The former board president of the National Rifle Association spent Monday on a witness stand trying to ward off an effort by New York’s attorney general, Letitia James, to have an outside monitor appointed to oversee the gun group.
Ms. James, who was in the Manhattan courtroom, is seeking to give oversight of the N.R.A. to a court-appointed official for three years, a step the group vehemently opposes. Five months ago, after an earlier phase of the civil trial, Wayne LaPierre, the N.R.A.’s longtime chief executive, was found liable for misspending $5.4 million of its money. Charles Cotton, who was N.R.A. president until May, was the first witness as the second phase of the trial began.
Ms. James had filed a lawsuit in 2020 against the N.R.A. amid a corruption scandal that upended the association and led to infighting within its highest ranks; its revenue and membership have also plummeted after a half-decade of scandal. New York has special jurisdiction over the N.R.A. since it was founded in New York more than 150 years ago.
Mr. Cotton, in his testimony Monday, conceded that the case has hampered the N.R.A.’s ability to recruit new leaders.
“We’re not going to attract the Lee Iacoccas while this lawsuit is hanging over our head,” he said, referring to the former Chrysler executive who was a corporate icon of the 1980s.
During his testimony, an internal document was highlighted that underscored internal tensions in the organization. The N.R.A.’s audit committee, which Mr. Cotton still leads, has “reviewed and discussed” the potential for a lawsuit from one of the group’s most formidable former lobbyists amid a financial dispute, according to the document.
In questions put to Mr. Cotton, Steven Shiffman, a lawyer with the attorney general’s office, tried to undercut the N.R.A.’s assertions that it had reformed its corporate governance. He pointed out that the N.R.A. has not repudiated Mr. LaPierre, who stepped down on the eve of the trial’s first phase. Mr. Cotton conceded that the N.R.A. had never recommended that Mr. LaPierre be terminated or suspended, adding that they instead had been “keeping a lot closer watch on him.”
Mr. Shiffman also highlighted recent statements from Mr. Cotton to fellow N.R.A. board members that appeared to misrepresent what has already happened in the trial, including a comment at a recent conference that the N.R.A. “won” the first phase “much to the chagrin of the A.G.”
When pushed on whether he accepted some responsibility for the verdict in the first trial, Mr. Cotton responded: “I respect the jury.”
The case’s first phase was decided by a jury, but the second will be decided by the presiding judge, Joel M. Cohen. Mr. LaPierre, who led the group for more than 30 years, faces a lifetime ban from reclaiming a fiduciary role with the group. The attorney general is also asking the judge to impose restrictions on a third co-defendant, John Frazer, who was recently removed as general counsel and serves as corporate secretary.
Last week, the N.R.A.’s former chief financial officer, Wilson Phillips, agreed to a 10-year ban on managing money for New York nonprofits.
New N.R.A. leadership was appointed in May at its annual conference. Doug Hamlin, who had been running the publication division under Mr. LaPierre, was elevated to chief executive.
Over the past several years, a series of top officials have fallen out with the N.R.A.’s leadership, including Oliver North, the former president, and Chris Cox, who was once Mr. LaPierre’s top deputy.
A more recent dispute with Marion Hammer, a longtime Florida gun activist and one of the group’s most effective lobbyists, came after the N.R.A. terminated her retirement deal. She was among board members who had consulting contracts or other financial relationships with the N.R.A. that came under scrutiny. It was unclear whether the dispute would ultimately produce litigation.
Monday’s trial began as the nation reeled from the assassination attempt on former President Donald J. Trump, who is expected to be nominated as the Republican Party’s 2024 candidate this week.
During a break, Mr. LaPierre, who for years was the most prominent face of the gun rights movement, was asked for his reaction to the shooting, carried out by a 20-year-old man who used a military-style rifle of the sort the group has defended. A rally attendee died, and the former president’s ear was grazed.
“God bless his family,” Mr. LaPierre said, adding that “our hearts and prayers go out” to the local fireman “who lost his life, his family, and we pray for the well being of the country.” Asked about the AR-15 rifle used in the shooting, he replied: “That’s all I’m going to say.”
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