NRA, LaPierre found liable in suit
NEW YORK — The National Rifle Association and its former longtime leader were found liable Friday in a lawsuit centered on the organization’s lavish spending.
The New York jury found that Wayne LaPierre, who was the NRA’s CEO for three decades, misspent millions of dollars of the group’s money on pricey perks, and it ordered him to repay the group $4,351,231. Jurors also found that the NRA omitted or misrepresented information in its tax filings and violated New York law by failing to adopt a whistleblower policy.
LaPierre, 74, sat stone-faced in the front row of the courtroom as the verdict was read aloud. The jury actually found him liable for $5.4 million, but it determined he’d already paid back a little over a million.
The verdict is a win for New York Attorney General Letitia James, a Democrat who campaigned on investigating the NRA’s not-for-profit status. It is the latest blow to the powerful group, which in recent years has been beset by financial troubles and dwindling membership. LaPierre, its longtime face, announced his resignation on the eve of the trial.
NRA general counsel John Frazer and retired finance chief Wilson Phillips were also defendants in the case. Phillips was ordered to pay $2 million in damages to the NRA. Frazer, meanwhile, was found to have violated his duties, but was not ordered to pay any money.
The penalties paid by LaPierre and Phillips will go back to the NRA, which was portrayed in the case both as a defendant that lacked internal controls to prevent misspending and as a victim of that same misconduct.
James also wants the three men to be banned from serving in leadership positions at any charitable organizations that conduct business in New York. A judge will decide that question during the next phase of the state Supreme Court trial.
Another former NRA executive turned whistleblower, Joshua Powell, settled with the state last month, agreeing to testify at the trial, pay the NRA $100,000 and forgo further involvement with nonprofits.
James sued the NRA and its executives in 2020 under her authority to investigate not-for-profits registered in the state.
She originally sought to have the entire organization dissolved, but Manhattan Judge Joel M. Cohen ruled in 2022 that the allegations did not warrant a “corporate death penalty.”