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National Rifle Association (NRA)

CharityWatch report issued
February 2024

 
CharityWatch Grade
 

Contact Information

National Rifle Association (NRA)
11250 Waples Mill Road
Fairfax, VA 22030

Other Names

National Rifle Association of America
NRA
NRA Institute for Legislative Action

Tax Status

501(c)4

Website

www.nra.org

Stated Mission

To protect and defend the U.S. Constitution; to promote public safety, law & order, and national defense; to train law enforcement agencies & civilians in marksmanship; to promote shooting sports & hunting.

View similar charities
Data based on Fiscal Year Ended 12/31/2022

*Why a Question Mark Rating?

CharityWatch currently has concerns about this organization and/or is unable to provide complete rating information due to the organization's nondisclosure of financial information. Please see the Analysts' Notes section for a more detailed explanation.


Governance & Transparency

CharityWatch evaluates certain criteria related to a charity's Governance and Transparency. Donors may want to consider a charity's willingness to be open and transparent with CharityWatch to be a good litmus test for determining its commitment to public accountability.
National Rifle Association (NRA)
does not meet governance benchmarks.
 
National Rifle Association (NRA)
does not meet transparency benchmarks.

CharityWatch Governance Concerns

See Analysts' Notes for Explanation
Transparency
Provides Financial Information
Audit Accessibility
Governance: Policies
Reports regularly & consistently monitoring & enforcing compliance with a written Conflict of Interest Policy
Reports required, annual disclosure by officers, directors, and key staff of interests that could give rise to conflicts
Reports having a written Whistleblower Policy
Reports having a written Document Retention and Destruction Policy
Governance: Financials
Reports providing copy of tax form to all board members prior to filing it with IRS
Reports that financial statements were audited by an independent accountant
Governance: Board of Directors
Reports at least 5 voting board members
51% or more of voting board members reported as independent
Reports documenting minutes of board and board committee meetings
Privacy Policy
Privacy Policy

  Name Title Compensation
1 Wayne R. LaPierre Past Executive VP $1,171,699
  Note: Wayne LaPierre announced his resignation as chief executive of the NRA, effective January 31, 2024.
2 Tyler Schropp Executive Director, Advancement $854,219
3 Doug Hamlin Executive Director, Publications $604,388
1
Name: Wayne R. LaPierre
Title: Past Executive VP
Compensation: $1,171,699
Note: Wayne LaPierre announced his resignation as chief executive of the NRA, effective January 31, 2024.
2
Name: Tyler Schropp
Title: Executive Director, Advancement
Compensation: $854,219
3
Name: Doug Hamlin
Title: Executive Director, Publications
Compensation: $604,388

CharityWatch Analysts perform an in-depth analysis of charities' audited financial statements and IRS tax filings, and often review other documents such as state filings, annual reports, and fundraising contracts during their evaluations. Below are select notes that CharityWatch believes may be of interest to donors.

CharityWatch has issued a "?" rating to the National Rifle Association (NRA) for its fiscal 2022 reporting year due to our concerns related to its governance practices which may impact the reliability of the NRA's financial reporting. CharityWatch has also issued a Governance Exception to the NRA due to the multiple incidents of excess benefit transactions (described in the fiscal 2020 and 2019 IRS Form 990, Schedule L disclosures, as cited separately, below), and due to the pending legal action against the organization by the New York State Attorney General.

Please read Related CharityWatch Articles for additional information.

CharityWatch issues a separate rating for the NRA's related 501(c)(3) public charity, the NRA Foundation

According to the National Rifle Association's 2022  IRS Form 990, Schedule L, Part IV, Business Transactions Involving Interested Persons, Marion P Hammer, Board Director, received $220,000 from the National Rifle Association in 2022. The NRA describes the transaction in the following way:

"Marion P Hammer provided consulting services in the form of advice, analysis and other duties reasonably assigned by the executive vice president of the NRA during 2022." 

