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NRA Foundation Accused Of Misuse Of Funds

August 6, 2020 by 6 Comments

On the same day that New York Attorney General Letitia James filed suit to dissolve the NRA, DC Attorney General Karl Racine filed suit against the NRA Foundation and the NRA accusing them of the misuse of funds. The suit is filed in Superior Court, Civil Division, for the District of Columbia.

According to the complaint, Racine is alleging that the Foundation allowed its funds to be used to support wasteful spending at the NRA itself. Further, he alleges that the Foundation put the NRA’s interests ahead of its own, did not operate independently of the NRA, and allowed itself to be exploited through multi-million dollar loans to the NRA which have never been repaid.

From Attorney General Racine’s press release:

“Charitable organizations function as public trusts—and District law requires them to use their funds to benefit the public, not to support political campaigns, lobbying, or private interests,” said AG Racine. “With this lawsuit, we aim to recover donated funds that the NRA Foundation wasted. District nonprofits should be on notice that the Office of the Attorney General will file suit if we find evidence of illegal behavior.” 

The suit makes the following claims.

  • The Foundation allowed charitable donations to be used for non-charitable purposes
  • The Board failed to uphold their fiduciary duty
  • Abandoning it charitable purpose through loans to the NRA
  • Placing the interests of the NRA above that of the Foundation

The suit asks that a constructive trust, for the benefit of the Foundation, be placed over the Foundation’s assets loaned to the NRA so as to protect them. It goes on to ask that the Foundation’s governance policies be modified to insure its independence from the NRA, that a court-ordered monitor be appointed to oversee and monitor all of the Foundation’s finances and transactions, and that the Board of Trustees and Officers be required to take nonprofit charitable governance training.

While no acknowledgement is made of it, I would be highly surprised if officials in both the New York and District of Columbia’s Attorneys General offices didn’t cooperate and share information back and forth from their respective investigations.

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James Seeks NRA Dissolution

August 6, 2020 by 3 Comments

While there was some speculation earlier today that NY Attorney General Letitia James’ “national announcement” would have to do with President Trump. That was wrong. The original speculation was that it had to do with the NRA was correct.

James has moved to dissolve the NRA in NY Supreme Court for New York County. She has an 18 point, 169 page complaint which includes claims that Wayne LaPierre, Josh Powell, Woody Phillips, and John Frazer have violated their fiduciary duty.

James in her press conference said that she will be forwarding information to the Internal Revenue Service regarding the NRA’s non-profit status. As to freezing assets of both the named individuals and the organization as a whole that is included in the complaint. When asked if she will be seeking criminal charges, James said the investigation is ongoing and any criminal charges will be referred to Manhattan DA Cy Vance Jr. if necessary. James also denied that bringing this dissolution action has anything to do with her personal views on “gun violence” and is only seeking to enforce New York charity law.

James, in her press release, says the resolution she seeks is:

As a result of all the allegations mentioned above, Attorney General James seeks to dissolve the NRA; asks the court to order LaPierre, Phillips, Powell, and Frazer to make full restitution for funds they unlawfully profited and salaries earned while employees; pay penalties; recover illegal and unauthorized payments to the four individuals; remove LaPierre and Frazer from the NRA’s leadership (Phillips and Powell are no longer employed by the NRA); and ensure none of the four individual defendants can ever again serve on the board of a charity in New York.

You can watch the full announcement below. I will be scanning through the court filing in an effort to provide a digest later today.

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NYAG’s Major National Announcement – NRA?

August 6, 2020 by

Rumors started flying late last night after New York Attorney General Letitia James’ press office sent out a notice of a press conference to be held today. As the Tweet below from Stephen Gutowski speculates it might have something to do with her investigation into the National Rifle Association and its finances. I have seen other Tweets from journalists that tend to agree.

It might have nothing to do with the NRA or everything to do with the NRA. The announcement could be something about President Trump. Heck, it could even be an announcement that she will be Joe Biden’s VP pick given she fits the narrative.

