Another Expert Witness Report

Somehow, we missed this one. A forensic accountant, looking into NRA’s books. 200+ pages of “NRA leadership didn’t comply with requirements imposed by the board,” or the board didn’t comply with them, or unspeakable amounts of money were wasted or given as hush money. This is really sickening. A few low points:

P. 9: “The NRA paid the three MMP Entities over $135.2 million in Management Fees from December 2011 through December 2021. Formal approval processes required by NRA policy were not followed with respect to the MMP Entities’ contracts. In addition, NRA employees, including the Executive Vice President (“EVP”), did not disclose all conflicts of interest related to receiving and personally benefitting from, gifts and entertainment from the MMP Entities’ owner, including trips and use of luxury yachts in the Bahamas.”

P. 9: “In addition to the non-compliance with procurement policies, the NRA also processed and paid millions of dollars in “out-of-pocket expenses” submitted by Ackerman for expenditures incurred by Ackerman and NRA employees without review and verification that the goods and services comprising the associated invoices were received or appropriate, as required by NRA policies. The expenses “passed through” Ackerman on behalf of NRA employees circumvented the review and approval processes required for NRA employee travel and reimbursable business expenses, and said expenses were not supported by contemporaneous evidence of the purported business purpose. These expenses often included luxury hotels, black car transportation, lavish meals, and other charges that may not have otherwise been paid if they had been subject to appropriate oversight.”

P. 10: “Gayle Stanford (“Stanford”) was the NRA EVP’s personal “travel consultant” and provided services to the NRA from approximately 1993 through 2020. Ms. Stanford, through several business entities, was paid over $2.7 million in fees without a written contract (until 2019) or other review and approval processes required by NRA policy. In addition to non- compliance with procurement policies and having no written contract, the NRA also processed and paid out-of-pocket expenses submitted by Ms. Stanford (through her two companies) without review and verification that the goods and services in the invoices were received, as required by NRA policies. These expenses often included luxury hotels, black car transportation, lavish meals, and other charges that may not have otherwise been paid if they had been subject to appropriate oversight. In addition, I observed numerous anomalies and inconsistencies with the “travel consultant” billing practices and related documentation that are consistent with fraud risk indicators designed to evade scrutiny.”

P. 27-28: “Examples include the following:

An employee in the EVP’s office misappropriated approximately $40,000 from the NRA. The consequences to the employee were repayment of the amount and revocation of credit card privileges. The EVP testified that the NRA’s choice not to terminate the employee or bring a lawsuit against her was based on the employee’s medical condition. The employee was recently terminated.” Millie Hallow.

“An employee that abused credit card privileges had his corporate credit card revoked, but the same employee was later given a pay increase doubling his salary.” Don’t know who this was.

“A senior employee was terminated for performance reasons and escorted off NRA premises, but then provided a post-employment consulting contract totaling $1.68 million for two years. The employee was recently terminated in August 2022.” Wayne Sheets.

“Finally, the EVP was required to reimburse the NRA for over $650,000 in excess benefits he received at the NRA’s expense, but a director having similarly received approximately $55,000 in excess benefits was terminated.”

P. 71: Ackerman billed NRA for expenses allegedly incurred on NRA’s behalf. Over two years these included $1.9 million for Ackerman employee expenses, $240,000 for Tyler Schropp, fees to LaPierres “travel agent” of $235,000, premium car services of $67,000, and hair and makeup services of $62,000.

P. 74: “Mr. Schropp’s August 28, 2017, February 28, 2018, and March 30, 2018 credit card statements included the following airfare expenses incurred for Mr. Schropp: $5,664 for a roundtrip first-class ticket from Washington, DC (Dulles) to London, England (Heathrow); $2,747 for a one-way business-class ticket from Washington, DC (National) to Phoenix, AZ to San Francisco, CA; and $2,454 for a one-way business-class ticket from Washington, DC (National) to Phoenix, AZ.” How do you find a $2,000+ one-way ticket for a domestic flight? Or a $5,000 one to London? He must have hunted for them.

“Mr. Schropp’s May 29, 2018, February 28, 2018, and October 28, 2017 credit card statements included the following hotel expenses incurred for Mr. Schropp: $9,365 for an eight-night stay (appears to be for two rooms) at the Mansion Turtle Creek in Dallas, TX; $5,703 for a four-night stay at the Beverly Hills Hotel in Beverly Hills, CA; and $4,685 for a two-night stay at the Beverly Hills Hotel in Beverly Hills, CA.”