According to the National Rifle Association's 2022  IRS Form 990, Schedule J, Part II, Column (B)(III) - Other Reportable Compensation:

"Other reportable compensation within taxable wages for Mr. [Wayne] LaPierre [Executive Vice President] included $24,473 group life insurance, $20,500 457(B) plan, and $12,565 taxable personal expenses." Mr. LaPierre's based compensation in 2022 is reported by the NRA as $1,006,974. His total compensation for that year is reported as $1,171,699. 

"Other reportable compensation within taxable wages for Mr. [Craig B.] Spray [Treasurer until 6/1/2021] included $467,500 severance." This is his only reported compensation for 2022. 

Additional information on NRA salaries paid in 2022 can be found here

As previously reported, the Excess Benefit Transactions reported in the NRA 2020 tax filing included:

"The National Rifle Association has identified what it believes are excess benefit transactions in which it engaged in 2019 and in prior calendar years of which it became aware but were not reported on its prior Forms 990. These transactions are explained below. There are other transactions in 2019 and prior calendar years that are still under review by the NRA and/or are currently subject to dispute in [certain] legal proceedings...

"The NRA cannot at the time this Form 990 is filed determine whether these other transactions [subject to the legal proceedings listed] are excess benefit transactions" (IRS Form 990, Schedule L, Part V re: Part I - 1).


The individuals, dollar amounts, and other information the NRA reports in connection with excess benefit transactions includes the following:

1)  Excess Benefit Transactions for "Personal Transportation" involving Wayne R. LaPierre (Officer): 

"It has been determined that in 2013 and 2014, there were six (6) trips on chartered jets that resulted in an excess benefit to Mr. LaPierre. Mr. LaPierre was, during those years, the Executive Vice President and Chief Executive Officer of the NRA... The NRA estimates that its expenses for these trips, which constitute automatic excess benefits to Mr. LaPierre because these amounts were not intended to be compensation, totaled $43,743.83, for which the NRA expects to receive reimbursement from Mr. LaPierre plus interest. The NRA estimates that the total...excise tax on these excess benefit transactions is $10,935.96" (IRS Form 990, Schedule L, Part V re: Part I - 2).

2)  Excess Benefit Transactions for "Personal Transportation" involving Wilson "Woody" Phillips (former Officer): 

"From 2014 through 2018, Mr. Philips was submitting and receiving reimbursements from the NRA for airfare from his home in Dallas, Texas to Washington, D.C. Mr. Phillips served as Treasurer and Chief Financial Officer of the NRA... If these trips constitute commuting (which the NRA is presently investigating), the NRA believes such reimbursement would constitute excess benefit transactions. The total amount reimbursed by the NRA to Mr. Phillips from 2014 through 2018 is estimated to be $74,751.31, which would generate...excise tax due from Mr. Phillips of $18,687.83. The NRA is currently unaware as to whether Mr. Phillips intends to repay the amount of any excess benefit transactions, plus interest(IRS Form 990, Schedule L, Part V re: Part I - 2).

3)  Excess Benefit Transactions for "Cosmetics" involving Susan LaPierre: 

"The NRA has learned that from 2016 through 2018, the NRA paid for expenses incurred for professional makeup and hair services in connection with the attendance of Mrs. Susan LaPierre at certain NRA functions. Mrs. LaPierre is a disqualified person... Professional makeup and hair services may not be deductible as a trade or business expense if paid by Mrs. LaPierre, and as such, may be excess benefit transactions. The NRA is investigating the circumstances, number of times and cost of professional makeup and hair services for Mrs. LaPierre. The NRA expects to receive reimbursement from Mrs. LaPierre, plus interest, if it is determined that there is an excess benefit" (IRS Form 990, Schedule L, Part V re: Part I - 3)

4)  Excess Benefit Transactions for "Gifts" involving Wayne LaPierre (Officer) and Susan LaPierre:

