Many suspect the move is not being made for financial reasons but to evade prosecution in New York state. (Though headquartered in Virginia, the NRA was incorporated in New York in 1871.) As their Attorney-General put it in a statement, the state will review the NRA’s filing, but added: “We will not allow the NRA to use this or any other tactic to evade accountability and my office’s oversight.”
Source: Associated Press
AUSTIN, Texas (AP) — The National Rifle Association announced Friday it has filed for bankruptcy protection and will seek to incorporate the nation’s most politically influential gun-rights group in Texas instead of New York.
The announcement came months after New York’s attorney general sued the organization over claims that top executives illegally diverted tens of millions of dollars for lavish personal trips, no-show contracts for associates and other questionable expenditures.
The NRA filed for Chapter 11 bankruptcy in federal court in Dallas and said it planned to incorporate in Texas, where records show it formed a limited liability corporation, Sea Girt LLC, in November 2020. Sea Girt LLC made a separate bankruptcy filing Friday, listing fewer than $100,000 in liabilities.
Part of Wayne LaPierre's statement:
Today, the NRA announced a restructuring plan that positions us for the long-term and ensures our continued success as the nation’s leading advocate for constitutional freedom – free from the toxic political environment of New York.
The plan can be summed up quite simply: We are DUMPING New York, and we are pursuing plans to reincorporate the NRA in Texas.
To facilitate the strategic plan and restructuring, the NRA and one of its subsidiaries have filed voluntary chapter 11 petitions in the United States Bankruptcy Court for the Northern District of Texas, Dallas Division. As you may know, chapter 11 proceedings are often utilized by businesses, nonprofits and organizations of all kinds to streamline legal and financial affairs.
Their version of the story.
BREAKING NEWS: @NRA Dumps New York to Reincorporate in Texas, Announces New Strategic Plan
"This is a transformational moment in the history of the NRA," says NRA CEO & EVP Wayne LaPierre.
Visit https://t.co/bctdcmFBwl for more info! pic.twitter.com/k72QELZsbN
— NRA (@NRA) January 15, 2021
And what's really going down, which is them.
— Reuters (@Reuters) January 15, 2021