Announced at a press conference in Duluth, the decision gives final approval to a joint agreement reached earlier this year and ends a nearly four-year bankruptcy process for the diocese. Duluth Diocese Settlement Approved. Cloud faces 74 claims, while the Diocese of Winona-Rochester faces 115 claims in still-unresolved cases. The Diocese of Crookston avoided bankruptcy by reaching a $5 million settlement in 15 lawsuits filed under the Child Victims Act. The Diocese of Duluth has reached a settlement with dozens of people who say they were abused as children by its priests. A federal judge on Monday approved an almost $40 million settlement between the Diocese of Duluth, Minn., and the dozens of people who say they were victims of abuse by priests when they were young. A bankruptcy judge approved a $39.2 million settlement Oct. 21 between the Diocese of Duluth and victims/survivors of clergy sexual abuse. DULUTH, MN (KDAL) - A bankruptcy judge has approved a $39.2 million agreement between victims-survivors of clergy sexual abuse and the Diocese of Duluth. The diocese filed for bankruptcy in 2015 and reached the settlement in May. A federal judge has approved a $40 million settlement between the Diocese of Duluth and dozens of people who say they were abused as children by priests. The Diocese of St. Tuesday, October 22, 2019 11:11 a.m. CDT by Dave Strandberg. Judge Robert Kressel signed off on the settlement Monday in U.S. Bankruptcy Court. The Diocese of New Ulm is awaiting approval of a $34 million agreement with 93 victims. The Diocese of Duluth has reached a settlement with dozens of people who say they were abused as children by priests. DULUTH, Minn. (AP) — A federal judge has approved a $40 million settlement between the Diocese of Duluth and dozens of people who say they were abused as children by priests. The attorney of the 125 claimants says the agreement requires the Diocese to pay the victims $40 million dollars and release the files of 37 priests who have been credibly accused. A bankruptcy judge approved a $39.2 million settlement Oct. 21 between the Diocese of Duluth and victims/survivors of clergy sexual abuse. Diocese of Duluth . It settles all claims against the diocese and 30 of its parishes.