"The NRA has learned that from 2011 through 2017, Wayne and Susan LaPierre have been reimbursed by the NRA for gifts provided to NRA vendors, donors, and employees, and perhaps others, apparently related to furthering the charitable purpose of the NRA. Because many of the gifts made to non-NRA employees were in excess of the $25 per donee business gift deduction limitation, the NRA believes the excess amount likely constitutes automatic excess benefits to Mr. LaPierre because these amounts were not intended to be compensation. At this time the NRA cannot calculate the exact amount of any such excess benefit. The NRA expects to receive reimbursement from Mr. LaPierre, plus interest, for amounts exceeding $25 per gift, per donee(IRS Form 990, Schedule L, Part V re: Part I - 4).

5)  Excess Benefit Transactions for "Auto Leases" involving John Frazer (Officer), Wilson Phillips (former Officer), and Wayne LaPierre (Officer): 

"The NRA has learned that in 2019 and prior years, certain employees obtained an economic benefit indirectly from the NRA when they purchased vehicles that had previously been leased to the NRA from a third-party commercial leasing company at prices that were less than their fair market value. Some of the employees who purchased the previously leased vehicles were disqualified persons. At the termination of a vehicle lease, the NRA had the opportunity to sell the vehicles at auction, pay the leasing company the contracted termination value, and retain any excess proceeds. The NRA did not own the vehicles itself, and it did not sell the vehicles to the employees directly; therefore, the vehicle purchases were not direct excess benefit transactions. The NRA believes that following disqualified persons may have engaged in indirect excess benefit transactions when they availed themselves of (or allowed a relative) the opportunity to purchase previously leased vehicles from the leasing company at prices that were less than their respective fair market values:

  1.  John Frazer; year of transaction: 2018; excess benefit: $13,118; estimated excise tax: $3,279.50. 
  2.  Wilson Phillips; year of transaction: 2019; excess benefit: $10,208; estimated excise tax: $2,552. 
  3.  Wayne LaPierre; year of transaction: 2019; excess benefit: $3,653; estimated excise tax: $913.25. 

"Mr. Frazer has repaid this excess benefit to NRA, plus interest and therefore the excess benefit has been corrected. The NRA expects to receive reimbursement from Mr. LaPierre, plus interest. The NRA is currently unaware as to whether Mr. Phillips intends to repay the amount of any excess benefit transactions, plus interest" (IRS Form 990, Schedule L, Part V re: Part I - 5).

6)  Excess Benefit Transactions involving Joseph P. DeBergalis, Jr. [updated from 2019 reporting]:

"On Schedule L of its 2019 Form 990, the NRA reported that Mr. DeBergalis, a former NRA Director who has been an NRA employee and, later, Officer from January 25, 2107 to the present, may have used business class travel paid for by the NRA without authorization, which may have constituted excess benefit transactions. After further review of NRA records, it appears that Mr. DeBergalis had, in fact, received the appropriate approval in September 2018... Therefore, no excess benefit transactions occurred with respect to Mr. DeBergalis" (IRS Form 990, Schedule L, Part V re: Part I - 6).

7)  Excess Benefit Transactions involving First Class Travel and Entertainment:

"On its Form 990 for 2019, the NRA reported that it was reviewing NRA board members' use of first class or business class travel in 2019 or earlier years. Based on review of available records to date, the NRA believes that such travel was for legitimate business purposes and did not constitute excess benefit transactions. In 2021, the NRA adopted comprehensively revised travel policies and procedures to prevent unauthorized upgrades" (IRS Form 990, Schedule L, Part V re: Part I - 7).



