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==2024 New York State corruption verdict; 2021 bankruptcy filing== Following an 18-month investigation, on August 6, 2020, [[New York Attorney General|New York attorney general]] [[Letitia James]] filed a civil lawsuit against the NRA, alleging [[fraud]], financial misconduct, and misuse of charitable funds by some of its executives, including its long-time former CEO and EVP [[Wayne LaPierre]], treasurer Wilson Phillips, former chief of staff and current executive director of general operations Joshua Powell,<ref>[https://www.nrablog.com/about-the-nra "About the NRA", Retrieved August 6, 2020.]</ref> and [[general counsel]] and secretary John Frazer.<ref>{{Cite web|date=August 6, 2020|title=State of New York v. National Rifle Association β Summons and Complaint|url=https://ag.ny.gov/sites/default/files/summons_and_complaint_1.pdf}}</ref> The suit called for the dissolution of the NRA as being "fraught with fraud and abuse".<ref>{{cite news |title=New York Attorney General Moves To Dissolve The NRA After Fraud Investigation |url=https://www.npr.org/2020/08/06/899712823/new-york-attorney-general-moves-to-dissolve-the-nra-after-fraud-investigation |work=[[NPR]] |date=August 6, 2020 |access-date=August 6, 2020 |author=Tim Mak}}</ref><ref name=Leonnig-200806>{{cite news |title=New York attorney general seeks to dissolve NRA in suit accusing gun rights group of wide-ranging fraud and self-dealing |url=https://www.washingtonpost.com/politics/nra-lapierre-ny-attorney-general/2020/08/06/8e389794-d794-11ea-930e-d88518c57dcc_story.html |newspaper=[[The Washington Post]] |date=August 6, 2020 |access-date=August 6, 2020 |first=Carol |last=Leonnig}}</ref><ref name=Campbell-200806>{{cite news |url=https://www.usatoday.com/story/news/politics/2020/08/06/nra-faces-lawsuit-shutdown-attempt-ny-attorney-general/3308932001/ |title=New York attorney general files lawsuit to shut down the NRA |work=[[USA Today]] |date=August 6, 2020 |access-date=August 6, 2020 |first=Jon |last=Campbell}}</ref> On the same date, [[Attorney General for the District of Columbia]] [[Karl Racine]] filed a lawsuit against the NRA for misusing charitable funds.<ref>{{cite web|website=Office of the Attorney General for the District of Columbia|url=https://oag.dc.gov/release/ag-racine-sues-nra-foundation-diverting-charitable|title=AG Racine Sues NRA Foundation for Diverting Charitable Funds to Support Wasteful Spending by NRA and Its Executives|date=August 6, 2020}}</ref> On January 15, 2021, the NRA announced in a press release that it and one of its subsidiaries had filed for [[Chapter 11, Title 11, United States Code|Chapter 11]] [[Bankruptcy in the United States|bankruptcy]] in the U.S. Bankruptcy Court for the Northern District of Texas in Dallas.<ref name= LaPierreLetter>[[Wayne LaPierre|LaPierre, Wayne]] (January 15, 2021). "[https://www.nraforward.org/waynesletter Dear NRA Members & Supporters] {{Webarchive|url=https://web.archive.org/web/20210115213238/https://www.nraforward.org/waynesletter |date=January 15, 2021 }}". ''National Rifle Association''.</ref> It also announced that it would reincorporate in [[Texas]], subject to court approval, although its headquarters in [[Fairfax, Virginia]], would not move.<ref name= LaPierreLetter/> During the bankruptcy trial LaPierre stated that he had kept the bankruptcy filing secret from the NRA's board of directors and most of its senior officials.<ref>{{cite news|url=https://www.nytimes.com/2021/04/07/us/nra-bankruptcy-wayne-lapierre.html?campaign_id=56&emc=edit_cn_20210419&instance_id=29434&nl=on-politics-with-lisa-lerer®i_id=16153474&segment_id=55908&te=1&user_id=e9848bda5d7546386411f6e2fbdaf95e|title=Embattled N.R.A. Chief Kept Bankruptcy Filing Secret From Deputies|last1=Hakim|first1=Danny|last2=Walsh|first2=Mary Williams|date=April 7, 2021|work=The New York Times|access-date=20 April 2021}}</ref> LaPierre's spending of NRA funds on himself and his wife, such as upscale suits, chartered jet flights, and a traveling "glam squad" for his wife, became a subject of testimony in the eleven-day Texas proceedings.