OAKLAND — The Roman Catholic Diocese of Oakland proposed a new $242 million settlement with hundreds of parishioners who claim they were sexually abused for years at the hands of local clergy, a plan that drew immediate pushback from the victims’ attorneys, who say it doesn’t go far enough.

The proposal, filed Thursday in U.S. Bankruptcy Court, outlined more than $700,000 in payouts to nearly 350 people who filed lawsuits against the diocese in recent years, all of them accusing church leaders of allowing priests to terrorize congregants for decades. The plan called for about $200 million of that total to come from the diocese itself and a corporation running its schools, and another $42 million to come from its insurers.

In its filing, the diocese’s attorneys said the offer is “fair and

See Full Page