As previously reported, the Excess Benefit Transactions reported in the NRA 2019 tax filing included:

1)  Joshua Powell, from 2016 through January 30, 2020 served the NRA as Executive Director of General Operations, Chief of Staff, and Senior Strategist: "...The aggregate excess benefit determined to be provided to Mr. Powell from 2016 through 2019 was $54,904.45. ... The NRA has rejected the check [tendered by Powell to the NRA for $40,760.20, in purported full settlement], so correction of the excess benefit has not yet been made. ... The amount of excise tax due...by Mr. Powell is determined to be $13,726.11. In addition, the New York State Office of the Attorney General has challenged, as unreasonable, compensation paid to Mr. Powell during the period from 2016 through 2019" (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 1b).

2)  Christopher Cox, from 2002 through June 26, 2019 served as Executive Director of the NRA's Institute for Legislative Action (ILA) and was also an officer of the NRA: "...To date, the aggregate excess benefit from 2015 to June 26, 2019, determined to be provided to Mr. Cox is in excess of $1 million, which the NRA is seeking to recover. This is being disputed by Mr. Cox... The NRA believes that the amount of excise tax due...by Mr. Cox would be approximately $328,001.50" (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 2).

3)  David Lehman, from 2002 through September 13, 2019 served as Deputy Executive Director: "...Upon information and belief, from 2015 to September 13, 2019, Mr. Lehman caused the NRA to pay for personal travel, club, and meal expenses in the aggregate amount of at least $87,595.83. The NRA has not yet completed its investigation of the extent to which Mr. Lehman may have received improper benefits, but if such expenses are substantiated, they were likely not approved nor intended to be compensated to Mr. Lehman by the NRA, and would thus likely constitute automatic excess benefits..." (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 3).

4)  Wayne LaPierre, Executive Vice President and Chief Executive Officer of the NRA: "...From 2015 through 2019, the NRA estimates that it paid on behalf of Mr. LaPierre, directly or indirectly, travel expenses...in the aggregate amount of $299,778.78. The NRA has determined to treat the payments as automatic excess benefits... Mr. LaPierre has repaid this excess benefit to National Rifle Association, plus interest, and therefore the excess benefit has been corrected. The amount of excise tax due...by Mr. LaPierre has been estimated to be $74,944.70. In addition, the New York State Office of the Attorney General has challenged, as unreasonable, compensation paid to Mr. LaPierre during his tenure" (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 4).

5)  Wilson Phillips, from 1993 through September 13, 2018 served as Treasurer and Chief Financial Officer of the NRA: "...The New York State Office of the Attorney General has alleged that compensation paid to Mr. Phillips during and after...his tenure was unreasonable" (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 5).

6)  John Frazer, from 2015 through the present served as Secretary and General Counsel of the NRA: "...The New York State Office of the Attorney General has alleged that compensation paid to Mr. Frazer has been unreasonable" (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 6).

7)  Oliver North, served as President of the NRA at times in 2018 and 2019; within the five prior years, he was also a voting member of its Board of Directors: "...Upon information and belief, during certain times in 2018 and 2019, Mr. North was employed by Ackerman McQueen, Inc. ('AM'), a third-party vendor of the National Rifle Association, to host a television show produced by AM. During the same period, AM invoiced the NRA for a variety of expenses which are now the subject of litigation, but are believed to have included salary, benefits, and related perquisites furnished by AM to North in connection with North's employment by AM. NRA paid all of these invoices to AM. Such payments may constitute an indirect benefit from National Rifle Association to Mr. North. ... The NRA has reason to believe that North failed to perform the services for which he had been contracted by AM, and for which he may have been indirectly compensated by the NRA. If that is true, then all or part of North's compensation by AM, paid indirectly by the NRA, would constitute an excess benefit..." (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 7).

8)  Joseph P. DeBergalis, Jr., from 2015 through early 2017 was an NRA Director; from January 25, 2017 to the present, has served as an NRA Executive and Officer, including as Executive Director of General Operations: "...The NRA is currently reviewing whether Mr. DeBergalis may have used business class travel without authorization required under the NRA's travel policy. At the time of filing, the NRA is unable to estimate the amount of excess costs incurred, if any. If such expenses are substantiated, they were likely not approved nor intended to be compensated to Mr. DeBergalis by the NRA, and would thus likely constitute automatic excess benefits..." (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 8).