There is a Livestream of the press conference at 11:30am EDT this morning and I plan to watch.

The link is here.

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GRNC Lawsuit Against Sheriff Baker Makes The News

August 5, 2020 by

The lawsuit GRNC has brought against Wake County Sheriff Gerald Baker has caught the attention of local news stations. CBS 17 News of Raleigh did a report yesterday on Moore v. Baker and interviewed Marc Erickson of GRNC. The lawsuit is over Sheriff Baker dragging his feet in the processing of pistol purchase permits. It is taking over 2 months to process them when state law only allows 14 days. Sheriff Baker is still using the tired excuse of “it’s the pandemic”.

As Marc made clear, a right delayed is a right denied. The pistol purchase permit is superfluous given the NICS System but North Carolina sheriffs claim they know people in their county better. That might be true in eastern NC’s Tyrrell County – population 4,016. It certainly is not true in Wake County population 1,111,761. Wake, by the way, has now officially surpassed Mecklenburg as the largest county by population in North Carolina.

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GRNC Sues Wake County Sheriff Baker…Again

August 4, 2020 by

Grass Roots North Carolina is suing Wake County (NC) Sheriff Gerald Baker again for unlawful delays in issuing pistol purchase permits as well as concealed handgun permits. The suit is filed in Wake County Superior Court. GRNC is the institutional plaintiff while Wanda Kaye Moore is the lead plaintiff. The lawsuit seeks an emergency temporary restraining order preventing Sheriff Baker from causing any more delays.

The Wake County Sheriff’s Department is forcing applicants for a pistol purchase permit to make an appointment to submit their mental health release. They refuse to take it by mail or online even though state law mandates application for these permits be online.

More on this in the release from GRNC:

[Raleigh] In recent weeks, GRNC’s office has been flooded with complaints from people who want to buy handguns for protection against riots spreading across the country but are unable to do so because Sheriff Gerald Baker refuses to process pistol purchase permits within the 14 days required by law, effectively denying citizens their right to keep and bear arms.

Said Grass Roots North Carolina president Paul Valone: 

“In what is now the third lawsuit filed against Wake County Sheriff Gerald Baker over his refusal to follow state law regarding issuing handgun permits, Grass Roots North Carolina intends to ensure citizens’ rights are respected. Sheriff Baker seems to think he is above the law. Grass Roots North Carolina intends to prove otherwise. Since Baker doesn’t seem to be getting the message, we will deliver it loud and clear. We are also holding Wake County responsible for its refusal to stop Baker’s continued malfeasance.”

Link to suit: https://www.grnc.org/baker_complaint 

In response to GRNC’s notice of non-compliance, sent to Baker’s counsel on July 15, attorney Nick Ellis claimed that Baker is doing an “excellent” job of processing pistol purchase permit applications, despite the fact that:

  • Baker is clearly violating G.S. §14-404(f): The statute requires sheriffs to issue or deny NC pistol purchase permits in 14 days, further stipulating that applications may only be denied or statutorily permissible reasons. In truth, applications, if they are being processed at all, are taking nearly two months. 
  • Baker is trying to circumvent state law by arguing that the requisite 14 day issuing period doesn’t start until his office decides to allow a citizen to come in to his office to finish the application begun online, effectively claiming the power to deny citizens’ rights indefinitely.
  • North Carolinians are being denied their rights: It is unlawful for citizens to buy handguns without either a pistol purchase permit or concealed handgun permit from their county of residence, meaning that Baker’s actions are denying citizens’ rights not only to keep and bear arms, but to protect their families at a time of national crisis when personal safety is very much in question.
  • Reports indicate the Wake County Sheriff is non-responsive: Email queries on permit applications are reportedly being ignored as phone calls to the department go unanswered. Reports also suggest that Baker has limited the number of hours during which Wake County sheriff’s employees may process applications, as department representatives have become hostile to frustrated applicants.
  • Baker may be thumbing his nose at the law: Despite a consent decree requiring him to issue handgun permits, Baker appears to be dragging his feet in order to issue the minimum possible number of permits, clearly defying the decree.
  • Wake County may be liable: Under the Supreme Court decision in Monell v. Department of Soc. Svcs., Wake County may also be liable for its refusal to stop Baker’s malfeasance. 

