A lawsuit announced by DC Attorney General Karl Racine alleges that the NRA Foundation, a charitable nonprofit associated with the National Rifle Association, improperly diverted charitable donations to the influential gun lobbying group. In a public statement announcing the lawsuit, the Office of Attorney General said that by allowing charitable funds to be used for non-charitable, and failing to operate as an independent nonprofit, the NRA Foundation violated District laws.
While the NRA is incorporated in New York, the NRA Foundation, its charitable wing, is incorporated in the District. Both are headquartered at the same address in Fairfax, Virginia. According to Racine’s lawsuit, an OAG investigation found that the NRA’s financial problems in recent years prompted it to lean heavily on the Foundation for funds, including two $5 million loans in 2017 and 2018, one of which has not been repaid. The lawsuit also alleges a series of fee schedules and other financial schemes to funnel more money to the NRA.
The move came as New York’s attorney general filed a separate lawsuit in New York, seeking to dissolve the organization over charges of “fraud and abuse.”
Racine’s civil complaint, which was filed today in the DC Superior Court, can be found here.