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NRA Found Liable in Corruption Case as Jury Says Longtime Leader Wayne Lapierre Should Repay $4.3 Million

A jury in a lawsuit brought by the New York Attorney General’s Office against the National Rifle Association found Friday that the gun rights group mismanaged charitable funds when it failed to stop top executives — including longtime leader Wayne LaPierre — from diverting millions of dollars for lavish personal trips, no-show contracts and other questionable expenditures.

In its verdict, the jury found LaPierre should pay the powerful gun rights group $4.3 million in damages for mismanagement and misspending charitable funds. The panel also found the group’s former CFO Wilson Phillips should pay back $2 million for breaching his fiduciary duties as an executive.

Shortly after the verdict was read, New York Attorney General Letitia James called the jury’s decision against the powerful National Rifle Association and its top executives, a “major victory” in a post on X.

“In a major victory, my office won our case against the NRA and its senior leadership for years of corruption and greed,” James said. “Wayne LaPierre and a senior executive at the NRA must pay $6.35 million for abusing the system and breaking our laws.” (Read more from “NRA Found Liable in Corruption Case as Jury Says Longtime Leader Wayne Lapierre Should Repay $4.3 Million” HERE)

Donald Trump Pledges Tax Credit for Teachers Who Train to Be Armed

During his speech at the NRA’s Annual Meeting 2023, former president Donald Trump, a candidate for president in 2024, pledged a tax credit for teachers who take the time to be trained in firearms proficiency for classroom defense.

According to excerpts of prepared remarks provided to Breitbart News by Trump’s team, Trump spoke at the NRA Annual Meeting leadership forum, where he told attendees, “I will also create a new tax credit to reimburse any teacher for the full cost of a concealed-carry firearm and training from highly qualified experts.”

He added, “If even 5 percent of teachers were voluntarily armed and trained to stop active shooters, we would achieve effective deterrence and the problem would cease to exist.” (Read more from “Donald Trump Pledges Tax Credit for Teachers Who Train to Be Armed” HERE)

Photo credit: Gage Skidmore via Flickr

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A Triumphant Trump Asks for NRA Convention’s Help in Returning to White House

Former President Donald Trump had a hero’s return to the National Rifle Association’s annual convention in Indianapolis as he hit the stage to chants of “USA! USA!”

“I was proud to be the most pro-gun, pro-Second Amendment president you’ve ever had in the White House,” Trump said. “I think that’s been acknowledged, and with your support, in 2024, I will be your loyal friend and fearless champion once again as the 47th president of the United States.”

Trump bragged about his poll numbers and briefly referenced several 2024 presidential rivals, including former Vice President Mike Pence, Gov. Ron DeSantis (R-FL), and former U.N. Ambassador Nikki Haley, as he spoke before gun rights activists at the event.

Pence and Trump have been at odds since the aftermath of the 2020 presidential election and the Jan. 6 Capitol riot. The NRA convention is the first time the two men are speaking at the same place. Yet Pence has not announced whether he will run.

Nevertheless, Trump had a few positive words for his former running mate. “I hope you gave Pence a good warm approval,” Trump said as some of the NRA crowd booed Pence. “Because he is a nice man if you want to really know the truth. … He’s a good man.” (Read more from “A Triumphant Trump Asks for NRA Convention’s Help in Returning to White House” HERE)

Photo credit: Flickr

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Judge Tosses NRA Bankruptcy Filing

A Texas judge on Tuesday tossed the National Rifle Association’s bankruptcy filing, calling into question the beleaguered advocacy group’s attempt to move to the state.

Judge Harlin Hale of the U.S. Bankruptcy Court in Dallas dismissed the group’s Chapter 11 filing, writing that CEO Wayne LaPierre was using the filing “to gain an unfair litigation advantage” and “to avoid a state regulatory scheme.”

Hale wrote in his opinion that the organization has strayed from its original intended purpose, which was to advocate for a broad reading of the Second Amendment.

