Yes, the Catholic Church is to blame for the unsavory activities of this priest. The Catholic Church requires a lot of its priests, including celibacy. There is no requirement from Jesus in the bible that explicitly requires this. The result of repressed sexuality is outrageous compensatory behavior like these activities.
Institutions are not reflexively responsible for the illicit activities of their agents. Just as in every profession, there are going to be bad priests and unless the Catholic Church endorses or encourages the illicit actions of their priests, the Church is not responsible for them. That being said if, as the Church clearly did with some of the child abuse, cover up the activity the Church is responsible for the cover up and anything similar that follows the cover up.
Where the Church is to blame is when they are complicit in any cover-ups of rogue priests within their ranks. The Catholic Church has been far too passive in handling criminal actions occurring within the clergy and they are certainly to blame for that. It is imperative that the Church handles criminal activity swiftly and justly.
No, the Catholic Church is not directly to blame for the bad behavior of one priest. In all crimes, it is the individual who is responsible for their actions. Businesses and Churches or other organizations are not directly to blame. However, the Catholic Church does seem to have an environment that is ripe for sexual misconduct, as seen in the news over the past several years. The Church is likely to blame in some way for setting up an environment that allows this type of behavior.