NRA Files for Chapter 11, Leaving New York
The NRA has has filed for Chapter 11 petitions as part of a new plan to reincorporate in Texas.
In a new letter addressed to members and supports, National Rifle Association (NRA) CEO Wayne LaPierre announced the gun rights advocacy group has filed for voluntary Chapter 11 petitions as part of a restructuring plan that would reincorporate the non-profit in Texas.
“We are DUMPING New York, and we are pursuing plans to reincorporate the NRA in Texas,” wrote LaPierre, citing “the toxic political environment” of the state where the NRA was founded in 1871. Home to 400,000 NRA members and the planned site of the 150th NRA Annual Meeting, “Texas values the contributions of the NRA, celebrates our law-abiding members, and joins us as a partner in upholding constitutional freedom,” he added.
The first step of a strategic plan referred to as Project Freedom, the plan “aims to help the NRA streamline costs and expenses, proceed with pending litigation in a coordinated and structured manner, and realize many financial and strategic advantages” to position the organization for long-term and continued success.
“The plan allows us to protect the NRA and go forward with a renewed focus on Second Amendment advocacy,” said NRA President Carolyn Meadows in a related press release, supported by newly appointed NRA Chief Restructuring Officer Marschall Smith. “This plan has no impact on the NRA’s most important goal: serving its membership and protecting the Second Amendment,” asserted Smith.
Leaving New York, the NRA seeks to reincorporate in Texas where they have 400,000 members.
Even though the organization seeks to leave the New York, it promises to “continue the fight to protect the interests of its members” in the state. The NRA has also formed a committee to study opportunities for relocating segments of its business to Texas or other states, including the possibility of moving its headquarters in Fairfax, Va.
Despite filing for voluntary chapter 11 petitions in the U.S. Bankruptcy Court for the Northern District of Texas, Dallas Division, LaPierre is adamant the “NRA is not ‘bankrupt’ or ‘going out of business’,” adding “We are as financially strong as we have been in years.”
However, those familiar with the NRA’s recent legal troubles, specifically a lawsuit filed by New York Attorney General Letitia James that charged organization executives, including LaPierre himself, with failing to manage the NRA’s funds and follow state and federal laws that contributed to a reported loss of more than $64 million in three years, have reason to doubt the validity of those statements.
"This is the most transformational moment in the history of the NRA," said Wayne LaPierre in his letter.
Still, the “NRA is confident it will emerge from the restructuring with an exciting and ambitious blueprint for the future,” noting “This is the most transformational moment in the history of the NRA.”
NRA memberships are unaffected by the restructuring plan.
LaPierre’s letter and details of the NRA’s plan were published on a new website, nraforward.org, along with a formal press release and questions and answers section.
Stay tuned to Shooting Industry for continued updates on the NRA’s chapter 11 petition and reincorporation in Texas.
