Crystal Cathedral files for bankruptcy amid mounting debts [Updated]

Faced with mounting debts and decreasing donations, the Crystal Cathedral announced today it was filing for bankruptcy protection.

The move came as the Garden Grove church was struggling to pay its bills. “Budgets could not be cut fast enough to keep up with the unprecedented rapid decline in revenue due to the recession,” Senior Pastor Sheila Schuller Coleman said in a statement released by the church.

The church plans a press conference at 3 p.m., according to church spokesman John Charles.

The famed mega-church has suffered from financial troubles in the last year.

In January, the Crystal Cathedral announced it was laying off 50 workers and selling surplus property because of a precipitous drop in contributions.

The 7,000-member church also has canceled its "Glory of Easter" pageant, a popular reenactment of the life and death of Jesus Christ, which sold tens of thousands of tickets each year.

The church, founded by the Rev. Robert H. Schuller more than 50 years ago, lost members in the wake of a family feud after he retired. His son, the Rev. Robert A. Schuller, succeeded his father, but stepped down in 2008 after disagreements. His sister, is now the church's leader.

As of January, officials said church's revenue sank 27% from roughly $30 million in 2008 to $22 million in 2009.

[Updated at 2 p.m.: In her statement, Sheila Schuller Coleman said services and programs at the church will continue, including various ministries and the "Hour of Power" television program.

"Challenging situations are nothing new to our 55-year Ministry," Coleman said in the statement. "Many people said we’d fail when we started our church in a drive-in theater. But look how successful that was! Many said we'd fail in 1970 when we made the commitment to televise our first worship service in Los Angeles and then New York … but look how far we've come! In 1977, countless persons predicted that our plans to build a 2,800-seat all-glass church in earthquake-prone Southern California would never get off the ground, but we have made history. We've always believed in a big God … a God Who is greater than any problem or challenge we could ever face."

She said the bankruptcy declaration "is just one more chapter in the book that He is continuing to write -- and we know that God's plans are good -- we have no doubt His chapter will be good!"]

--Shelby Grad

Photo: The Crystal Cathedral complex. Credit: Los Angeles Times

Comments

[Candor]

It's Gods will

[Tuthmosis]

Let's turn it into a mosque.

[Candor]

It's Gods will

[Jack]

Well, The bottom line is in Gods word. It clearly states a pastor is to be the husband of one wife. I'm all for women in ministry but not women pastors.. Obviously, the church members realize scripture and its not gods will for the sister to be placed in a positon of pastor. Thus, you have a huge loss of members and tithe. Ministry is not a family business its a calling and you can't just pick out scripture that you want to hear. You must follow it All! Gods word is true. I will keep them all in my prayers.
JB

[Glenn]

They made $22 Million tax-free dollars in 2009. Bunch of frauds

[Susan]

Couldn't happen to nicer folks. Thank you Jesus!

[R.H.L.M. Ramsay]

Years ago when the present Philip Johnson-designed building was conceived and constructed, I was a regular viewer of "The Hour of Power" (along with Jerry Falwell and Jim and Tammy Faye Baker). All of them contributed to my total rejection of religion. I listened to Dr Schuler with considerable interest, because I was never able to divine precisely what his theology was. Strip away the alliterative feel-good prosperity gospel and there was nothing left.

Schuler's use of Native American opera singer White Eagle was highly tauted--until White Eagle contracted AIDS and was hospitalized. Then, Schuler dropped him like a hot rock and did all he could to disavow any connection between the singer and the church. He even refused to take ZWhite Eagle's calls from his hospital deathbed.

But perhaps the most insightful episode illustrating Schuler's hollowness happened on the day of the new building's dedication: In his dedicatory sermon, Schuler boasted of God's support for the ministry by rushing the project through a month before it would have been severely affected by new environmental legislation. In effect he took enormous pride in having evaded environmental responsibility. One would like to see the church's expense sheet for heating and air conditioning.

[Carol T.]

Tough times don't last; tough people do. Wonder what nuggets of grace Schuller would dispense at a time like this.

[Mr Mark]

God is make believe.

Bankruptcy court is very real.

Welcome to reality, Crystal Cathedral!

[Roscoe]

Of course...! I wonder which pastor has all the money..!

[Tom Bennett]

