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USA Gymnastics files for bankruptcy

A competitors feet are seen on the balance beam during the 2018 U.S. Gymnastics Championships at TD Garden. Winslow Townson / USA TODAY Sports

USA Gymnastics is making another bid to start over in the wake of the Larry Nassar sexual abuse scandal.

The organization, which has been through three presidents and faces more than 100 lawsuits related to Nassar's actions and USA Gymnastics' failure to protect victims, filed for Chapter 11 bankruptcy in what the board of directors described as a step forward.

"This is not a liquidation," said Kathryn Carson, chairman of the board. "This is a reorganization. ... We owe it to the survivors to resolve, fully and finally, claims based on the horrific acts of the past."

Nassar pleaded guilty to sexually assaulting female gymnasts to whom he was supposed to be providing medical care. Nassar is serving an effective life sentence for his crimes, which also included possession of child pornography.

Estimated assets and liabilities for USA Gymnastics are precisely the same -- between $50 million and $100 million -- making settling the dozens of outstanding lawsuits from victims unlikely.

The United States Olympic Committee moved last month to begin the decertification of USA Gymnastics.

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