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The National Rifle Association (NRA) of America filed for bankruptcy and plans to exit the State of New York, where it was founded in 1871.  

The NRA stated that it is leaving New York because of its "corrupt political and regulatory environment."

The country's largest and most influential gun rights advocacy group said it will restructure itself as a nonprofit in the State of Texas where it has more than 400 members. This year, the NRA Annual Meeting will be held in Houston.  

NRA is confident that the move will enable it to achieve "long-term sustainable growth" and a leading gun-rights advocacy group" without the toxic political environment of New York."

Additionally, the gun rights advocacy group and one of its subsidiaries filed for Chapter 11 bankruptcy to carry out its restructuring plan.

Legal battles between New York and the NRA

In August last year, New York State Attorney General Letitia James filed a lawsuit to dissolve the NRA.

The state's top law enforcement official alleged that the gun rights advocacy group under the direction of its top executives engaged in widespread violations of New York laws including those governing the organization’s charitable status.

The gun-right advocacy group filed a countersuit alleging that Attorney General James was hindering its First Amendment rights.

In 2018, the New York State Department of Financial Services investigated the NRA for allegedly violating the state's insurance law. The DFS ordered the insurer of the gun rights advocacy group to stop selling the "Carry Guard" policy and to pay a $7 million penalty.

The NRA sued Gov. Andrew Cuomo and the DFS for allegedly  “seeking to deprive” it and its members of their “First Amendment rights to speak freely about gun-related issues and defend the Second Amendment.”

In addition, the NRA accused the DFS of coercing financial institutions to cut their business relationships with it.

In February 2020, the gun rights advocacy group settled with the DFS and agreed to pay a penalty of $2.5 million.

Under the settlement, the NRA is "banned from marketing insurance in the State or receiving compensation in connection with any newly issued New York insurance policies for five years, irrespective of whether the NRA obtains a license."

NRA bankruptcy filing and restructuring is a "path forward"

The gun-rights advocacy organization said filing for bankruptcy, abandoning New York, and restructuring in Texas is the path forward to pursue its opportunities, achieve growth, and continue its work of addressing anti-Second Amendment activities and promoting firearm safety and training.