Sometimes, following church-state news is a matter of revisiting similar problems and concerns time and again: a local government's insistence on praying before council meetings, Ten Commandment postings in schools and courthouses, school vouchers, crosses as public memorials…I can count on one of these coming up at least a couple of times a week in some form or another. Every now and then, though, a truly unique situation and case comes along, like a ruling in an Ohio bankruptcy court, rejecting a plan to turn over proceedings to Amish creditors, who argue that their religious beliefs require them to settle such debts in their own way, and not according to civil court systems.
More than 2,500 members of Amish and Mennonite communities in Ohio are owed in excess of $30 million by Monroe Beachy for "investments" that the United States Trustee ultimately charged as a Ponzi scheme. The court's ruling turned away Beachy's request to dismiss the bankruptcy filing in favor of the proposed Amish Alternative Plan, but Judge Russ Kindig was having none of it.
The debtor in this case is clearly asking this court to delegate its function to a religious body. The motion to dismiss is conditioned on the court transferring estate funds to the Committee, which, according to the Committee's own filings, is a unit established by a church. Furthermore, the Alternative Plan vests the Committee with judicial powers. For example, the Committee would have the power to determine the allowability of claims, which is a core power of this court. Any such delegation is forbidden by the Establishment Clause, regardless of the specific facts of a specific case.
The court also rejected RFRA arguments, citing its having been found unconstitutional in part, but also finding that bankruptcy proceedings are a compelling government interest, which are narrowly tailored.
The Dover-New Philadelphia (OH) Reporter has more. Thanks to Religion Clause for the links.
