Posted at: 11/19/2012 8:40 AM
Updated at: 11/19/2012 8:42 AM
By: The Associated Press
ALBUQUERQUE, N.M. (AP) - Records show the Diocese of Las Cruces loaned its former contract attorney $385,000, but the money won't be easily recovered.
The Albuquerque Journal reports that former general counsel Daniel Dolan died in August and his widow has since sought bankruptcy protection.
A diocesan attorney disputes that the church loaned money to Dolan, but noted that money was advanced to the lawyer and says the matter is under investigation.
Over the summer, Bishop Ricardo Ramirez disclosed that between 2004 and 2009 unauthorized loans totaling $1.9 million had been "appropriated" from a parish investment plan for "legitimate purposes," but without the knowledge of the bishop or the diocesan finance council.
Ramirez wrote the diocese was repaying the plan for three loans and audits show no criminal activity occurred in the transactions.
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