THE Catholic Church has settled thousands of claims of child abuse outside of its internal complaints' system, Melbourne Response, in an attempt to silence them, a victims' group says.

The Melbourne Response, and its national equivalent, Towards Healing, were launched by the church in 1996 to handle abuse complaints and give pastoral care to victims. The church has traditionally referred to both processes to argue that its approach to abuse has improved over time.

Helen Last from In Good Faith & Associates. Credit:Justin McManus

In Good Faith & Associates' director Helen Last told a state inquiry into child abuse on Monday that about 2000 victims had been through alternative ''portals'' facilitated by the Catholic Church, which offered them larger amounts of compensation than they would otherwise have been entitled to.

Ms Last said the Melbourne Response's independent commissioner, Peter O'Callaghan, QC, the Melbourne Archdiocese's business manager and the Catholic Church's lawyers at Corrs Chambers Westgarth, were personally involved in private settlements with victims.