“The mission and function of the NRA is focused on gun safety, and the NRA asserts it is ‘the nation’s foremost defender’ of the Second Amendment of the United States Constitution,” he wrote. “In recent years, however, it has become apparent that the NRA was suffering from inadequate governance and internal controls.” (Read more from “Judge Tosses NRA Bankruptcy Filing” HERE)

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NRA Files for Bankruptcy

The National Rifle Association has filed for Chapter 11 bankruptcy, as it seeks to leave New York and reincorporate in Texas, the gun rights organization announced Friday.

The NRA “will restructure the Association as a Texas nonprofit to exit what it believes is a corrupt political and regulatory environment in New York,” the group wrote in a press release.

The announcement comes months after New York Attorney General Letitia James (D) sued the NRA in an effort to dissolve the organization entirely over allegations of fraud and misuse of donor funds.

James mocked the NRA over the news, tweeting, “The @NRA’s claimed financial status has finally met its moral status: bankrupt. While we review its bankruptcy filing, we will not allow the @NRA to use this or any other tactic to evade accountability and my office’s oversight.”

William Brewer III, an attorney representing the NRA in some of its legal battles, said in a statement, “Under this plan, the Association wisely seeks protection from New York officials who it believes have illegally weaponized their powers against the NRA and its members.” He added, “The NRA will continue to fight to protect the interests of its members in New York – and all forums where the NRA is unlawfully singled out for its Second Amendment advocacy.” (Read more from “NRA Files for Bankruptcy” HERE)

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The State of New York Sues to Dissolve the NRA

By Daily Mail. The NRA is counter-suing the New York Attorney General, claiming her bombshell lawsuit on Thursday that seeks to dismantle the gun organization is a ‘premeditated’ political attack that has been deliberately timed to thwart Trump’s reelection chances.

New York AG Letitia James filed her lawsuit on Thursday. She claims that Executive Vice-President Wayne LaPierre, former Treasurer and Chief Financial Officer (CFO) Wilson ‘Woody’ Phillips, former Chief of Staff and the Executive Director of General Operations Joshua Powell, and Corporate Secretary and General Counsel John Frazer used the NRA as a ‘personal piggy bank’ for years. . .

The NRA responded angrily.

‘This was a baseless, premeditated attack on our organization and the Second Amendment freedoms it fights to defend.

‘You could have set your watch by it: the investigation was going to reach its crescendo as we move into the 2020 election cycle. It’s a transparent attempt to score political points and attack the leading voice in opposition to the leftist agenda. (Read more from “The State of New York Sues to Dissolve the NRA” HERE)

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Who are the allegedly corrupt leaders of the NRA?

By Joanna Walters. The NRA executive vice-president and chief executive [Wayne LaPierre] has led the group for 39 years. . . Thursday’s lawsuit alleges he “has exploited the organization for his financial benefit … [and] to continue, by use of a secret ‘poison pill contract’, his employment even after removal and ensuring NRA income for life; and to intimidate, punish, and expel anyone at a senior level who raised concerns about his conduct. The effect has been to divert millions of dollars away from the charitable mission.”

He is accused of diverting NRA funds for “trips to the Bahamas to vacation on a yacht owned by the principal of numerous NRA vendors … costly black car services, gifts for favored friends”. . .

[Wilson] Phillips is accused of facilitating millions of dollars in entertainment and travel expenses incurred by NRA executives and being improperly billed to the group and evading IRS requirements.

A report in the New Yorker last year alleged that before working for the NRA, in the early 90s, Phillips was quietly fired by a consultancy firm in Washington DC after a $1m embezzlement. . .

Millions of dollars of NRA funds were misappropriated with [Joshua] Powell’s assistance, the lawsuit says, and he secured contracts that secretly benefited family members. (Read more from the story “New York Sues the NRA” HERE)
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Opinion: The NRA’s Leadership is Probably Guilty of Corruption, But the Organization Shouldn’t be Disbanded

By Matt Ford. [New York Attorney General’s] move ignites an existential legal battle for the ailing gun-rights organization that will likely take years to resolve. James’s lawsuit arrives after many years of sustained internal strife within the NRA’s ranks, which pitted LaPierre and his allies against whistleblowers and dissident members who raised concerns about patterns of improper spending. The scandal has sapped the organization’s once-vaunted political strength and drained its coffers; LaPierre reportedly claimed in January that the NRA’s legal struggles had, by that time, cost the organization at least $100 million.

