May 4, 2021 12:03 p.m.
A Justice Department official all but quashed the National Rifle Association’s hopes at declaring bankruptcy and moving to Texas on Monday.
The U.S. Trustee, a DOJ office that enforces bankruptcy laws and which rarely takes sides in bankruptcy disputes, told a Texas federal judge that it opposed the NRA’s bankruptcy petition and that “the evidentiary record clearly and convincingly establishes” that NRA Executive Vice President Wayne LaPierre “failed to provide the proper oversight.”
“The record is unrefuted that Wayne LaPierre’s personal expenses were made to look like business expenses,” Assistant U.S. Trustee Lisa L. Lambert told federal bankruptcy judge Harlin Hale, the New York Times reported.
May 4, 2021 at 3:27 PM
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Wayne LaPierre is a crap shot. The NRA CEO’s lousy aim is the second worst kept secret at the gun charity the first is the alleged rampant self-dealing and his latest effort to use the bankruptcy court in Dallas to parachute the organization out of New York appears to have missed the mark spectacularly.
LaPierre has made no bones about the ploy, writing on the NRA’s website that that the charity is in its “strongest financial condition in years” and is only filing for bankruptcy to escape “the unhinged and political attack against the NRA by the New York Attorney General.”
N.R.A. Leadership and Bankruptcy Assailed by U.S. Trustee
In a rare move, the trustee, part of the Justice Department, called for the dismissal of the N.R.A.’s bankruptcy filing or the appointment of an outside monitor.
The National Rifle Association, facing legal challenges in New York, declared bankruptcy in January and is seeking to reincorporate in Texas.Credit.Jim Lo Scalzo/EPA, via Shutterstock
May 3, 2021
The National Rifle Association’s hopes of end-running a legal challenge in New York were dealt a serious blow on Monday when a Justice Department official rebuked its leadership and called for the dismissal of its bankruptcy filing or the appointment of an outside monitor to oversee its finances.
Professional Biography:
Christy Hancock’s practice is dedicated to financial services regulatory compliance and litigation. Her work with mortgage servicing and financial institution clients has given her a broad base of knowledge regarding laws affecting the mortgage servicing business, including bankruptcy and foreclosure best practices, payment application, correspondence requirements, allowable fees, loan modifications, escrow requirements, and property preservation. In recent years, the majority of her practice has focused on advising large financial institutions on bankruptcy-related regulatory matters and large-scale remediation projects.
In 2020, Christy emerged as a thought leader on the CARES Act and related state laws regarding mortgage forbearances, deferrals and other loss mitigation options, as well as foreclosure and eviction moratoriums. She hosts a weekly WebEx for Bradley’s financial services clients on COVID-19 mortgage servicing issues.