P. 75: “The sixth category included hair and makeup services, provided by Brady Wardlaw and Debbie Dover, among others. The invoices included details indicating the hair and makeup services were for Susan LaPierre, including single invoices for $10,275 and $8,300.” Those two hairdos and makeups cost the equivalent of 411 annual members’ dues.

P. 88– Under Wild Skies: “The OAG has alleged that in addition to the sponsorship and advertising fees paid to UWS, the NRA also paid UWS close to $50,000 a month in “supplemental” fees related to the UWS (and Mercury Group) President, Mr. Makris’, services in identifying and cultivating high-dollar donors for the NRA. Mr. Makris allegedly received these fees through UWS from approximately 2009 to 2019, even though the services did not relate to the UWS program and were not subject to the NRA’s internal review and approval processes for contracts and vendor payments. The invoices for these fee payments contained only a one-line description of “Supplemental Invoice.” “

P. 91: “The expenses for such trips [safaris] included professional hunter costs, camps, chartered in-continent travel, food and beverages, hunting licenses, trophy fees, and taxidermy. Mr. LaPierre directed Mr. Makris to pay for various NRA Board Members and Officers and their spouses to participate in big game hunts around the world. These trips were not authorized by resolution of the NRA Board or an authorized committee. According to Mr. Makris, a game hunt of this nature can cost upwards of $100,000.”

“Mr. LaPierre’s testimony confirmed that he received free hunting trips with all expenses paid for by UWS (including the cost of guides, professional hunters, game equipment, licenses and permits, airfare and international travel). For example, UWS paid for an elephant hunting trip in Africa for Mr. LaPierre and his wife in 2014 and a water buffalo hunt in Botswana also in 2014. In addition, the aforementioned Rovos Rail game hunting trip for $210,000 appeared to have been paid for with NRA funds according to the general ledger.”

P. 92, Gayle Stanford, who served as LaPierre’s “travel agent,” to book those leased executive jet flights (which you can do online). For 26 years she worked without a written contract, billing NRA for an average $534,000 per year. Not bad for perhaps once a week accessing a website.

P. 112: “Robert Kyle Weaver (“Mr. Weaver”) served in the position of Executive Director of General Operations for ten years until October 2016 when he was terminated, and I understand, escorted from NRA property. Soon after, on November 5, 2016, the NRA entered into agreement with Mr. Weaver (“Weaver Agreement”) whereby the NRA would pay Mr. Weaver a total of $1,830,000 over a period of two years for undefined “consulting services.”” Sounds like hush money for a man who knew too much.

P. 143 ff. Marion Hammer was receiving annually, $50,000 from ILA, another over $200,000+ from LaPierre, plus her state association salary paid from a million dollar grant by ILA.

P. 168 ff. Personnel had NRA Amex cards, and over 7 years charged $60 million to them. $10 million for airline tickets, $6 million for high-end hotels, $562,000 for limousines. “

“As another example, a purchase on January 10, 2020 was comprised of a single charge for approximately $131,000 at the La Cantera Resort & Spa in San Antonio, Texas, a resort which is described on its website as, a “Hill Country oasis featuring a world-class golf course, five sparkling heated pools, luxurious cabañas, state-of-the-art fitness centers, a destination spa, and more.””

“Between 2014 through 2020, there were approximately $420,000 in restaurant expenses by NRA Personnel where individual charges were more than $500 each. For examples in the two years 2019 through 2020, there were $18,000 in expenses charged to Ms. Meadows’s NRA-issued Card consisting of 8 transactions at various steakhouses – an average of over $2,000 per visit. In just three days, January 24 to 26, 2018, over $30,000 was charged to Christopher Sprang’s NRA credit card at the restaurant AquaKnox, a high-end seafood restaurant in Las Vegas. Over a five-year period 2014 – 2018, over $60,000 was charged to Mr. Phillips’s NRA-issued Card at Margaritaville in Nashville, at an average cost of over $4,000 per visit.” What was NRA’s treasurer doing blowing huge sums on dinners in Nashville?

We must stop here. It’s too soon after dinner to read something this nausea-producing. If you want to see how NRA came to this pass, this document tells you. A bunch of ____s spending money that donors gave to protect the Second Amendment and promote the shooting sports, being spent on thousand-dollar hotels and four thousand-dollar meals, because “we can.” That, and the board is too cowardly to stop it.