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REGIONAL REGULATORY OFFICES

Firearms and Explosives Coordinator MIDWEST REGION

Bureau of Alcohol, Tobacco and Firearms Hiinots, Minnesote, Missouri, Wisconsin, Kansas, Nebraska,

230 S. Dearbom St. 18th Floor North Dakota, South Dakota, lows

Chicago, tilinols 60604 .

(312) 359-3084

Firearms and Explosives Coordinator Indiana, Ohlo, Kentucky, West Virginla, Michigan

Bureau of Alcohol, Tobacco and Firearms
550 Main St. Room 6510A, Federal Office Bldg.
Cincinnati, Ohio 45202

(613) 684-3715

Firearms and Explosives Coordinator SOUTHEAST REGION

Bureau of Alcohol, Tobacco and Firearms Georgia, North Carolina, South Carolina, Tenessee,
3935 Northeast Expressway Room 200 Mississippi, Alabama, Florida

Atlanta, Georgia 30340

(404) 455-2675

Firearms and Explosives Coordinator SOUTHWEST REGION

Bureau of Alcohol, Tobacco and Firearms Texas, Loulsiana, Arkansas, Oklahoma, Colorado,
1114 Commerce St, Room 701 New Mexico, Wyoming

Dallas, Texas 75242

(214) 767-2277

Firearms and Explosives Coordinator NORTH ATLANTIC REGION

Bureau of Alcohol, Tobacco and Firearms New York, Massachusetts, Connecticut, Rhode Isiand
6 World Trade Center 6th Floor Maine, New Hampshire, Vermont, Puerto Rico
Now York, New York 10048

(212) 264-3003 _

Firearms and Explosives Coordinator Penneylvania, Maryland, New Jersey, Delaware, Virginia

Bureau of Alcohol, Tobacco and Firearms
Federal Bidg., U.S. Post Office 6th Floor
Ninth and Market St.

Philadelphia, Pennsylvania 19107

(215) 597-2220 \
Firearms and Explosives Coordinator WESTERN REGION

Bureau of Alcohol, Tobacco and Firearms Californta, Montana, {daho, Washington, Oregon, Nevade
525 Market St. 34th Floor Utah, Arizona, Alaska, Hawall

‘San Francisco, California 94105
(415) 974-9623


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“nal >

the Treasury, Bureau of Alcohol. Tobacco and Firearms

Volume 2 Issue 2

newsletter

Federal Firearms Licensees Information Service provided by the Department of

Washington, D.C

GUN SHOWS REVISITED

The issue of allowing FFLs to
sell firearms at gun shows occurs
with great regularity at the firearms
seminars being held across the
country. Reports from our field of-
fices indicate this issue has cap-
tured the attention of dealers and
they are making their views known
at almost all the seminars.

The Bureau of Alcohol, Tobacco
and Firearms (ATF) anticipates
publishing new regulations on
FFLs selling firearms at gun
shows. Comments stemming from
an earlier advance notice have
been studied and evaluated, and
the proposed rules will reflect
some of the suggestions.

Current Position

Since the enactment of the Gun
Control Act of 1968 ATF has taken
the position that firearms licenses
are not issued to engage in
business at gun shows. The cur-
rent ruling holds that the license
covers only the permanent
premises specified on the license
where the applicant regularly con-
ducts business and not any tem-
porary location.

Advance Notice of
Proposed Rulemaking

in 1980, ATF published an ad-
vance notice of proposed

ATF Takes A New Look

rulemaking asking for public input
on allowing sales of firearms by
licensees at organized gun shows.
A total of 1,537 letters and four
petitions with 211 signatures were
received. Approximately 80 per-
cent of the comments came from
licensees or former licensees.
Comments in favor numbered
1,371; 145 were opposed.

The advance notice specifically
requested comments on these five
questions:

* Is there sufficient interest by
FFLs in making sales at gun shows
to warrant issuing proposed
regulations?

Nearly all commenters answered
this question. Those in favor were
emphatic in their support. Many of
those who opposed the change
still recognized the interest of the
dealers in making gun show sales.

* If the regulations allowed the
sales, what would be the impact of
firearms commerce, organizations
which sponsor gun shows, state
and local laws and ordinances, and
local law enforcement?
Generally, the commenters
indicated there would be an in-
crease in firearms commerce.
Most of the comments ad-

dressing the impact on state and
local laws indicated there would be
no effect because the more restric-
tive state and local laws would
prevail.

