The NRA (National Rifle Association) claims it is going broke in two court filings obtained Friday by Rolling Stone, although how destitute the gun-rights organization really is remains unclear.
The court filings allege that attacks against the organization, on both the banking front and the insurance front, led by New York Governor Andrew Cuomo, are at once illegal and are bankrupting the organization.
The trouble for the organization began, at least as regards New York, when the group began selling an insurance policy that was later deemed illegal. As the New York Post reports, the policy, called “Carry Guard,” was intended to protect policyholders from legal costs they incurred if they fired a legal gun. The State of New York found that the issuing of such policies is illegal, and ordered the insurance company, Lockton Cos, to stop selling the policies, cut its ties with the NRA, and pay a $7 million fine.
Now, the NRA finds itself without any liability insurance — a situation that is untenable, long-term, for the organization.
“[Without liability insurance, the] NRA cannot maintain its physical premises, convene off-site meetings and events, operate educational programs … or hold rallies, conventions and assemblies.”
The lack of insurance is also threatening the continued existence of the group’s media arm, NRA-TV, the group claims.
“The NRA’s inability to obtain insurance in connection with media liability raises risks that are especially acute; if insurers remain afraid to transact with the NRA, there is a substantial risk that NRATV will be forced to cease operating.”
“NRA claims it has lost income and access to banking services… says it has not been able to renew its media liability insurance. If the group cannot secure a policy soon, it could be forced to shutter its multimillion-dollar television network, NRATV” https://t.co/noqrLARXIJ
— William LeGate (@williamlegate) August 2, 2018
Beyond its insurance-related problems, the organization is also facing attacks, it claims, by both Cuomo and the survivors of the Parkland School Shooting. Both the governor and the Parkland survivors have urged all businesses, including banks, to cut ties with the organization. In response, “multiple banks,” according to Rolling Stone, have refused to do business with the group.
“[These actions are a] malicious conspiracy to stifle the NRA’s speech and induce a boycott of the NRA.”
So is the NRA really broke and about to go out of business for good? Probably not, says The Independent.
The British newspaper says that while the NRA’s media entities may indeed by facing obsolescence, the organization as a whole is financially sound. In fact, the organization continues to receive a steady stream of donations from its supporters, and indeed saw a spike in donations following the Parkland shooting. In fact, in 2018 the organization set fundraising records.