. . . [T]he NRA’s leadership has destabilized the organization more effectively than any state official ever could. In the complaint, which draws heavily from her office’s investigation and from efforts by journalists, James describes a constant stream of unjustified cash and perks that flowed from the NRA’s coffers into the hands of favored members of its upper ranks. LaPierre, who has served as the taciturn and incendiary face of the organization for more than a decade, was the recipient, and often the arbiter, of this largesse. . .

But I can’t bring myself to embrace the notion that a state attorney general—any state attorney general—should be able to disband one of the nation’s most popular political organizations because its leaders misused its members’ donations. If this is the opening bid in an eventual settlement that purges the NRA’s corrupt upper ranks and leaves its ultimate fate to others, however, I would welcome it. (Read more about “New York Sues the NRA” HERE)

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NRA Sues San Francisco; Quarter of Dems Say NRA Should Be Illegal

By Breitbart. The NRA is suing San Francisco after the city declared it a “domestic terrorist organization,” alleging the declaration violates the group’s free speech rights.

The Associated Press reports the NRA filed suit in U.S. District Court for the Northern District of California, asking the court “to instruct elected officials that freedom of speech means you cannot silence or punish those with whom you disagree.”

On September 4, 2019, Breitbart News reported San Francisco Supervisors’ unanimous vote to declare the NRA a “domestic terrorist organization.” Rolling Stone magazine reports the supervisor behind the vote, Cathering Stefani, is a volunteer member of Michael Bloomberg-funded Moms Demand Action. (Read more from “NRA Sues San Francisco” HERE)

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Quarter of Dems Say NRA Should Be Illegal

By Rasmussen Reports. The National Rifle Association is America’s largest gun rights organization with more than five million members. But a sizable number of Democrats views it as a terrorist group and believes it should be against the law for Americans to belong to pro-gun rights organizations like the NRA.

Following several recent mass shootings, officials in San Francisco declared the NRA a domestic terrorist organization. The latest Rasmussen Reports national telephone and online survey finds that nearly one-out-of-three Likely Democratic Voters (32%) favor declaring the gun rights group a terrorist organization in the community where they live. Fourteen percent (14%) of Republicans and 20% of voters not affiliated with either major party agree. (To see survey question wording, click here.)

Twenty-eight percent (28%) of Democrats say Americans should be prohibited by law from belonging to pro-gun rights organizations like the NRA, a view shared by 15% of Republicans and 10% of uanffiliateds.

Among all likely voters, 23% favor declaring the NRA a terrorist organization in their home community, while 18% think it should be against the law to belong to pro-gun rights groups like the NRA. (Read more from “Quarter of Dems Say NRA Should Be Illegal” HERE)

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Is Trump Headed for a Post-Shooting Gun Control Fight with the NRA?

President Donald Trump talked up the prospect of new background check legislation Friday morning but still says that he wants gun rights groups like the NRA to have a say.

Speaking to reporters outside the White House, the president said that “we need intelligent background checks,” and that Senate Majority Leader Mitch McConnell, R-Ky., is “totally on board” with the issue. Two days earlier, Trump discussed the potential to “bring up background checks like we’ve never had before.”

The day before, McConnell said on a Kentucky radio program that gun control will be “one of the front and center issues” when the Senate comes back to Washington from summer break in September. “What we can’t do is fail to pass something,” the senator also said. “The urgency of this is not lost on any of us.”

However, Trump also said in a tweet earlier that morning that he wants to make sure to get input from gun rights groups like the National Rifle Association.

“Serious discussions are taking place between House and Senate leadership on meaningful Background Checks,” the president tweeted. “I have also been speaking to the NRA, and others, so that their very strong views can be fully represented and respected.”

