Mediator ousted in Boy Scouts bankruptcy; deadline extended

DOVER, Del. (AP) — The judge presiding over the Boy Scouts of America bankruptcy issued a ruling Tuesday removing a former Delaware bankruptcy judge as a mediator, saying a court filing by the Boy Scouts raised questions about his impartiality.

Judge Laura Selber Silverstein removed Kevin Carey as one of the mediators tasked with trying to help opposing parties in the case resolve various disputes and reach settlement agreements.“

Mr. Carey is no longer a mediator,” Silverstein said during a brief online hearing, noting that she had even considered terminating the mediation process entirely.

The removal of Carey, who retired as a judge in 2019, leaves only one of the three mediators who had been appointed by the judge last year. Another mediator, Paul Finn, resigned three weeks ago. Finn told The Associated Press afterward that he resigned because of “philosophical differences that have existed for some time with other parties and can no longer be reconciled.”

Silverstein said she was forced to act against Carey after the Boy Scouts named him in a court filing as the initial “special reviewer” who would assist the trustee overseeing a proposed fund to compensate victims of child sexual abuse.

“That is a nonstarter,” the judge said.

“To put it simply, Mr. Carey now has a stake in the outcome of the mediation,” Silverstein explained. ”.... I believe there is a reason to question his impartiality.”

Carey declined to comment.

Under the Boy Scouts’ reorganization plan, the appointment of the special reviewer requires the approval of a group called the Coalition of Abused Scouts for Justice, which is a leading supporter of the plan. The coalition represents almost 18,000 abuse claimants and is affiliated with more than two dozen law firms that collectively represent more...