EAST LANSING, Mich. — Michigan State University has opened an intermediate healing fund for survivors of Larry Nassar's sexual abuse. The fund will reimburse MSU health clinic patients and student-athletes who were abused by Nassar for therapy and other costs related to the abuse. Their families are also eligible for reimbursement.
The original $10 million healing fund was created in January of 2018 to pay for counseling and other services not covered by insurance. It was frozen in July of 2018 while MSU police investigated reports of fraud. Former MSU interim president John Engler shut it down in December and put the remaining $8.5 million towards the university's $500 million civil lawsuit settlement with the survivors now known as "Wave 1." Furious survivors blasted Engler and the Trustees for the decision. Following the election of 2 new trustees and the appointment of a third, the Board voted unanimously to create a new healing fund at its meeting on January 9. The intermediate fund will only be in place while the details of the new fund, including the total amount available, are being worked out.
Commonwealth Mediation and Conciliation will administer the fund. All providers will have to sign an affidavit stating they are state-licensed and that the treatment was related to Nassar's abuse. There is no set dollar amount for the fund. MSU syas claims will be processed at the end of each month and the administrator will request the total amount from the university.
