Axios
NRA declares bankruptcy, says it will reinstate in Texas
The National Rifle Association said on Friday that it filed for Chapter 11 bankruptcy and will try to reinstate itself in Texas, calling New York, where it is currently registered, a “toxic political environment”. The big picture: The move comes just months after New York Attorney General Letitia James filed a lawsuit to dissolve the NRA, alleging that the group committed fraud by embezzling about $ 64 million in charitable donations to the over three years to support reckless spending by its executives. : Subscribe for FREE to America’s most influential newsletter. * The NRA then sued James in federal court, accusing him of violating his right to freedom of expression. * Karl Racine, Washington, DC’s attorney general, filed a separate lawsuit in August against the arms lobby and its foundation “for misusing charitable funds to support unnecessary spending by the NRA and its executives.” What they are saying: “Today, the NRA has announced a restructuring plan that positions us for the long term and ensures our continued success as the main defender of constitutional freedom – free from the toxic political environment of New York,” said Wayne LaPierre of NRA in letter to members and supporters Friday. * “The plan can be summarized in a very simple way: we are DUMPING in New York and we are looking for plans to reincorporate the NRA in Texas,” added LaPierre. * “According to the plan, the NRA will continue what we have always done – facing anti-gun, anti-self-defense and anti-hunting activities and promoting constitutional defense that helps law-abiding Americans.” * “Our work will continue as usual. No major changes are expected in NRA operations or workforce.” LaPierre also said on Friday that the NRA is “financially strong as we have been in recent years”, despite the organization firing or laying off dozens of employees, canceled its national convention and cut salaries last year due to the coronavirus pandemic, by AP . * An NRA spokesman said in May that, like “all other companies and nonprofits, we are forced to make difficult choices in this new economic environment,” according to the AP. * In its bankruptcy petition filed in Texas, the NRA listed assets and liabilities of up to $ 500 million each, Bloomberg reported. Dig deeper: the NRA’s growing political influence Editor’s note: This story has been updated with additional details. Get smarter and faster with the news that CEOs, entrepreneurs and politicians read. Sign up for Axios Newsletters here.