Numerous serious allegations have been made from credible accusers regarding the questionable fiscal management and corporate governance of the National Rifle Association. The accusations center around executive fiscal abuses, self-dealing, suspect relationships with vendors, excessive compensation, extravagant “perks,” circumventing accountability, and thwarting NRA Board oversight.
Litigation in several cases had brought to light other disturbing allegations of executive mismanagement, self-dealing, and various fiscal abuses of NRA funds. In a feeble attempt to evade these allegations, NRA executive leadership intentionally deceived the Board of Directors, on which I sit, and, without the authority to do so, filed a legal action to have the NRA declare bankruptcy. The legal action also sought to reconstitute the NRA in Texas while leaving executive leadership intact.
The judge found that NRA’s executive leadership failed to file the bankruptcy in good faith and dismissed the NRA’s legal action after a 10 day evidentiary hearing. The court further found that the NRA Treasurer, General Counsel/Secretary, and the Board of Directors were not told the truth of the intent to file for bankruptcy protection. Undisputed press reports claim that over $20 Million of NRA members’ funds was spent for attorney fees to file and defend the failed bankruptcy filing.
Allegations are just that – allegations – until proven. Thus, we filed a motion seeking to have the NRA bankruptcy court appoint an independent examiner to determine whether these very troubling claims are true or false.
I was appointed by the judge in the bankruptcy case to represent four other sitting and former NRA Board members and, in that capacity, I was able to witness the trial first-hand. After hearing over 10 days of testimony, reviewing hundreds of exhibits, dozens of depositions, and thousands of pages of evidence, I am convinced that New York Attorney General Letitia James — an avowed enemy of the 2nd Amendment and the NRA — will win the lawsuit she filed in a Manhattan (NY) court.
Recently, thankfully, Judge Cohn, who is presiding over that case, blocked Letitia James’ request to completely dissolve the NRA, stating that NRA members did no wrong and should not be punished with dissolution of the Association. He did allude to those deserving of the remedies allowed under NY law. The most likely and promising outcome is that Wayne LaPierre and others who have been abusing the NRA for their own financial gain will be removed from office by the court.
Restore the NRA is an effort to ensure that the NRA is able to continue its mission with the highest integrity, transparency, and accountabilty. It is my objective, in launching this effort, to allow the NRA to continue effectively servicing and representing gun owners, competitive shooters, sportsmen and hunting enthusiasts.
Restore the NRA is not a separate organization in competition with the NRA. It is a legal fund, which has applied with the IRS for a non-profit 501c3 status, set up to directly pay the legal fees incurred in pursing this effort to rescue, reform and restore the NRA. I am asking the New York court to appoint an independent Special Master to restore the NRA so that it is done by NRA members, for NRA members.
With 2nd Amendment rights threatened as never before, now is not the time to abandon the National Rifle Association. Rather, it is time to fix it and, with your generous help, I am confident we will succeed.
Judge Phillip B. Journey
