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By Veronica Mackey
On May 1, leadership at First African Methodist Episcopal Church Los Angeles filed Chapter 7 bankruptcy in the U.S. Bankruptcy Court, Central District (Los Angeles). The news came just 4 days after beloved Pastor Emeritus, Dr. Cecil “Chip” Murray was laid to rest. He was 94.
The ground-breaking church, which is also the oldest Black Church in Los Angeles, is known for its community outreach, and plethora of nonprofit services related to mental and physical health, affordable housing and business development.
Under his 27 years of leadership as head of FAME, Pastor Murray grew the church to over 19,000 members and $25 million in assets. The entities seeking financial protection include Fame Assistance Corp., Fame Housing Corp., and Fame/Good Shepherd Center Housing Development Corp.
The actual church property on Harvard near Adams is not part of the filing. Entitles most impacted include 320 low-income housing units and the Fame Renaissance Center which houses business offices of several nonprofits—many of which were spearheaded by the late Dr. Murray. The filing was initiated in part to protect the church property and Dr. Murray’s legacy.
The announcement came as a shock to elected officials as well as members, business and housing tenants, who had planned to meet to discuss bankruptcy alternatives. Charges of sexual impropriety and fiscal mismanagement were important factors in the decision to file Chapter 7.
Specifically. FAME and then-Pastor John Hunter were sued by assistant minister Brenda Lamothe, who alleged sexual impropriety against Hunter. The lawsuit was settled for an undisclosed amount, alleged to be around $3 million. Additionally, FAME sued the Hunters, seven trustees and employees of the church for alleged financial mismanagement, estimated to be more than $500,000. Hunter, succeeded Dr. Murray, who retired in 2003. Pastor Hunter led the congregation until he was removed in 2012.
Pastor J Edgar Boyd succeeded Hunter until he retired in 2023. The current pastor is Robert Shaw II.