Owner of Popular Parts Website, HK Parts Inc, Charged With Illegally Selling Firearms
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According to a Department of Justice press release,
Adam Michael Webber, of Salt Lake County, Utah, was indicted on Friday by a federal grand jury in the District of Utah, the Justice Department announced. The indictment, which was made public today, charges Webber with one count of dealing in firearms without a license, one count of smuggling goods from the United States and six counts of filing false tax returns.
According to the indictment, no later than 2007, Webber established a business that sold firearms and firearms’ parts and accessories, largely through the Internet. The business operated under the name HK Parts, using the website www.hkparts.net , and was solely owned and operated by Webber. In 2009, Webber incorporated the business as HK Parts Inc., which used the same website. Webber was the sole shareholder of HK Parts Inc.
According to the indictment, on or about June 20, 2007, Webber signed a stipulated settlement agreement with the United States in which he agreed never to apply for a federal firearms license or be a responsible person for any federal firearms licensee or business, and that he would not engage in the business of manufacturing, importing or dealing in firearms. However, during the years 2007 through 2012, Webber individually and through HK Parts and HK Parts Inc., sold firearms and firearms parts and accessories.
Webber is charged with filing false individual income tax returns for 2007 through 2010, which underreported the gross receipts of the business, and with filing false income tax returns for an S Corporation for 2009 and 2010, which also underreported the gross receipts of the business.
A trial date has not been scheduled. If convicted, Webber faces a statutory maximum sentence of 33 years in prison and may be subject to fines.
This case was investigated by IRS-Criminal Investigation and the Bureau of Alcohol, Tobacco, Firearms and Explosives. The case is being jointly prosecuted by the U.S. Attorney’s Office for the District of Utah and the Justice Department’s Tax Division.
According to Guns.com, Webber had previously agreed to never apply for a Federal Firearms License (FFL) and never engage in the business of buying and selling guns due to an agreement reached after he failed to follow some clerical steps in the transfer of a privately owned machine gun. The DOJ/ATF is alleging that he broke this agreement when he used third party FFLs to do gun transfers related to the business.
We’ll have to keep an eye on this one to see how it plays out, but it’s another example of how tricky US gun laws can be when it comes to running a gun related business.