9)  Board Member Travel: "The NRA is currently reviewing whether in 2019 and prior years, various board members may have used first class or business class travel without authorization required under the NRA's travel policy. At the time of filing, the NRA is unable to estimate the amount of excess costs incurred, if any. ... If such excess costs are substantiated, they would thus likely constitute excess benefits..." (IRS Form 990, Schedule L, Part V re: Part I, line 1 - 9).

According to the National Rifle Association's audit for fiscal year ended December 31, 2022: (Audit Note 17, BANKRUPTCY FILING):

"In January 2021, the NRA and a wholly owned subsidiary, Sea Girt LLC, filed for bankruptcy protection in the U.S. District Court for the Northern District of Texas. The case was dismissed without prejudice in May 2021 and the NRA is no longer under the supervision of the bankruptcy court. In anticipation of the litigation, the NRA deposited fees in a trust account with Brewer, Attorneys and Counselors; some of those funds were used to pay fees during the bankruptcy litigation, and the unspent balance was returned after the dismissal."

According to the National Rifle Association's audit for fiscal year ended December 31, 2022: (Audit Note 16, RELATED PARTIES):

"The NRA and the NRA Foundation are financially interrelated entities as the NRA is able to influence the Foundation's operating and financial decisions as well as the NRA having ongoing economic interest in the net assets of the Foundation. The NRA is affiliated with CRDF [NRA Civil Rights Defense Fund], SCF [NRA Special Contribution Fund], and the FAF [NRA Freedom Action Foundation] by virtue of the control vested with the NRA's Board of Directors to appoint the Board of Trustees of each affiliate. The PVF [NRA Political Victory Fund] is a separately unincorporated political action committee of the NRA whose five officers are NRA employees. The VF [NRA Victory Fund] is a separately incorporated super political action committee of the NRA whose three officers are NRA employees. The NRA provides certain benefits to the affiliates at no cost, among which are the use of office space and other administrative and support services. Management has determined that the fair value of these benefits is minimal, and accordingly, no amounts are reflected in these financial statements."

"The Foundation reimburses the NRA for certain expenses, such as salaries, benefits, and general operating expenses, paid by the NRA on the Foundation's behalf. These expenses totaled $9,694,495 and $8,621,074 for the years ended December 31, 2022 and 2021, respectively. As of December 31, 2022 and 2021, $29,877,390 and $36,411,266 respectively, was owed to the NRA and included in due from affiliates for reimbursements and the NRA's beneficial interest in the net assets of the Foundation. The net (loss) gain on the NRA's beneficial interest in the net assets of the Foundation totaled ($5,929,313) and $3,391,869 for the years ended December 31, 2022 and 2021, respectively. In addition, certain qualified NRA programs were funded by Foundation grants totaling $6,367,910 and $4,883,739 for the years ended December 31, 2022 and 2021, respectively."

"The CRDF reimburses the NRA for general operating expenses paid by the NRA on the CRDF's behalf. These expenses totaled $16,723 and $3,306 for years ended December 31, 2022 and 2021, respectively. As of December 31, 2022 and 2021, $4,089 and $371, respectively, was owed to the NRA for general operating expenses and included in due from affiliates. The CRDF reimburses the NRA for qualified legal costs totaling $176,628 and $407,072 for the years ended December 31, 2022 and 2021, respectively. The CRDF owes NRA $176,628 and $49,785 for promised grant funding for the years ended December 31, 2022 and 2021, respectively."

"All permanent employees of the SCF are maintained as employees of the NRA and the SCF reimburses the NRA for the total employee costs including benefits. The SCF reimburses the NRA for certain other expenses paid by the NRA on the SCF's behalf. These expenses totaled $1,851,421 and $1,585,483 for the years ended December 31, 2022 and 2021, respectively. As of December 31, 2022 and 2021, $175,301 and $184,322, respectively, was owed to the NRA for salaries, insurance and benefits net of certain other expenses owed by the NRA to the SCF and included in due from affiliates..."

