National Rifle Association says it has filed for bankruptcy as part of a restructuring

(Reuters) – The National Rifle Association filed petitions in a US bankruptcy court on Friday to seek creditors protection through restructuring, the gun rights advocate announced.

The NRA filed the Chapter 11 petitions in the US Bankruptcy Court in Dallas, it said in a press release.

The NRA said it would restructure as a Texas nonprofit to end what has been a “corrupt political and regulatory environment in New York,” where it is currently registered.

The influential group said in a statement that there would be no immediate changes in operations or workforce, and that it “will continue with the company’s progress – facing activities against the Second Amendment, promoting safety and security. firearms training and promotion of public programs in the United States. “

The second amendment to the US Constitution guarantees the right to keep and bear arms.

Last August, New York State Attorney General Letitia James sued to dissolve the NRA, claiming that senior leaders of the nonprofit had diverted millions of dollars for personal use and to buy the silence and loyalty of former employees .

The lawsuit James filed in a Manhattan state court claims that NRA leaders paid for family trips to the Bahamas, private jets, and expensive meals that contributed to a $ 64 million cut in the NRA’s balance sheet in three years, bringing a surplus turned into a deficit.

The NRA responded by suing James, a Democrat, in federal court, saying she violated the NRA’s right to free speech and tried to block her investigation. The dispute remains pending.

The NRA has been one of the leading voices to oppose proposed or existing gun control measures in recent decades.

The NRA’s actions will likely put the attorney general’s lawsuit on hold, and a re-establishment could deprive her of the ability to seek the group’s disbandment. In her lawsuit, James had said that establishing the NRA as a New York nonprofit gave her the power to dissolve it.