+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

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Speaking Of Jim Crow Relics

August 2, 2020 by

The weekly compilation from the Brady Campaign had an attack on the filibuster. Quoting former President Obama, it was called a “Jim Crow relic”.

This week, President Obama called for the elimination of the filibuster: an arcane rule in the Senate that requires a supermajority of 60 votes, instead of 51, to pass nearly any bill. Our movement knows all too well the dangers of this rule. It’s what stopped Congress from passing lifesaving gun reform legislation following the Sandy Hook massacre.

They were 54 votes in favor and 46 against — clearly a simple majority! But the 60-vote rule stopped Congress from acting  even after 26 students and educators were shot and killed. 

Enough is enough. Why do we need a 60-vote threshold to pass a bill that will save American lives? Fifty-one is the majority, and 51 is fair.

We’re not asking for a lot. We’re simply calling for a simple majority vote — fair and square — to pass lifesaving, evidence-based policy solutions to end gun violence. There’s no excuse for senseless gun violence, especially when legislative solutions have been sitting before Mitch McConnell and the U.S. Senate for over 500 days!

We need to let every Senator know that #51IsFair and gun violence is a national emergency.

Actually, the filibuster and its use in the US Senate predates both the origin of Jim Crow laws and the Civil War. According to a history of it as published by the Senate, unlimited debate was allowed in both the House and Senate. The growth in the number of representatives saw it discontinued in the House but unlimited debate continued in the Senate. Its use to block bills came to the forefront in the 1840s when unlimited debate was used to block a banking bill. The concept of cloture or the ending of unlimited debate by a vote only came into existence in 1917 at the urging of President Woodrow Wilson.

The history of Jim Crow laws and black codes began in 1865 with the adoption of the 13th Amendment which ended slavery and involuntary servitude in the United States once and for all. The black codes were laws enacted at the state and local level which restricted former slaves as to where, when, and how they could work and also restricted their compensation. It served to put many blacks into indentured servitude.

Jim Crow laws were a follow-on that served to enforce segregation, to ban inter-racial marriage, to keep blacks disenfranchised, and, for the purposes of my discussion here, disarmed.

Historians like Clayton Cramer and legal scholars like Dave Kopel and Robert Cottrol among others have shown how many gun control laws were aimed at keeping blacks unarmed and vulnerable.

Let’s talk about two of those Jim Crow relics that I’ve written about in the past. The first from Florida and the second from my home state of North Carolina.

After armed black men using their Winchester repeating rifles prevented a lynching in Jacksonville, Florida, the Florida legislature enacted a law that required a permit for Floridians to carry a handgun or a “Winchester rifle or other repeating rifle.” It was the first law nationwide that treated repeating rifles differently than any other firearm. It was the antecedent to modern day “assault weapons” (sic) bans in states like California and New York (among others).

One need only look to the official proclamations of the Democratic Party and their standard bearer Joe Biden to see that support for such Jim Crow relics as a ban on repeating rifles lives on. In their ideological blindness, neither the Democrats nor the Brady Campaign suffer any cognitive dissonance in pushing Jim Crow originated gun control while attacking the filibuster as a “Jim Crow relic”.

I have written often on this blog about North Carolina’s pistol purchase permit and its role in perpetuating white supremacy in the early 20th century. It was enacted in 1919 soon after a race riot in Winston-Salem. There was a great fear of black veterans returning from World War One. The co-primary sponsor of the bill was Sen. Earle A. Humphreys (D-Goldsboro). Humphrey just happened to be the brother-in-law of US Sen. Furnifold Simmons who was the architect of the Democrat’s white supremacy campaign. The goal was to make it difficult if not impossible for blacks as well as Populists and union organizers to be armed outside the home.