"The FAF reimburses the NRA for qualified legal costs totaling $465,000 and $218,097 for the years ended December 31, 2022 and 2021, respectively. The FAF owes NRA $465,000 and $100,000 for promised grant funding as of December 31, 2022 and 2021, respectively."

"The NRA paid administrative and fundraising expenses of $2,743,324 and $2,729,360 for the years ended December 31, 2022 and 2021, respectively, on behalf of the PVF. The PVG reimburses the NRA for salary expenses that totaled $177,173 and $88,586 for the years ended December 31, 2022 and 2021, respectively."

"The NRA paid administrative and fundraising expenses of $97,386 and $128,062 for the years ended December 31, 2022 and 2021, respectively, on behalf of the VF. In addition, the NRA made grants of $0 and $5,000,000 to the VF for the years ended December 31, 2022 and 2021, respectively. The VF owes NRA $0 and $17,000 for audit fees for the years ended December 31, 2022 and 2021, respectively."

"While members of the NRA Board of Directors serve as uncompensated volunteers, some directors receive compensation from the NRA, either directly or through business organizations, for other professional services provided to the NRA. Other directors receive membership recruitment commissions (personally or through other entities) on the same terms as available to any other recruiter and in amounts that are not material for the purposes of these statements."

"To ensure that individuals are adequately represented in connection with investigations or litigation arising from their service to the NRA, the NRA from time to time advances or reimburses legal expenses to certain officers, directors, or employees."

According to the National Rifle Association's audit for fiscal year ended December 31, 2022: (Audit Note 15, Commitments and Contingencies - Litigation and claims):

"Litigation and claims"

"The NRA and some of its affiliates are involved in several lawsuits. These lawsuits include, but are not limited to, People of the State of New York, by Letitia James, Attorney General of the State of New York v. NRA et al., No. 451625/2020 (N.Y. Supreme Court, New York County, Commercial Division), District of Columbia v. NRA Foundation, Inc. et al., No. 2020 CA 003454 B (D.C. Super. Ct.), and Dell'Aquila et al. v. NRA et al., No. 3:19-cv-00679 (M.D. Tenn.). The NRA is vigorously defending against these lawsuits. The outcomes of legal proceedings and regulatory matters are often difficult to predict. A determination that the NTA's or Affiliates' operations or activities are not, or were not, in compliance with applicable laws or regulations could result in monetary damages or injunctive relief. When making determinations about recording liabilities or disclosures related to legal proceedings, the NRA complies with the requirements of ASC 450, Contingencies, and related guidance, and therefore, the NRA discloses significant legal proceedings even where liability is not probable or the amount of the liability is not estimable, or both."

"The three aforementioned lawsuits are summarized below:"

"People of the State of New York, by Letitia James, Attorney General of the State of New York v. NRA et al., No. 451621/2020 (N.Y. Supreme Court, New York County, Commercial Division)"

"On August 6, 2020, the Attorney General of the State of New York instituted an action against the NRA and four individuals, which consisted of eighteen causes of action, including six causes of action against the NRA. In March 2022, the Court dismissed three of the NYAG's six causes of action against the NRA, including the two claims in which the NYAG sought the NRA's judicial dissolution. On May 2, 2022, the NYAG asserted a new claim against the NRA pursuant to which she seeks the appointment of independent compliance monitor and other injunctive relief she asserts is necessary to ensure proper administration of assets the NRA holds and administers for charitable purposes."

"The claims against the NRA are for alleged (i) failure to properly administer assets held and administered for charitable purposes; (ii) improper related party transactions; (iii) violations of whistleblower statutes and policy; and (iv) false regulatory filings."

