In a landmark decision on Feb. 23, 2024, a New York jury ruled against the National Rifle Association (NRA) and three of its current and former officials for violating the state's laws by misusing charitable assets. The jury's verdict came after a six-week corruption trial initiated almost four years prior by New York Attorney General Letitia James. Investigative journalists' reports from five years ago unveiled that the NRA's leaders and contractors had misappropriated the nonprofit's funds on extravagant expenses.

The jury found that NRA's longtime head, Wayne LaPierre, its former treasurer Wilson Phillips, and corporate secretary John Frazer breached state nonprofit statutes and their fiduciary duties. LaPierre, who resigned during the trial, was ordered to repay the NRA US$5.4 million, while Phillips was directed to pay back $2 million. LaPierre has already reimbursed $1 million following an internal investigation. Joshua Powell, LaPierre's former chief of staff, settled by repaying $100,000 and is banned from serving in fiduciary roles at charitable organizations in New York.

New York Attorney General James hailed the verdict as a triumph against corruption and greed, emphasizing that all must adhere to the law. Charitable ratings for the NRA may decrease due to financial concerns, with uncertainty surrounding LaPierre and Phillips' repayment. Legal fees and loss of membership dues pose additional challenges for the NRA, potentially impacting its financial stability.

The judgment will be followed by another trial to deliberate on potential non-monetary penalties for the NRA and individual defendants. The judge will consider appointing independent monitors to evaluate the NRA's spending and governance practices and may restrict certain officials from holding positions at charitable organizations in New York.