Every time in the last decade a repeal of the pistol purchase permit system in North Carolina is tried, it ultimately fails. Part of that failure is due to recalcitrant sheriffs who don’t want to give up the power or money and the obsequious nature of Republicans towards law enforcement. The other part is due to the unified nature of Democrats and the gun control lobby in opposition. That includes the Brady Campaign. Current Brady Campaign President Kris Brown characterized the repeal effort as rolling back “our decades of a lifesaving policy requiring a background check and a “permit to purchase” for every handgun sale.”

She was wrong. It was an effort to rid the state of the then-98 years of institutionalized racism in the form of a Jim Crow law to keep blacks unarmed and subservient.

It is the height of hypocrisy on the part of the Brady Campaign to rail against the filibuster as a “Jim Crow relic” because it stood in their way of enacting a gun control law. A law that had its very antecedent in a Jim Crow law meant to make it “safer” for racists to lynch innocent blacks.

To be honest, when have politicians or the gun control industry let a little thing like hypocrisy ever get in the way of their pursuit of power.

The answer is never.

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What Does This Mean For The 2021 SHOT Show? (Updated)

July 30, 2020 by 2 Comments

There was word this week that two major expositions had been canceled due to the COVID-19 pandemic.

First, there was the National Association of Sporting Good Wholesalers (NASGW) Expo that was scheduled for October in Grapevine, Texas. This is an annual gathering of wholesalers, manufacturers, media, and sales reps in the hunting, fishing, and firearms industries where new products are brought out and displayed. What the SHOT Show is for dealers, the NASGW Expo is for the wholesale industry.

Laurie Aronson, chairwoman of NASGW and CEO of Lipsey’s, had this to say about the cancellation:

As the COVID-19 pandemic has continued to impact every aspect of our lives, we have all been forced to make difficult decisions. On Monday, the NASGW Board of Directors voted unanimously to cancel this year’s Expo. This was a decision that none of us wanted to make, but it was the right decision. With mounting cases in the state of Texas and increased travel restrictions in numerous states, particularly in the northeast, we could not leave things to chance in hopes that cases would subside or that states would ease restrictions. We’re not blaming Texas. The biggest reason this decision had to be made was for the health and safety of our members, our colleagues, our employees, and the entire shooting sports industry.

They are working out the logistics on how to present the new products and awards virtually.

The other big show announcing its cancellation was the Consumer Electronics Show or CES. That show was to take place the week before the SHOT Show in Las Vegas. They have said they plan to offer the show “all digitally”. CES is the largest show and convention to take place in Las Vegas with upwards of 180,000 attendees.

With the growing global health concerns about the spread of COVID-19, it is not possible to safely convene tens of thousands of people in Las Vegas in early January 2021 to meet and do business in person.

An all-digital CES 2021 will allow the entire tech community to safely share ideas and introduce the products that will shape our future. You’ll be able to participate in all the awe-inspiring moments of CES wherever you are in the world. We are designing a unique experience for the tech industry.

Given that the 2021 SHOT Show is scheduled for January 19th through 22nd, one has to wonder what will happen with it. This is to be an expanded show with the new Caesars Forum opening additional exposition space. It is connected to the Sands Expo Center by a skybridge.

The National Shooting Sports Foundation is still saying it is a go but they do have this posted on the SHOT Show website. They have also adopted a set of social distancing and safety guidelines.

The NSSF looks forward to hosting the 2021 SHOT Show in Las Vegas this coming January at both the Sands Expo Center and Caesars Forum, and we plan to proceed as scheduled. We are actively monitoring the coronavirus (COVID-19) outbreak, as the health, safety and well-being of our industry and the local community is a priority for us. We will continue to monitor the situation and share show updates in a timely manner. 

