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Beacon Light Missionary Baptist Church Files Second Chapter 11 in New Orleans

Beacon Light Missionary Baptist Church filed its second chapter 11 in the Eastern District of Louisiana with $3.6 million in assets and $23.3 million in liabilities. The New Orleans Gentilly church has carried mortgage debt since before Hurricane Katrina, and a prior case filed in October 2025 was dismissed after 86 days.

Published April 10, 2026·8 min read
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Beacon Light Missionary Baptist Church, a New Orleans-based religious organization led by Bishop Darryl Brister, filed a chapter 11 petition on April 1, 2026, in the U.S. Bankruptcy Court for the Eastern District of Louisiana under case number 26-10789. The church listed ~$3.6 million in assets and ~$23.3 million in liabilities, representing a debt-to-asset ratio of approximately 6.5 to 1. The filing indicates that funds will be available for distribution to unsecured creditors.

This is the church's second chapter 11 filing in the Eastern District of Louisiana within six months. A prior case, 25-12399, was filed on October 22, 2025, under the name Beacon Light Missionary Baptist Church, Inc. That case was dismissed on January 16, 2026, less than three months before the current petition. The dismissal triggers procedural consequences under 11 U.S.C. section 362(c)(3), which limits the automatic stay for debtors who have had a prior case dismissed within the preceding one-year period.

DebtorBeacon Light Missionary Baptist Church
CourtU.S. Bankruptcy Court, Eastern District of Louisiana
Case Number26-10789
Petition DateApril 1, 2026
Scheduled Assets~$3.6 million
Scheduled Liabilities~$23.3 million
Prior Case25-12399 (filed October 22, 2025; dismissed January 16, 2026)
Judge (Prior Case)Hon. Meredith S. Grabill
Case Snapshot

Church Background and Pre-Katrina History

Beacon Light Missionary Baptist Church is located at 1937 Mirabeau Avenue in the Gentilly neighborhood of New Orleans. Bishop Darryl Sylvester Brister has served as senior pastor since July 1993. Before Hurricane Katrina, the church was estimated to be the second-largest congregation in New Orleans, with membership reported at up to 9,500 members. The church held Easter Resurrection services at the University of New Orleans arena and had established sister congregations in Houma, Baton Rouge, and other Louisiana locations before the storm.

Pre-storm debt. The church owed Capital One approximately $2.6 million at the time Hurricane Katrina struck in August 2005. The mortgage encumbered the Mirabeau Avenue property and related church buildings.

Hurricane Katrina Damage and Foreclosure

Hurricane Katrina in August 2005 flooded the main Beacon Light building on Mirabeau Avenue with 10 to 13 feet of water. The flood also badly damaged the nearby chapel and school building on Paris Avenue and another building used for outreach ministry. All church buildings were completely destroyed and all members were displaced.

Insurance and foreclosure. Capital One collected $2.2 million in insurance proceeds on the damaged Beacon Light buildings and initiated foreclosure proceedings for the remaining balance. The church fell more than $430,000 behind on its mortgage following the storm. In April 2009, the Mirabeau Avenue property was days from a sheriff's sale before Bishop Brister announced that the church had secured $1.3 million in replacement financing from a new lender to pay off the Capital One debt.

Displacement and rebuilding. After Katrina, Brister moved to Houston and founded a Beacon Light outpost for evacuees, drawing approximately 1,300 members. He also preached twice weekly to about 1,000 members in a borrowed Greater St. Stephen building in Marrero while the Gentilly campus remained in disrepair. The church returned to its Mirabeau Avenue location in August 2014, holding Sunday services in Gentilly for the first time in nine years.

Prior Bankruptcy Case (25-12399)

Beacon Light Missionary Baptist Church, Inc. filed a chapter 11 petition on October 22, 2025, in the U.S. Bankruptcy Court for the Eastern District of Louisiana as case 25-12399. The case was assigned to Judge Meredith S. Grabill. Debtor's counsel in that case was Edwin M. Shorty, Jr., of 650 Poydras Street, Suite 2515, New Orleans. The court entered an order dismissing the case on January 16, 2026, approximately 86 days after the petition date. The grounds for dismissal are not detailed in publicly available sources.

Entity naming. The prior case was filed under the corporate designation "Beacon Light Missionary Baptist Church, Inc." while the current petition drops the "Inc." suffix. Whether the two filings involve the same legal entity or distinct corporate forms is not addressed in publicly available filings.