The NRA, however, came out against new background check laws the day before, noting more background checks wouldn’t have prevented either suspect in the recent Dayton and El Paso shootings from obtaining firearms. (Read more from “Is Trump Headed for a Post-Shooting Gun Control Fight with the NRA?” HERE)

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NRA Dismisses Calls for More Background Checks After Shootings as ‘Rhetoric for Billionaire Activists and Campaign Rallies’

In a lengthy Twitter statement put out on Thursday, the National Rifle Association (NRA) responded to recent calls for new background check laws in the wake of the El Paso and Dayton shootings as “rhetoric for billionaire activists and campaign rallies.”

In the statement, which can be found below, the pro-gun organization expresses “our deepest sympathies to the families and victims in El Paso and Dayton,” before addressing recent gun control proposals that have come up in the wake of the shooting.

“Real solutions save lives – televised, choreographed spectacles don’t,” the statement said. “In support of this goal, we appreciate the need for honest and open dialogue on how to stop these horrific murders.”

To the end of finding real solutions, the Second Amendment group said, “We must invest in law enforcement, demonstrating a real commitment to the job they do to protect us, and we must prosecute those who commit crimes with a gun under the federal gun laws to the fullest extent possible.”

However, in response to other gun control proposals, the group also added, “It is not enough anymore to simply say that ‘we need more background checks.’ Considering both suspects in El Paso and Dayton passed them, that is rhetoric for billionaire activists and campaign rallies – not a call for constructive progress.”

In recent days, congressional Democrats have called for the Senate to reconvene from its summer recess in order to take up a House-passed background check measure that was sent to the upper chamber earlier this year. On a recent trip to visit shooting victims and their families, President Donald Trump discussed the possibility of “bring[ing] up background checks like we’ve never had before.”

However, both suspects bought their firearms legally, indicating that the House-passed bill wouldn’t have done anything to prevent either of them from getting guns. As CR senior editor Daniel Horowitz explained earlier this week, “Basic criminology teaches that most murderers first build up a prior rap sheet before committing the ultimate offense. … Unfortunately, most of these mass murderers defy that trend.”

The NRA’s statement also touched on recent “red flag” gun confiscation proposals, which have found support from the president and are currently being worked on in Congress.

“It is the NRA’s long-standing position that those who have been adjudicated as a danger to themselves or others should not have access to firearms and should be admitted for treatment,” the statement says. “But, there needs to be real evidence of danger – and we cannot sacrifice anyone’s constitutional rights without due process.”

Those who have been “adjudicated as a mental defective” or “committed to a mental institution” are already prohibited from purchase guns legally under federal law. (For more from the author of “NRA Dismisses Calls for More Background Checks After Shootings as ‘Rhetoric for Billionaire Activists and Campaign Rallies’” please click HERE)

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Sleepless in Indianapolis: The NRA’s Corruption Problem

My grandson and I are back from our road trip to Indianapolis, where we drove up for the National Rifle Association Annual Meetings & Exhibits. Admission was free for us members, about 75,000 of us, and 15 acres of gun-related exhibits beckoned to enthusiasts.

Longtime readers of this column may recall that I am not a gun enthusiast. I don’t know much about guns, and I’m not very curious. Yes, I had to shoot them and clean them when I was in the Army, but I’ve seldom shot one for fun since I was in junior high school.

I am, however, a freedom enthusiast. I am therefore a Second Amendment true believer.

We live in a diverse and contentious nation. I don’t believe for a moment that we have avoided dictatorship and genocide because we are too altruistic and high-minded for such things. Our republic and we, within it, have been protected by the deterrent effect of the widespread private and anonymous ownership of firearms and ammunition.

That Constitutional right to keep and bear arms will always be under siege. “Freedom,” as Ronald Reagan observed, “is never more than one generation away from extinction.” The NRA has been a potent, principled defender and counter-puncher against those who conspire against our civil right to own and supply the technology to protect ourselves and our republic.

