Justice Dept. Pulls Out of Religion Case
President Clinton ordered the Justice Department to withdraw at the last minute from a case in which the government was to argue against a church’s claim.
The department had filed legal papers in the bankruptcy case this spring, contending that financially troubled parishioners had no right to make donations to their church a year before filing for bankruptcy.
But the White House said Clinton told Atty. Gen. Janet Reno to pull out of the case. The department withdrew shortly before appellate arguments Thursday in St. Louis. “This is consistent with his personal interest and his record in support of religious freedom,” said Phil Lader, Clinton’s deputy chief of staff.
The case is one of the first major tests of the Religious Freedom Restoration Act, passed last year.
At issue is $13,500 that Bruce and Nancy Young gave to the Crystal Evangelical Free Church of New Hope, Minn.. A judge had ruled that because the Youngs got nothing of value for the donations, the offerings amounted to a fraudulent transfer of assets.
Lawyers for the church, however, say that contributing money to a church is an act of worship protected by the new law.
The Justice Department move left the bankruptcy trustee’s attorney to argue the case alone.
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