Just look at that building! WOW WEE!! And look at the extreme wealth of all of those on the receiving end of that enterprise. Then think about where the money came from—it came from people who really are, deep down seeking to UNDERSTAND THE BIBLE—to learn about GOD. WOW!!! Have you ever wished that you could (or could have) retire at 20 or 25 with enough money to support yourself & your family so that you could spend the rest of your life studying the BIBLE, so that you could understand WHAT it is in that BOOK, that GOD WROTE, that he really wants us you know, wants US to know? Guess what? I know someone who wanted to AND was able to do just that! This person used his college degree to build a business, which he sold. He lived very frugally for over 50 years (and still is—almost 90 now) so that he was able to support his family—very frugally, while he spent nearly all his time studying the BIBLE. Then he made all of what he learned available to ANYONE who calls and asks for it –FOR FREE!! YOU DO NOT EVEN PAY FOR POSTAGE!!! The material he makes available (for free!!) directs you IN TO THE BIBLE—so that you can read it for YOURSELF! You are probably wondering why you have never heard of this---well DUH!! It is because he did not do this for fame or MONEY. HE did this AND is still DOING this because he wants to know & understand GOD & THE BIBLE and wants to try to help others who have the same interest. Don’t believe it? Use your computer skills to check—you will find that all I have said is true. You will find an elderly man, who drives a 15-20 year old car, who lives in the same old house, with the same wife—the last ???5-60 years?? I’m not sure. The point is—you will not find any Limos, yachts, mansions, or crystal cathedrals in his portfolio!!---oh I almost forgot---if you want to know---do a search for Harold Camping.

[Alexa]

I can't help but smirk with glee as I read this. A company that deals in imaginary goods deserves to get taken down. I have a feeling the decline in contributions has more to do with rationalism than the recession.

[gern]

Good.

[Diogenes]

Must be God's will.

[Jhogn]

I guess christians have no shame. Really, you bring in 22 million for a church and are unable to function? wow. This really gets me thinking, did this church do any good for the public other then just the sunday tv show to lighten someones mood? We have churches around here making no where need that and they provide food and shelter for homless and familys in need. 22 million sure would provide a lot. isnt that what religion is about to help thy neighbor?

[Bill]

In reading everyone's comments, I do hope that people know that - the approach to faith exemplified by the Crystal Cathedral has always been troublesome to many, many followers of Christ. It would be sad for you readers to a) equate the C.C. with classical Christianity, and b) choose to openly mock God as a result. There are many wonderful people and places who can share with you a balanced, thoughtful, intelligent and humble representation of Christ. I hope you seek them out, rather than simply blast this anomaly.

[Cathye Frost]

Being a Christian is not a spectator sport. Christians get in the game and play for God. I think it is sad that the ministry is failing. You are in my prayers

[Gerhard Bothma]

I visited CC at the end of 2007 and also attended "The glory of christmas" as part of a tour group from South Africa. Although i've never been a "fan" of CC nor prosperity theology, i'll never forget the wonderful experience i've had there. I surely hope that the church will survive this period in time.

[jasper]

I can't believe god let this happen.

Oh wait, there is no god and churches are just corrupt institutions for molding the weak minded.
A lot of sheep were fleeced at this scam center!

[Henry]

There will be more Mega-Churches going under since the people began to realize these wolves in sheep clothing are the self- gagged underlings of the U.S. Government through the IRS 501c3 Tax- Exempt Code, giving the impression that they are followers of Jesus Christ, but in reality they are marching to the drumbeats of the IRS, which is in the business of censoring morality since 1954. Pastors and Boards of Directors are in complete denial to the fact that the U.S. Government with their help are in actuality suppressing the Kingdom of God, but promoting the kingdom of Satan by bowing down to its oppressive marching orders found inside the IRS Tax Guide for Churches, and Religious Organizations, Publication 1828 (Rev. 6-2008) Catalog Number 21096G, stating:

Pastors must not support Legislation.
Pastors must not support Political candidates.
Pastors must give to the IRS an account of all the financial transactions of the church.
Pastors must provide the names of all church donors to the IRS.
Pastors must not oppose the Tax System.
Pastors must advocate, and support Multiculturalism or Globalism.
Pastors may not oppose lotteries and gambling activities.
Pastors may not oppose the Public School System.

In reality, these pastors are like a boxer facing his opponent in the ring with his arms tied behind his back, he is only a punching bag unable to stand firm on the teachings of Jesus Christ. Consequently since 1954, Christians have steadily faded away from the Public Square, Public Education, the Entertainment, and the News Media, the Political Arena, and the Halls of Government. By their silence these so-called Christians permitted the wicked to takeover the culture by default. In effect, the 501c3 self-gagged pulpits of America are the springboards used by the wicked for the last sixty-five years to launch, and legalize one godless abomination after another, such as Separation of Church and State, Affirmative Action, the Theory of Evolution, Abortion on Demand, Euthanasia, Divorce, Sodomy and Same Sex Marriage.

[Jeffrey Freeman]

Easy to kick a man/woman when he/she is down, much less crystal. While I left religion sometime ago, Bob Schuller's messages gave me one of the most precious commodities during some of my darkest times--hope.

[charles]

Dr. Schuller preaches a gospel of prosperity and appears more like a motivational speaker. His ministry also appears to attempt to satisfy the "itching ears" of his parishioners with lots of feelgood speeches. I have a hard time turning to his "show" when I want to hear the Gospel of Jesus Christ. In fact, I don't remember him talking about Jesus that often..but he had some Hollywood stars on there. How much is the Dr. in debt?

[karen]

Why is the "Crystal Cathedral" allowed to continue fleecing their blind people? They have gotten rich with others' money. How shameful!!!!