The National Rifle Association

The NRA is a nonprofit corporation with an unusually large board of directors. Maybe there’s another one with 76 directors, but I don’t know of it. I’ve often thought how thrilling the board meetings must have been, kind of like a sports fantasy camp, except that you got to rub elbows with Ted Nugent, Allen West, Ollie North and Wayne LaPierre.

Executive Vice President Wayne LaPierre has often been one of my heroes, standing up against fierce and hysterical public attacks when milder, meeker men (like me) might have wilted. And so I’m sentimental about the NRA, deeply committed to its success, and protective against its detractors.

Imagine my dismay, then, to read about the lawsuit it filed in suburban Washington DC this month against Ackerman McQueen, its Oklahoma City-based vendor for public-relations work, event planning, social media and digital content production. For 38 years, Ackerman has shaped the message and image of the NRA.

From My Cold Dead Hands

I have no criticism of Ackerman’s work product. In fact, I think much of it has been inspired, whether the late Charlton Heston’s “cold dead hands” speech nearly 20 years ago, or Charlie Daniels’ 2016 warning to the ayatollahs that heartlanders will defend our country with “bloody, calloused bare hands” if we have to.

But Ackerman billed NRA for $42.6 million in 2017. You’ve got to accept the highest level of transparency and accountability when you’re invoicing that kind of money. And it appears that Ackerman’s not living up to that.

The P.R. firm has sent the NRA vague and incomplete invoices, which is not a scandal. But when NRA employees did their job and insisted on clarification, their superiors retaliated against them. Therein lies the scandal. Many of the most conscientious employees no longer work at NRA. It appears that good stewards are seen as a nuisance by the senior executive staff.

Divided Loyalties

Part of the problem is that key NRA personnel are also on the Ackerman payroll, including President Oliver North. North was not, so far as I know, part of the clique that drove stubbornly ethical employees out. In fact, he is leading the drive to hold LaPierre accountable for financial misconduct.

But even here, his credibility is undermined by his divided loyalties between the NRA and its main vendor. One of the NRA’s legal complaints against Ackerman is the vendor’s refusal to provide a copy of its contract with North. He was coy when asked to provide his own copy of the contract, saying he’d need Ackerman’s consent to disclose his contract with them.

Of course, Ackerman is a privately-owned business. It has no direct legal obligation to us as NRA members. That obligation of vigilance and good stewardship is owed us by the NRA Board of Directors, and its Executive Vice President.

The NRA is roughly $30 million in the red. In previous years, it has run deficits as high as $40 million. Its retirement fund is about $60 million in the hole. Instead of chastening the board and the executive leadership, this seems to have emboldened them. They must be confident that NRA members will rally to the ramparts and dig deep into our own pockets to rescue our beloved organization.

And so Wayne earns about $1.4 million per year, at last count. He took a $4 million retirement distribution a few years ago, so that was over a $5 million year for him.

It’s always a shock when you hear the truth from your enemies instead of your allies, but it took antagonistic journalists to tell us about executives sliding off the NRA payroll and into $600,000 and $700,000 consulting contracts with the NRA. And about nimble wives, children and other family of NRA executives skipping between the payrolls of the NRA and its vendors, at eye-watering salaries.

Even if the NRA’s legal complaint against Ackerman for shady billing practices is airtight, the fact remains that our board has allowed fast-and-loose financial dealings that bring discredit on our organization, and put it at risk of very serious legal attack by hostile regulators in the state of New York.

Foxes Guarding the Henhouse

NRA lawyers and accountants brought insider corruption to the attention of the board’s Audit Committee last year. Emily Cummins, in her 12th year as NRA managing director of tax and risk management, brought her concerns to an emergency meeting of that watchdog committee last July.

But the committee took no effective action, and didn’t notify fellow directors of the problems. The board retroactively approved past actions that should have required their prior approval. And Cummins no longer works at the NRA.

The board didn’t confront its executives and contractors about improper side contracts. There were no contract reviews, investigations or disciplinary actions. Whistleblowers quietly vacated their positions and left the organization.