* Would allowing licensees to
sell firearms at gun shows reduce
or increase opportunities for
criminals to obtain firearms?

Nearly all of the commenters
said there would be no impact,
since criminals obtain their guns il-
legally and not through commer-
cial channels.

* If licensees would be allowed
to sell firearms at gun shows, what
licensing procedures would be
recommended--separate license,
an extension of the FFL’s license,
or some other method?

A majority of the comments
wanted an extension of the current
licensing privilege. A few com-
menters said they would not object
to an additional license and fee.

* Are there other considerations
to take into account before propos-
ing regulations allowing licensees
to sell firearms at gun shows?

Many of those commenting
believed it would be far better to
have the FFLs making sales at gun
shows because Form 4473’s would
be prepared and proper records
maintained.


News You Can Use

Armed Forces Dual Residency Clarified ,

A misunderstanding and/or
misinterpretation of the firearms
regulations has created some con--
fusion on the question of residen-
cy of members of the Armed
Forces.

For the purposes of the Gun
Control Act, a member of the Arm-
ed Forces on active duty is con-

Until recently, an FFL manufac-
turing, importing or dealing in Na-
tional Firearms Act (NFA) firearms
sent IRS Form 11 with the required
tax payment to the IRS Service
Center. The FFL then completed
form 7590.3 and submitted it with a
copy of his/her license to ATF to
obtain an ATF Identification
Number.

ATF Form 7590.3 has been revis-
ed and its use is now optional. In-
stead, if the licensee wishes,

sidered to be a resident of the state
in which his permanent duty sta-
tion is located. If amember of the
Armed Forces commutes daily
from his residence in one state to
his duty station in another state, he
is considered a resident of both
states uiider the firearms regula-
tions. He/she is allowed to pur-

ATF Form 7590.3 Optional

he/she can send a copy of his/her
special tax stamp, or a copy of a
completed IRS Form 11, together
with a copy of the FFL license to
ATF for the required ID number.

This number must appear on all
transaction forms where the
licensee’s registered firearms are
to be exported or transferred. It
must also appear on all applica-
tions to transfer firearms to the
licensee.

chase firearms in either state, sub-
ject to local and state laws.

A member of the Armed Forces
who is on temporary duty in
another location, regardless of the
length of the temporary duty, does
not qualify as a resident of that
state.

Before July 1 of each year, Form
7590.3 will be mailed to each
licensee who has a current ATF ID
number. This form can then be us-
ed in certifying to tax payment for
the coming fiscal year.

For further information, contact:

ATF
National Firearms Act Branch
1200 Pennsylvania Avenue NW: _
Washington, DC 20226

YAC STEN MK II Carbine Classified as Machinegun

This carbine is a 9mm-caliber
firearm which has identical design
characteristics to the original
selective fire STEN sub-
machinegun designed by Reginald
Vernon Shepard and Harold John
Turpin.

Asimple modification to the trip
lever, together with STEN sub-
machinegun design features and
components in the YAC STEN MK
I! carbine is not usually found in
the typical sporting firearm.

The National Firearms Act
defines a machinegun to include
any weapon which shoots, is
designed to shoot, or can be readi-
ly restored to shoot automatically
more than one shot, without
manual reloading, by a single func-
tion of the trigger.

ATF has ruled that the YAC
STEN MK II carbine is a
machinegun as defined by the Na-
tional Firearms Act.

Preventing Problems

ATF offers early assistance to
those individuals who wish to
make new semi-automatic or fully
automatic weapons. Send either
detailed drawings or a prototype
to:

Firearms Technology Branch
1200 Pennsylvania Ave NW
Washington, DC 20226
Telephone: (202) 566-7591
Early contact may save time, trou-
ble and money.

Remember--It's A Three-Year License Now

August 1, 1983 is the effective
date for the new Federal Firearms
License. ATF has a revised form
which shows the three-year license
fee. The new form is available and

must be used.

All copies of the old ATF form 7
are obsolete and must be
destroyed. Submission of the old

form will result

delays.

only in costly

Please use the new form which
is available from any ATF office.


Licensee Q’s and A’s

The following questions are
among those most frequently ask-
ed by licensees. The answers

ven refer only to federal laws and
regulations.