"The NRA's co-defendants are the NRA's Executive Vice President and CEO Wayne LaPierre, the NRA's Secretary and General Counsel John C. Frazer, the NRA's former Treasurer and CFO Wilson Philips, and the NRA's former Chief of Staff, Executive Director of General Operations, and Senior Strategist Joshua Powell. The NYAG claims that these individuals have, among other things, violated their duties, including under N.Y. N-PCL 717, to the NRA."

"The NYAG seeks, among other things, (i) appointment of an independent compliance monitor and an independent governance expert; (ii) an injunction against solicitation; and (ii) an order enjoining individual defendants from serving as officers, directors, or trustees of any not-for-profit or charitable organization incorporated or authorized to conduct business or solicit charitable donations in the State of New York."

"The NYAG filed a Note of Issue on December 20, 2022. The NYAG represented that, with the exception of certain discovery, the case is ready for trial.The NYAG requested a trial by jury ln certain issues. The NRA demanded a trial by jury on all factual issues related to any claim or defense. No trial date has been set."

"At this stage, it is not possible to evaluate the likelihood of any particular outcome or estimate the amount or range of any potential recovery or loss with any reasonable degree of certainty."

"District of Columbia v. NRA; and NRA Foundation, Inc., No. 2020 CA 003454 B (D.C. Super. Ct.)"

"On August 6, 2020, the District of Columbia Attorney General (the "DCAG") filed an action against the NRA and the NRA Foundation alleging that the NRA improperly diverted funds from the NRA Foundation and that the NRA Foundation failed to act independently from the NRA. The DCAG also alleged that the NRA Foundation failed to implement appropriate controls and protocols in relation to the funds." 

"At the outset, the DCAG asserted two fault causes of action against the NRA for a "constructive trust"—a device that exists only as a remedy, but not a cause of action. As a result, the two original causes of action against the NRA were dismissed on that basis in December 2020."

"On July 16, 2021, however, the DCAG amended his complaint to name the NRA as a defendant in the claims previously asserted against the NRA Foundation. The two statutory claims are for alleged: (i) exceeding or abusing the authority conferred by law in violation of the District's Nonprofit Corporation Act, D.C. Code§ 29-412.20(a)(1)(B); and (ii) continuing to act contrary to nonprofit purposes in violation of the District's Nonprofit Corporation Act, D.C. Code § 29-412.20(a)(1)(C). The complaint also asserts a common law claim for alleged violation of nonprofit purposes."

"The DCAG continues to seek a constructive trust over funds in the NRA's possession that the DCAG alleges belong to the NRA Foundation. The relief the DCAG seeks against the NRA Foundation includes: (i) modifying the NRA Foundation's governance policies to ensure independence from the NRA; (ii) appointing a court-supervised independent receiver to oversee the modification of the NRA Foundation's governance policies and monitor all the NRA Foundation's financial decisions and transactions; and (iii) requiring the NRA Foundation's Board of Trustees and officers to undergo charitable nonprofit corporate governance training."

"Fact discovery was completed in May 2022. Expert discovery was completed in October 2022. Discovery was reopened for a limited purpose (pertaining to the NRA Foundation's records related to grants to the NRA) until April 30, 2023. A mediation, which is mandatory under the applicable rules, is scheduled for September 13, 2023. A two-week bench trial is scheduled for January 16, 2024. At this stage, it is not possible to evaluate the likelihood of any particular outcome or estimate the amount or range of any potential loss with any reasonable degree of certainty."

"Dell'Aquila et al. v. NRA et al., No. 3:19-cv-00679 (M.D. Tenn.)"