Hostile Alliance Against the NRA

Or did they? Somebody has been leaking internal documents to Michael Spies, a writer for New Yorker magazine. That magazine has formed an anti-NRA alliance with The Trace, a specialized anti-gun online newsletter owned by New York billionaire Michael Bloomberg. Together, they have pieced together a devastating expose of NRA financial corruption. You can read it online; there’s no pay wall for the first few articles.

The New Yorker is inevitably feeding information to hostile regulators in New York State, where the NRA is incorporated, and where New York (state) Attorney General Letitia James and Gov. Andrew Cuomo are in the driver’s seat.

This board has put our organization, and therefore the Second Amendment, at risk. In some cases, their dereliction is potentially criminal. At the very least, all directors on the audit committee, finance committee and executive committee should resign.

The board apparently saw trouble on the horizon, because it recently revised our by-laws to make their own recall nearly impossible. LaPierre has also taken some precautions, getting the board to add a clause to his employment contract that will guarantee him payment as a speaker and consultant after he retires, beginning at the full Executive Vice President base salary he currently receives.

No Showdown at Indianapolis

I looked forward to the members’ meeting last weekend as an opportunity to vote the rascals out and support reform candidates. But the elections were already over before we met in Indianapolis. Only one director remained to be selected.

Oliver North was a no-show at the annual members’ meeting, so the seat next to the Executive Vice President was vacant. The media-conscious North may have wanted to avoid any new photographs of him in the same frame with Wayne LaPierre. I don’t blame him; it doesn’t feel like a sports fantasy weekend anymore.

He did send a representative in the Pennsylvania delegation, who read his letter from the floor, briefly touching on financial misconduct allegations against LaPierre. Presidents typically serve two one-year terms, but North’s letter announced he will not serve a second term because the board didn’t re-nominate him.

Predictably, the old guard lectured insurgents about washing dirty NRA laundry in public, and the allegations against LaPierre were quickly referred to a closed-door meeting of the board to follow the Annual Meeting. The general membership will not meet again until a year from now, in Nashville.

I hope the NRA still exists this time next year, and that it is still a force for freedom, not just self-preservation. According to one retired official quoted by Spies, New York State could sanction or remove board members, disband the entire board, or revoke the NRA’s corporate charter altogether. It could also lose its federal tax-exempt status.

Rehabilitating the NRA

If you care about the NRA, if you care about the Second Amendment, this is the time for adult supervision. There is no pain-free option. Can we save the NRA? I hope so. We’ll need to be more actively, anxiously engaged than ever before. Call and write your directors (listed in the NRA magazines) and demand they excise the cancer.

If we can’t save the NRA, it will be a terrible blow to the civic impact of gun owners in a critical election year. It may take us another generation to dig out from the rubble.

The Gun Lobby is You

But we had God-given Constitutional rights before the NRA existed and we’ll have them after the NRA ceases to exist. We must not despair of vindicating our right to keep and bear arms just because fallen men couldn’t keep their paws out of the cookie jar.

Win or lose, one lesson we should take away is that we should never again keep all our eggs in one basket. Join a state-level grassroots gun rights network that is not subject to suffocation by New York state regulators. You can find one at Jeff Knox’s Firearms Coalition website (www.FirearmsCoalition.org).

Consider joining Gun Owners of America (https://gunowners.org/), described by Ron Paul as “the only no-compromise gun lobby in Washington.” Another uncompromising gun rights organization, although not so potent in Congress, is Jews for the Preservation of Firearms Ownership (jpfo.org).

The death or incapacitation of the NRA will mean that you can’t outsource your civic duty to Chris Cox anymore. If you care about your rights, you’re going to have to accept feeling like a pest. If your elected representatives or their staff roll their eyes when you follow up and hold their feet to the fire, oh well.

I hope we’re not coming to the end of an era of highly effective, efficient legislative advocacy but if we are, you’re still a citizen. You still have a Constitutionally protected right to petition for the redress of grievances, and your right to keep and bear arms – by the supreme law of the land – shall not be infringed.

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