This bill amends federal bankruptcy law to prevent individuals and organizations accused of child sexual abuse from using bankruptcy proceedings to avoid accountability or shield evidence. The legislation applies specifically to cases involving allegations of child sexual abuse, making such claims non-dischargeable in bankruptcy and requiring heightened oversight of related proceedings. Key provisions include requiring independent forensic accountants to review assets in nonprofit bankruptcy cases involving abuse allegations, mandating that victim impact statements be heard in court, and blocking the use of third-party releases that would shield alleged abusers from liability without overwhelming creditor approval. The bill also restricts sealing of evidence in child abuse cases except to protect victims' identities and prohibits certain bankruptcy filing types (subchapter 5) when abuse claims are involved. The legislation contains no specific funding requirements or implementation timeline beyond requiring courts to hold victim impact statement conferences within 60 days of the claim filing deadline.
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