"On August 6, 2019, NRA donor David Dell'Aquila filed a putative class action against the NRA on behalf of all United States donors to the NRA. The complaint alleged fraud and violations of the Racketeer Influenced and Corrupt Organizations Act, 18 U.S.C. 1961 et seq., ("RICO") based on alleged misuse of NRA funds. After two amendments of the original complaint, as well as the addition of three named plaintiffs, on February 19, 2020, the NRA moved to dismiss the lawsuit in its entirety pursuant to Rule 12(b)(1) of the Federal Rules of Civil Procedure for lack of jurisdiction, Rule 12(b)(6) for failure to state a claim upon which relief can be granted, and Rule 9(b) for failure to comply with the heightened pleading requirement applicable to fraud claims. On September 30, 2020, the court granted in part and denied in part the NRA's motion. Specifically, the court sustained the fraud claim but dismissed the RICO claim. At the same time, the court also dismissed all claims asserted by the putative plaintiffs against the NRA's Executive Vice President and CEO Wayne LaPierre and the NRA Foundation. "

"The parties are currently engaged in discovery. The deadline for Plaintiffs' class certification is March 27, 2023. At this stage, it is not possible to evaluate the likelihood of any particular outcome or estimate the amount of range of any potential recovery or loss with any reasonable degree of certainty."

"During 2021 and 2022, the NRA was involved in ongoing litigation with its former advertising agency, Ackerman McQueen, Inc. The matter was settled in March 2022 and is included in legal settlement costs on the statement of activities."

NOTE: Legal Settlement Costs are reported in the Statement of Activities as amounting to $12,370,166.


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Judge dismisses NRA's bankruptcy petition, allowing New York AG lawsuit to move forward
Board member says NRA in 'survival mode,' trying to avoid 'criminal prosecution'
NRA chief Wayne LaPierre acknowledges he did not disclose bankruptcy plans or luxury yacht trips to other top officials
NRA faces internal woes as it girds for new gun control fight
The NRA declares bankruptcy: 5 questions answered
Judge rejects NRA bid to end or move New York lawsuit seeking its closure
The N.R.A. Wants to 'Dump' Its Regulators via Bankruptcy. Will It Succeed?
Judge refuses to dismiss New York AG's lawsuit against NRA
NRA Trying To Change Venue With Bankruptcy Filing
National Rifle Association, at center of heated national gun debate, files for Chapter 11 bankruptcy protection
N.R.A. Declares Bankruptcy and Seeks to Exit New York
NRA reports alleged misspending by current and former executives to IRS
NRA Membership Revenue Fell 34% in 2019, Tumbling to a 7-Year Low
NY Attorney General Files Lawsuit to Dissolve NRA
New York attorney general seeks to dissolve NRA
Exclusive: NRA has shed 200 staffers this year as group faces financial crisis
Secret Recording Reveals NRA's Legal Troubles Have Cost The Organization $100 Million
NRA has laid off more than 60 employees
New York Deepens Its Investigation Into the N.R.A.
A new Senate report is the latest threat to NRA's tax-exempt status -- and maybe its survival
NRA board members call for independent investigation into financial misconduct
New York Expands N.R.A. Inquiry to Group's Board Members
District of Columbia Opens New Investigative Front Into N.R.A.
DC attorney general subpoenas NRA financial records in nonprofit investigation
N.R.A. Shuts Down Production of NRATV
NRA sues ex-president Oliver North, saying he harmed the NRA
As Leaks Show Lavish NRA Spending, Former Staff Detail Poor Conditions At Nonprofit
Oliver North out as NRA president after leadership dispute
New York investigating National Rifle Association's finances
Secrecy, Self-Dealing, and Greed at the N.R.A
NRA Distances Itself From Curious Russia Trip
The NRA Just Reported Losing $55 Million in Income
Member dues plummet, leaving the NRA in the red for second straight year
The NRA Doubles Down on Its Financial Claims Amid Skepticism
The NRA Says It's in Deep Financial Trouble, May Be 'Unable to Exist'
NRA finances still shaky despite post-Parkland surge
NRA Says It Receives Foreign Funds, But None Goes To Election Work
Is the NRA an educational organization? A lobby group? A nonprofit? A media outlet? Yes
NRA chief executive received nearly $4 million retirement payout in 2015