<ref name=Texas>[https://www.nydailynews.com/new-york/ny-nra-bankruptcy-decision-20210511-dttowoqlcfgfdkr4xva5sy7cim-story.html Judge Rejects NRAβs Bankruptcy Bid, Sets Stage For Dissolution], ''[[New York Daily News]]'', Stephen Rex Brown, May 11, 2021. Retrieved May 12, 2021.</ref> On May 11, 2021, Judge Harlin Hale of the federal bankruptcy court of the Northern District of Texas, dismissed the bankruptcy petition without prejudice, describing that it "was not filed in good faith", warning that if the NRA chose to file a new bankruptcy case, Hale's court would immediately revisit concerns about "disclosure, transparency, secrecy, conflicts of interest of litigation counsel", which could lead to the appointment of a trustee to oversee the organization's affairs.<ref name="auto"/> Hale doubted that the NRA was "faced with financial difficulties", instead ruling that the true purposes of the lawsuit were "to gain an unfair litigation advantage" against the New York Attorney General, and to "avoid" regulation from New York.<ref name="auto">{{Cite news|url=https://www.cnn.com/2021/05/11/politics/national-rifle-association-bankruptcy/index.html|title=Judge dismisses NRA's bankruptcy petition, allowing New York AG lawsuit to move forward|first1=Sonia|last1=Moghe|date=May 12, 2021|access-date=May 18, 2021|work=[[CNN]]}}</ref><ref>{{cite news |last1=Hamburger |first1=Tom |title=Federal judge denies NRA attempt to declare bankruptcy in win for New York state attorney general |url=https://www.washingtonpost.com/politics/nra-bankruptcy-decision/2021/05/11/9f67509a-b106-11eb-9059-d8176b9e3798_story.html |newspaper=[[The Washington Post]] |archive-url=https://archive.today/20210512061315/https://www.washingtonpost.com/politics/nra-bankruptcy-decision/2021/05/11/9f67509a-b106-11eb-9059-d8176b9e3798_story.html |archive-date=May 12, 2021 |date=May 11, 2021}}</ref><ref>{{cite news |last1=Bleiberg |first1=Jake |last2=Sisak |first2=Michael |title=Judge dismisses NRA bankruptcy case in blow to gun group |url=https://apnews.com/article/nra-bankruptcy-dismissed-a281b888b64d391374f24539a820d60f |access-date=May 18, 2021 |work=[[Associated Press]] |date=May 12, 2021}}</ref> On March 2, 2022, New York state court in Manhattan ruled against Letitia James's effort to break up the NRA while allowing the portion of the legal actions against the NRA's leadership to continue. The judge found that dissolving the NRA would have a negative impact on the free speech and assembly rights of the organization's members. It was also found that the NRA as an organization did not benefit from the alleged misconduct of its leadership and "less intrusive" remedies against NRA officials could be sought instead.<ref>{{cite news |last1=Schnell |first1=Mychael |title=Judge blocks New York attorney general's attempt to break up NRA |url=https://thehill.com/homenews/state-watch/596737-judge-blocks-new-york-attorney-generals-attempt-to-break-up-nra/?rl=1 |access-date=7 March 2022 |work=The Hill |date=3 March 2022}}</ref><ref>{{cite news |last1=Stempel |first1=Jonathan |title=Judge blocks New York's bid to close NRA |url=https://www.reuters.com/world/us/nra-cannot-be-dissolved-by-new-york-attorney-general-judge-rules-2022-03-02/ |access-date=7 March 2022 |publisher=Reuters |date=2 March 2022}}</ref> In February 2024, NRA leaders were found guilty of financial misconduct<ref name=Politico>AP [https://www.politico.com/news/2024/02/23/nra-lapierre-lawsuit-lavish-spending-00143038 "National Rifle Association and Wayne LaPierre are found liable in lawsuit over lavish spending"] Associated Press via Politico. February 23, 2024. Retrieved May 30, 2024.</ref> and corruption by a Manhattan jury.<ref name=TNYT>McKinley, Jesse; Cruz, Liset; and Christobek, Kate [https://www.nytimes.com/2024/02/23/nyregion/lapierre-nra-verdict.html "N.R.A. Stung by Corruption Verdict Tied to Millions of Misspent Dollars"] ''The New York Times''. February 23, 2024. Retrieved May 30, 2024.</ref>
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