Change of counsel. The prior case was represented by Edwin M. Shorty, Jr., while the current case lists James Graham of The Law Office of James A Graham, LLC as debtor's counsel. Graham's firm is based at 701 Loyola Avenue, Suite 403, New Orleans.

Automatic Stay Under Section 362(c)(3)

Because the prior case 25-12399 was dismissed on January 16, 2026 -- within one year before the April 1, 2026 petition -- the automatic stay in the current case is subject to 11 U.S.C. section 362(c)(3). Under that provision, the stay terminates 30 days after the petition date unless the court extends it upon a motion demonstrating that the new filing was made in good faith as to the creditors to be stayed.

Scope of termination. Federal courts are split on whether the 30-day termination applies only to the debtor's non-estate property or to property of the estate as well. Under the broader interpretation adopted by several circuits, creditors may pursue claims against estate property once the 30-day period expires without a court-ordered extension. The church's real property at 1937 Mirabeau Avenue is subject to the scope of any stay termination under either interpretation.

Financial Position and Liabilities

The petition schedules reflect a gap between assets and liabilities. The church reported ~$3.6 million in assets against ~$23.3 million in liabilities. The petition indicates that funds will be available for unsecured creditors.

Historical debt trajectory. The $2.6 million Capital One mortgage was outstanding before Hurricane Katrina in 2005. After the storm, the bank collected $2.2 million in insurance proceeds and the church secured $1.3 million in replacement financing in 2009. The specific composition of the current $23.3 million in scheduled liabilities -- whether secured mortgage debt, unsecured vendor obligations, or other claims -- is not yet detailed in publicly available filings.

Nonprofit status. Beacon Light Missionary Baptist Church is registered as a 501(c)(3) tax-exempt organization under EIN 72-0907747 with an IRS ruling year of 1999. The organization does not have sufficient recent Form 990 filings to generate a Charity Navigator rating.

Key Timeline

DateEvent
July 1993Bishop Darryl Brister begins as senior pastor
Pre-2005Beacon Light accumulates ~$2.6 million in mortgage debt to Capital One
August 2005Hurricane Katrina floods church buildings with 10-13 feet of water; Capital One collects $2.2 million in insurance proceeds
April 2009Sheriff's sale on Mirabeau Avenue property averted with $1.3 million in replacement financing
August 2014Church returns to Gentilly campus after nine years of displacement
October 22, 2025Prior chapter 11 case 25-12399 filed in E.D. Louisiana
January 16, 2026Prior case dismissed by court order
April 1, 2026Current chapter 11 petition filed as case 26-10789
Key Timeline

Frequently Asked Questions

What is the Beacon Light Missionary Baptist Church bankruptcy case number? The current case is 26-10789, filed in the U.S. Bankruptcy Court for the Eastern District of Louisiana on April 1, 2026. A prior case, 25-12399, was filed on October 22, 2025, under the name Beacon Light Missionary Baptist Church, Inc. and dismissed on January 16, 2026.

How much does Beacon Light Missionary Baptist Church owe? The petition lists ~$23.3 million in scheduled liabilities against ~$3.6 million in scheduled assets. The specific breakdown between secured and unsecured claims is not yet available in public filings.

Is this the church's first bankruptcy filing? No. Beacon Light previously filed chapter 11 as case 25-12399 in the Eastern District of Louisiana on October 22, 2025. That case was dismissed on January 16, 2026. The current case, 26-10789, is the second filing.

Who represents Beacon Light in the current bankruptcy? James Graham of The Law Office of James A Graham, LLC serves as debtor's counsel in the current case. The prior case was represented by Edwin M. Shorty, Jr..

What happens to the automatic stay for a repeat filer? Under 11 U.S.C. section 362(c)(3), the automatic stay terminates 30 days after the petition date when a prior case was dismissed within the preceding one year. The debtor may seek a court-ordered extension by demonstrating good faith.

Where is Beacon Light Missionary Baptist Church located? The church is located at 1937 Mirabeau Avenue in the Gentilly neighborhood of New Orleans, Louisiana.

For more bankruptcy case coverage, visit the ElevenFlo bankruptcy blog.

This article was researched and written with AI assistance, using court filings, public records, and news sources. AI-generated content can contain errors. Verify all information against primary sources before relying on it. This is not legal or financial advice. Read our full disclaimer.

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