Texas judge blocks NRA from its Chapter 11 bankruptcy filing
CBSN
A federal judge in Texas ruled Tuesday that the National Rifle Association cannot file for bankruptcy, a decision that calls into question the gun-rights plan to relocate its headquarters to escape oversight by New York regulators.
Judge Harlin Hale's decision comes almost 10 months after New York Attorney General Letitia James filed a lawsuit against the NRA, alleging four of its top executives of mismanaging funds and violating state and federal laws. In January, the NRA filed for Chapter 11 bankruptcy protection, declaring its intent to reorganize and relocate to Texas. The NRA is based in Virginia but has long been chartered as a nonprofit organization in New York State. Hale suggested in his ruling he didn't believe the NRA had filed for bankruptcy solely for financial purposes.
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