NRA Files for Bankruptcy, Leaves New York for Texas courthousenews.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from courthousenews.com Daily Mail and Mail on Sunday newspapers.
The NRA says it’s moving to Texas. Bankruptcy experts say it may be more of a legal move than a physical one.
Texas Tribune
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The National Rifle Association filed Chapter 11 bankruptcy Friday and said it would eventually reincorporate in Texas a move experts say is a legal maneuver to escape an aggressive lawsuit being pursued by the New York attorney general.
Officials in Texas which is known as both a gun-friendly and debtor-friendly state welcomed the NRA’s announcement Friday, embracing the NRA’s stance that it is fleeing a “toxic political environment” in New York.
In August, New York’s attorney general filed a lawsuit against the organization alleging decades of fraudulent use of the NRA’s funds by its executives. New York Attorney General Letitia James accused NRA leaders of knowingly signing off on fraudulent statements.
Facing a financial probe and attorney general's suit in New York seeking to dissolve the group, the National Rifle Association sought Chapter 11 protection in Texas on Friday and said it would move its charter to that state, toting along more than $100 million in debt.