! have just recently obtained an
FFL. | have approximately 20 guns
in my private collection, purchased
before | obtained my license. May!
sell any, or all, of these firearms as
a private citizen, without a record
being made in my books as a
licensee?

No. A licensee who sells a
firearm must record the entry in his
bound book and have a Form 4473
executed. It does not matter that
the firearm came into his posses-
sion before he became a licensee.

ATF’s position that a licensee
must record sales of personal
firearms was upheld in United
States v. Scherer, 523 F. 2d 371 (7th
Cir. 1975), Cert. denied 96 S.Ct.
1108. (1976).The court stated that
“Sit is immaterial whether the

zapons sold were originally ac-
quired for personal use or for
business purposes. They become
a part of his business inventory the
moment they were placed on the
market for resale.”

The pamphlet “Federal Firearms
Licensee Information” first
published in 1978 and distributed
to all licensees since that date
gives an example of the way in
which an entry is made of a
personally-owned firearm in a
dealer’s acquisition and disposi-
tion record.

When must the Form 4473 be
signed?

Part 1, used for intrastate over-
the-counter transfers or s@les,
must be signed and dated by the
buyer before delivery of the firearm
to the buyer. The information re-

dired to be furnished on the form
vy the buyer may be given at any
time before the transfer, but the

buyer must sign immediately
before the transfer. Form 4473,
Part H, used for

contiguous-state or non over-the-
counter transfers or sales is to be
signed as required by 27 CFR
178.124 (f).

1am writing to you on behalf ofa

client who wishes to manufacture

a prototype firearm. Does he need
a license?

Your client may manufacture a
firearm without being licensed
under the Gun Control Act of 1968,
provided the firearm is not for sale.
The making of a “firearm” defined
by the National Firearms Act is
subject to the tax and registration
requirements of that Act.

A company wishes to ship am-
munition to a nonlicensee in my
State through me. Ihave an FFL. Is

this allowed?

Yes. A licensee may ship am-
munition interstate to another
licensee who may lawfully sell or
deliver the ammunition intrastate
to anon-licensee. A licensee may
not sell or deliver ammunition to a
“prohibited person” under the Gun
Control Act of 1968. Acquisition
and disposition records must be
maintained in accordance with the
regulations. It is unlawful for any
licensee to ship or transport am-
munition interstate to any person
other than another licensee.

What shall | do with my records
when | go out of business?

If you are selling your firearms or
ammunition business to another
person who intends to continue
the operation of the business, your
records should go to that person
(who must apply for his own
license).

If you go out of business, and
the business is not succeeded by a
new owner, please send your
Properly packaged firearms
records including a copy of your
license to:

Bureau of ATF

ATF Distribution Center
3800 S. Four Mile Run Drive
Arlington, VA 22206

More on Q’s and A’s

ATF publishes a list of 102
commonly-asked questions and
answers on firearms laws and
regulations. A copy is sent to each
dealer when he/she receives a
firearms license. If you did not
receive a copy, and wish to have
one, contact the ATF Firearms and
Explosives Coordinator for your
area. See the back page for their
addresses and telephone numbers.

Second ATF Agent
Killed in Miami

Eddie Benitez, a 27-year-old ATF
special agent died July 12 after be-
ing critically wounded four days
earlier during a shootout in a
Miami parking lot. Agent Benitez
is the third ATF agent shot in
Miami in the past seven months.
Last December, two ATF agents
were shot during an undercover
purchase of narcotics. Special
Agent Ariel Rios died and Special
Agent Alexander D’Atri recently
returned to work after recovering
from his wounds.

Benitez, acting as an undercover
agent, and backup agents were at-
tempting to arrest an individual
who had previously sold silencers
and a destructive device in viola-
tion of the Gun Control and the Na-
tional Firearms Acts.

The suspect was arrested at the
scene of the shooting and has
been charged with federal firearms
and assault charges.

Court Decisions

R.P.B. Industries Inc. v. Secretary
of the Treasury. On July 21, 1982,
the United States District Court for
the Northern District of Georgia
upheld ATF’s ruling classifying the
SM-10, SM-11A1, and the SAC car-
bine as machineguns.

Jersey Arms Works, Inc. v.
Secretary of the Treasury. On July
25, 1983, the United States District
Court for the District of New
Jersey upheld ATF’s classification
of the S-7 Avenger as a
machinegun, under the National
Firearms Act.