Feds Revoke Company’s License To Manufacture Firearms Over Record Slip-Up

The conviction of Malkowski and sanctions against Stage should serve as a warning to gun manufacturers of the increased scrutiny they are being subjected to by federal authorities. They would be wise to make sure simple mistakes in record keeping are fixed before the ATF uses them as a pretext to move against them.

“The guilty plea, Stag said in a prepared statement, was in the best interest of the company and its approximately 100 employees. Malkowski is in advanced talks with a New York private equity firm to sell the company, Stag and the government said.

‘For the first time in Connecticut, and there have only been a few of these prosecutions throughout the nation, a large manufacturer is pleading guilty to a felony charge relating to record keeping violations,' Connecticut U.S. Attorney Deirdre M. Daly said Tuesday. The company will pay a fine of $500,000 as part of the plea agreement.

For his guilty plea, Malkowski, 37, will pay a $100,000 fine and will not be permitted to own, operate or manage a firearms company.

As we noted earlier this year, Stag Arms was raided for stupidity, not criminal enterprise. They did not properly serialize and track lower receivers at the time of their creation as required by law, and are receiving a harsh penalty as a result.

It is unclear at this time what will become of the company or it’s employees as a result of the plea deal.”

Source: Bearing Arms



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