Jim Shepherd in The Outdoor Wire this morning said what he is hearing is that it will go on. Nonetheless, companies are coming up on cancellation dates and will need to decide on their participation regardless on NSSF’s ultimate decision.

I had planned to go and I even have a voucher that would probably cover my airfare. That said, despite the expansion, how much new stuff will firearms manufacturers release given they are selling everything as quickly as they can make it? And do I really want to be in a crowd of people anymore?

Decisions, decisions. For me and for the NSSF.

UPDATE: I have updated this post with a comment on Twitter from Chris Dolnack. He is the Senior VP of NSSF who is in charge of organizing and running the SHOT Show.

Chris also posted a comment on the SHOT Show Insider page regarding the cancellation of CES and what they means for SHOT.

SHOT Show All Systems Go; Silver Lining in CES Cancellation

CES, the nation’s largest trade show, announced this week that it is canceling its in-person show in Las Vegas this January. With many of its major exhibitors—and its attendees—based in Asia and other parts of the world, the show was confronting increasing uncertainty involving global travel to and from the United States. If there’s a silver lining to the CES announcement, it’s that CES was to be held the week before the SHOT Show—and while we are disappointed that CES won’t be taking place, its cancellation will allow more local resources than ever before to be devoted to the SHOT Show. And both the Sands Expo Center and Caesars Forum will be primed and ready to welcome us to Las Vegas. We’ve received a number of inquiries this week about the status of the SHOT Show due to CES’s announcement, and also regarding the cancellation of the NASGW Expo in October. Rest assured, we are all systems go and we are working around the clock (our sleep patterns these days) in planning to ensure our customers’ and employees’ health and safety are at the forefront throughout our time in Las Vegas. With six months until the show, we are fortunate that we will be able to learn a lot from other shows taking place in other countries before ours. And, with six months to go, both the Sands Expo and Caesars Forum are nearly sold out for SHOT, making it our largest floorplan ever. We are well-positioned to make this the best SHOT Show we’ve ever held, and we are very much looking forward to reuniting as an industry in Las Vegas in January. — Chris Dolnack, NSSF

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Quote Of The Day

July 30, 2020 by

The quote of the day comes from a new book by Robert Pobi entitled, “Under Pressure”. It is about as accurate description of the mainstream media in these days and times as I have seen.

As the bird shuddered down, the wall of faces lining the perimeter were hidden behind SLRs, lighting, and shoulder-mounted video cameras – journalists here to generate the sugar high of fear that was now as much a part of the American diet as hot dogs, apple pie, and gluten-free muffins.

To generate the sugar high of fear. Isn’t that what we see in the media regardless of whether they are talking about the pandemic or about guns?

As to the book, I have an advanced reader’s copy and I’m liking what I’m reading so far. Some books start slow and gradually hook you. This one has hooked me from the start.

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Jeff Quinn – Obituaries

July 30, 2020 by

As most people know by now, Jeff Quinn of GunBlast.com passed away on Monday. His down-home – and honest – reviews of firearms were in distinct contrast to the type of reviews you often got in the gun mags.

Here is a round-up of obituaries.

From the funeral home:

Mr. Jeffrey Wayne Quinn, age 61 of Dover, TN passed away, Monday, July 27, 2020 at St. Thomas Hospital West. He was born January 16, 1959 in Erin, TN, son of James P. and Lorene Kent Quinn. Jeff was the editor of Gun Blast website.

Jeff is preceded in death by his father James P. Quinn. He is survived by his beloved wife, Souette Lee Jerles Quinn, his daughter, Rebecca Quinn-Giles, Clarksville, TN, mother, Lorene Quinn, Dover, TN, grandchildren, Abby and Ethan Giles, son-in-law, Sebastian Giles, brothers, James Lee Quinn, Erin, TN, Anthony Quinn, Four Oaks, NC, and Greg Quinn, Nashville, TN.

