the national organization but excludes its local councils. These entities operate troops and hold about 70% of the organization’s wealth, a Wall Street Journal analysis found.
The Boy Scouts have experienced over a decade of tumult from declining membership, the dissolution of key partnerships, controversy over their decision to allow gay and female members, and scrutiny over the extent to which child predators operated within their ranks.
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