Analysis: Why Did the NRA Distance Itself From Wayne LaPierre in Court This Week? [Member Exclusive]
Lawyers for the NRA broached a new argument in its dissolution case this week. “Nowhere does the Amended Complaint allege that the purported looting and self-dealing allegedly engaged in by the individual defendants furthered the NRA’s business,” the NRA said in a filing. “Nowhere does the NYAG explain how the alleged false financial filings, which were not alleged to have been reviewed or approved by the Board, advanced the NRA’s business by omitting portions of director income.” That’s the first time there has been space between CEO Wayne LaPierre, who is one of the individual defendants in the case, and the NRA as an organization. The NRA’s lawyers essentially argue that the allegations that LaPierre and other executives used NRA money to fund luxurious trips and shopping sprees for themselves or their family members don’t directly implicate the organization. So, even if the court finds the executives broke the law, it shouldn’t hold the NRA responsible. In fact, the group goes further than that. The NRA’s filing argues that, if the allegations are true, the NRA itself is the actual victim in the case. “Even if the allegations against current and former executives are taken as true (as they must be, for purposes of this Motion), the NRA and its Board would be the victims of the alleged wrongdoing—not perpetrators,” the group said in the filing. “Thus, no provision of New York law justifies punishing the NRA or its members.” The NRA also argues New York Attorney General Letitia James (D.) undercut her claim it is to blame for the corruption its current and former executives are alleged to have committed. It said James accused former NRA Treasurer Woody Phillips and the other executives of hiding inappropriate spending and contract negotiations from the NRA Board, which indicates the organization couldn’t have approved of or benefited from the alleged misconduct. “The misconduct of one defendant cannot be imputed to another defendant merely because of an existing business relationship,” it said in the filing. “Nor are allegations of misconduct against a member of an entity sufficient to state a claim against that entity. Nor can the NYAG get around this hurdle with vague, unsubstantiated allegations of ‘control’ of the Board by defendant LaPierre. Indeed, these allegations are contradicted by repeated statements in the Amended Complaint that the individual defendants took steps to conceal their misconduct from the Board and Audit Committee; testimony from Audit Committee officials that clearly underscores the repeated actions taken to remedy Phillips’ time as treasurer.” That is a pretty remarkable argument to come from the lawyers for a group that LaPierre still runs. That’s especially true when you consider those lawyers are from Brewer Attorneys and Counselors. The firm’s head, William Brewer, has been the key legal advisor to LaPierre for the last several years. He’s the one who has been primarily responsible for guiding the NRA’s legal strategy, including LaPierre’s decision to unilaterally take the group into bankruptcy in a failed attempt to sidestep the New York