Over the weekend, a shocking announcement was made about the Boy Scouts of America. According to reports, they are considering filing for bankruptcy, made evident when they hired law firm Sidley Austin LLP.
The popular institution that was founded over a century ago revealed that they may have to file for bankruptcy. The financial struggle is mostly due to the fact that insurance companies are unwilling to pay settlements over claims of sexual misconduct.
According to NBC, several men filed claims that they were sexually abused by a scoutmaster.
BSA spokeswoman Effie Delimarkos said, "We remain in disputes with some carriers and look forward to a resolution that benefits victims and helps them on their journey towards healing."
BSA Chief Scout Executive Mike Surbaugh said, "We are working with experts to explore all options available to ensure that the local and national programming of the Boy Scouts of America continues uninterrupted."
He noted that a Chapter 11 bankruptcy filing would be one of the options moving forward.
According to reports, the participation in BSA has significantly dropped since the early 2000s. At that time, participation peaked at around 4 million members. In 2017, they had 2,283,000 registered youth members and 889,000 leaders.
One of the group's largest sponsors, the Mormon Church, discontinued their sponsorship with the BSA earlier this year.
Surbaugh said, "We are working with experts to explore all options to ensure that the local and national programming of the Boy Scouts of America continues uninterrupted."
While the Boy Scouts of America organization has not confirmed what move they are planning in order to deal with their financial struggles, bankruptcy is one of them.
What do you think about this move? Does this surprise you? Let us know your thoughts. In other recent news, Melania just turned heads in her most elegant, unique look yet at the Congressional Ball.