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In a February 26 letter, Nelson informed United Response members that the ECFA board, citing $400,000 already spent in legal fees, would pull out of the process by the end of March.

Meanwhile, at least one ministry is on the brink of collapse because of New Era. Chapel Ministries, based in Carol Stream, Illinois, has sold its two office buildings and laid off eight of its forty workers to stay afloat. Chapel Ministries ended fiscal 1995 with a $700,000 loss.

Those hurt by New Era want the situation resolved. Robert Andringa, president of the Coalition for Christian Colleges and Universities, says, "As one of the 'net negatives,' the Coalition is anxious to settle. We believe that less than a one hundred percent recovery in 1996 would be far better than to wait three or four or five years for the court to give us one hundred percent."

BENNETT'S ASSETS: John G. Bennett, Jr., former president of the Foundation for New Era Philanthropy, has agreed to release all his personal assets—amounting to about $1 million—to the bankruptcy trustee. Bennett will surrender his $620,000 home on May 15, the first anniversary of New Era's collapse.

In a statement, Bennett said the agreement represents his "deep desire and total commitment" to do whatever he can to "help make the charities whole." However, it is likely that Bennett would have been sued had he not turned his assets over. He may also be indicted on criminal charges.

Copyright (c) 1996 Christianity Today, Inc./CHRISTIANITY TODAY Magazine

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April 8 1996, Vol. 40, No. 4