Quantcast
Connect with us

NRA could lose its tax-exempt status: report

Published

on

A report by a collaboration of The Trace and The New Yorker reveals the intricate way in which hundreds of millions of dollars have allegedly been siphoned off to top executives and vendors at the National Rifle Association (NRA).

This article first appeared in Salon.

ADVERTISEMENT

The story was published on Wednesday and written by reporter Mike Spies, who viewed internal documents and tax filings and found that public relations firm Ackerman McQueen, which helps manage the NRA’s image, was paid $40 million in 2017.  Ackerman McQueen has worked with the group since the 1970s.

“The NRA and Ackerman McQueen have become so intertwined that it is difficult to tell where one ends and the other begins,” Spies wrote. He continued:

Top officials and staff move freely between the two organizations; Oliver North, the former Iran-Contra operative, who now serves as the NRA’s president, is paid roughly $1 million a year through Ackerman, according to two NRA sources. But this relationship, which in many ways has built the contemporary NRA, seems also to be largely responsible for the NRA’s dire financial state. According to interviews and to documents that I obtained — federal tax forms, charity records, contracts, corporate filings, and internal communications — a small group of NRA executives, contractors, and vendors has extracted hundreds of millions of dollars from the nonprofit’s budget, through gratuitous payments, sweetheart deals, and opaque financial arrangements. Memos created by a senior NRA employee describe a workplace distinguished by secrecy, self-dealing, and greed, whose leaders have encouraged disastrous business ventures and questionable partnerships, and have marginalized those who object. “Management has subordinated its judgment to the vendors,” the documents allege. “Trust in the top has eroded.’

Reportedly, some of the NRA’s payments that may constitute a conflict of interest pass through financial channels that intentionally obscure the recipients.

ADVERTISEMENT

Law experts say this alone could threaten the NRA’s tax-exempt nonprofit status.

On Thursday, gun control activist Shannon Watts of Moms Demand Action said that Everytown, the parent organization of Moms Demand Action, had filed a complaint with the Internal Revenue Service.

ADVERTISEMENT

“Based on this new article, @Everytown – the parent org of @MomsDemand – just filed a complaint about the @NRA’s tax-exempt status with the IRS, and is calling for federal and state investigations into the NRA’s operation as a charity,” Watts said in a tweet.

Enjoy this piece?

… then let us make a small request. Like you, we here at Raw Story believe in the power of progressive journalism — and we’re investing in investigative reporting as other publications give it the ax. Raw Story readers power David Cay Johnston’s DCReport, which we've expanded to keep watch in Washington. We’ve exposed billionaire tax evasion and uncovered White House efforts to poison our water. We’ve revealed financial scams that prey on veterans, and legal efforts to harm workers exploited by abusive bosses. We’ve launched a weekly podcast, “We’ve Got Issues,” focused on issues, not tweets. And unlike other news outlets, we’ve decided to make our original content free. But we need your support to do what we do.

Raw Story is independent. You won’t find mainstream media bias here. We’re not part of a conglomerate, or a project of venture capital bros. From unflinching coverage of racism, to revealing efforts to erode our rights, Raw Story will continue to expose hypocrisy and harm. Unhinged from billionaires and corporate overlords, we fight to ensure no one is forgotten.

We need your support to keep producing quality journalism and deepen our investigative reporting. Every reader contribution, whatever the amount, makes a tremendous difference. Invest with us in the future. Make a one-time contribution to Raw Story Investigates, or click here to become a subscriber. Thank you. Click to donate by check.

Enjoy this piece?

… then let us make a small request. Like you, we here at Raw Story believe in the power of progressive journalism — and we’re investing in investigative reporting as other publications give it the ax. Raw Story readers power David Cay Johnston’s DCReport, which we've expanded to keep watch in Washington. We’ve exposed billionaire tax evasion and uncovered White House efforts to poison our water. We’ve revealed financial scams that prey on veterans, and efforts to harm workers exploited by abusive bosses. We’ve launched a weekly podcast, “We’ve Got Issues,” focused on issues, not tweets. Unlike other news sites, we’ve decided to make our original content free. But we need your support to do what we do.

Raw Story is independent. You won’t find mainstream media bias here. We’re not part of a conglomerate, or a project of venture capital bros. From unflinching coverage of racism, to revealing efforts to erode our rights, Raw Story will continue to expose hypocrisy and harm. Unhinged from corporate overlords, we fight to ensure no one is forgotten.

We need your support to keep producing quality journalism and deepen our investigative reporting. Every reader contribution, whatever the amount, makes a tremendous difference. Invest with us in the future. Make a one-time contribution to Raw Story Investigates, or click here to become a subscriber. Thank you.



Report typos and corrections to: [email protected]. Send news tips to: [email protected].
READ COMMENTS - JOIN THE DISCUSSION
Continue Reading

Breaking Banner

Wall Street Journal drops a truth-bomb on Trump over his market-destroying trade war: ‘Everyone loses’

Published

on

In yet another blast from the editorial board of the Wall Street Journal, the editors looked back at Friday's stock market free fall and pointed the finger directly at President Donald Trump and his "trade-war general" Peter Navarro for being the main culprits.

After Friday's disastrous stock market session that took a major downturn due to the escalation of the trade war -- with China and Trump ordering billions of dollars in new tariffs -- the Journal pointed out that there will be no winners.

Continue Reading

Breaking Banner

G7 off to a rough start as Trump aides slam host Macron’s agenda

Published

on

With President Donald Trump at the latest G7 summit, all eyes are on the interactions between him and French President Emmanuel Macron. The two world leaders started off amicably, exchanging pleasantries, but behind the scenes, things have grown contentious.

According to Politico, Trump officials are railing against Macron, accusing him of trying to "fracture" the summit by steering the negotiations away from trade and into areas like climate change.

This development comes after Trump harshly criticized Macron for enacting a tax on digital services, which could increase costs for American tech companies like Google and Facebook. Trump threatened that if France does not suspend its "unfair" digital tax, "we'll be taxing their wine like they've never seen before." It is a threat that Trump has made repeatedly over the last few weeks whenever he has gotten angry at France.

Continue Reading
 

Breaking Banner

A likely recession could doom Trump

Published

on

President Donald Trump is worried that there will be a recession before the 2020 election. For once, he is right about something.

This article first appeared in Salon.

"The Economy is strong and good, whereas the rest of the world is not doing so well. Despite this the Fake News Media, together with their Partner, the Democrat Party, are working overtime to convince people that we are in, or will soon be going into, a Recession," Trump tweeted on Friday in a clear attempt to assuage concerns. "They are willing to lose their wealth, or a big part of it, just for the possibility of winning the Election. But it won’t work because I always find a way to win, especially for the people!"

Continue Reading
 
 

Thank you for whitelisting Raw Story!

As a special thank you, from now until August 31st, we're offering you a discounted rate of $5.99/month to subscribe and get ad-free access. We're honored to have you as a reader. Thank you. :) —Elias, Membership Coordinator
HELP US UNCOVER CORRUPTION!
close-link
close-image