A graveside service will be held at 8:30 am on Saturday, August 1, 2020 at Stewart County Memorial Gardens and a celebration of life will follow at the Carlisle Missionary Baptist Church.

Arrangements are entrusted to Anglin Funeral Home, Dover, TN.

From Kat Ainsworth at TTAG which includes a number of comments from people who knew and worked with Jeff:

He was one of those rare men everyone liked. Whether it was his somewhat twisted sense of humor or his country-boy-turned-biker-turned-gun-reviewer charm, you liked him. He was readily identifiable by the twin braids in his beard; if you ever saw him attempting to cross the floor at NRAAM you know he was constantly swarmed by fans of his work in the gun world.

And when I say we are diminished by his passing, I am not spouting platitudes. We are diminished. The gun industry is lessened by his death. The day of this writing – July 27, 2020 at approximately noon central – we lost Jeff Quinn of GunBlast.com.

Jeff’s passing does not come as a surprise. He’d been fighting kidney failure for years, searched for a donor, gone through dialysis, and suffered complications to his heart and other organs. But somehow, every time we heard he was in the hospital and we expected the worst, he prevailed.

From Jim Shepherd of the Outdoor Wires:

Jeff Quinn passed today.”

Those three words on Monday rattled me more than any news I’ve gotten in quite a while. Jeff and I had been to a number of gun writer-type events together over the past few years, but it was the time with him away from the “events” that endeared him to me.

He was self-deprecating, unapologetic about his faith, fiercely loyal to his friends, and dedicated to his family.

He also managed to be one of the funniest, and most authoritative voices in the firearms news business. His Gunblast features combined genuine information with authentic entertainment.. sometimes intentional.

And, finally, from his brother and collaborator in GunBlast.com, Boge Quinn, the most heartfelt obituary.

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Remington Declares Bankruptcy…Again

July 28, 2020 by 1 Comment

Remington and its subsidiary companies declared bankruptcy for the second time in little more than two years. The Chapter 11 filing was made in US Bankruptcy Court for the Northern District of Alabama. There were separate filings for Remington Arms Company LLC, Remington Outdoor Company Inc., and Remington Arms Distribution Company LLC.

In reports prior to its actual filing for bankruptcy, it had been speculated that the Navajo Nation would be the buyer to take it out of Chapter 11. According to the investing site Seeking Alpha those talks broke down.

Remington had been searching for potential buyers and was in talks to sell itself out of bankruptcy to the Navajo Nation before negotiations collapsed in recent weeks, leaving the company without a lead bidder, or stalking horse.

I had speculated along with others that having the Navajo as the owners would put a crimp in the pending lawsuit in Connecticut over liability for the Newtown murders. This would have been due to the sovereign immunity of the Navajo Nation.

The bankruptcy filings indicate assets of between $100 million and $500 million with liabilities in the same range.

The five largest creditors are all governmental entities. They include (in order) the Pension Benefit Guaranty Corporation, the State of Arkansas, the City of Huntsville, the State of Alabama, and the State of Missouri.

This is followed by companies that make smokeless powder like St. Marks and Alliant, that provide forgings and barrels like Dasan USA, and those that supply basic materials (lead, copper, brass) like Doe Run and Eco-Bat Indiana. The only tax creditor listed was the Village of Ilion, NY which came in as the 38th largest creditor. This last bit leads me to speculate that Remington had been keeping up with its payroll, income, and excise tax payments.

Now that talks with the Navajo Nation have broken down and there is no lead bidder or stalking horse, it will be interesting to see how Remington comes out of this Chapter 11 bankruptcy. In its prior bankruptcy, I think it was a forgone conclusion that the hedge fund Cerberus would transfer ownership to investors Franklin Templeton and JP Morgan.

Here, we just don’t know. I would love to see the Navajo – or any tribe – emerge as the buyers if only so as to screw the Brady Campaign and the ambulance chasing lawyers in Connecticut. Time will tell and I’ll keep reporting on it.