ATF raids Parker City Indiana gun shop; owner arrested

[andrewjs18]

*video at the link*

link-
http://www.wthr.com/story/14430233/a...-city-gun-shop

Parker City - The owner of a gun shop is under arrest after federal officers raided his business.

Over 75 agents and support staff with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) executed a search warrant and confiscated what appear to be thousands of guns from Ludco Gun Shop. Agents could be seen loading the weapons into boxes onto a truck.

Police arrested Ludco's owner, Charles Frederick Ludington. Ludco customers, who know Ludington as "Fred," say he's well-known in the community.

In a press conference Tuesday, US Attorney Joe Hogsett said a routine ATF audit found that Ludington had acquired but could not account for 997 firearms recorded in his inventory. An undercover investigation dating back to January 2011 alleges that Ludington sold firearms in "straw purchases." That's when someone other than the actual purchaser of the firearm fills out the mandatory paperwork.

Agents found 93 firearms in Ludington's physical inventory that had not been logged into the record. In 25 instances, a firearm was found in physical inventory but the books reflected the firearm had been sold.

Inspectors also found documents "suggesting that, on at least seven occasions, Ludco sold firearms to persons who were prohibited by federal law from possessing them."

Ludington was also cited with selling a handgun to an out of state resident in violation of federal law, and numerous other regulatory and record keeping violations. At the conclusion of the audit, the inspectors issued Ludington a warning not to engage in such unlawful conduct in the future.

Because of the audit, an undercover investigation was launched in January 2011. The ATF says on five separate occasions between January and March 2011, undercover detectives posing as Ludco customers were sold firearms in "straw purchases." Detectives say Ludington sold a firearm to a man whom Ludington knew to be a convicted felon.

Federal officials allege that Ludington also sold several weapons to an undercover ATF agent acting as a straw purchaser for a convicted felon.

Detectives executed search warrants at Ludco Gun shop, Ludington's home and also at a storage facility owned by Ludington. In all, agents seized over 3,000 firearms along with records.

"The government is seeking forfeiture of all the firearms on grounds that Ludington's business is permeated with an active scheme to defraud federal regulators and violate federal law, and that proceeds of unlawful firearms sales were used to maintain Ludco's extensive inventory of firearms," Hogsett said in a statement.

If convicted of the charges, Ludington faces a maximum of 10 years in prison and a $250,000 fine. An initial hearing will be scheduled for a later date in Indianapolis before a U.S. Magistrate Judge.

[coppery]

wow, that just sucks. funny thing is that the other day i saw a big ATF truck come off the 476 near Villanova.

[dc dalton]

Three sides to every story AND I trust ATF about as far as I can throw them!

And they * say * they cited him and told him not to do it again? To me that says they found nothing but minor paperwork problems .... e.g. a 'snipe hunt' (and giant waste of taxpayer money), found SHIT but then had to cover their asses with something the press could run with.

[C5pilot]

wow, that just sucks.

It only sucks if it's not true. Unless of course if you're referring to how bad it makes guns look in general. Then I'm with you.

[Ten*K]

Merely a gun walker diversionary tactic...

[coppery]

It only sucks if it's not true. Unless of course if you're referring to how bad it makes guns look in general. Then I'm with you.

well that, and also how he knows what he did was bad, and now his screwed without possibility of parrol. sucks to be that guy.

[DC2.2GSR]

"Over 75 agents and support staff..."

Wow, that seems almost necessary.

[middlefinger]

From today's press release from the U.S. Department of Justice: INDIANAPOLIS — Joseph H. Hogsett, United States Attorney, announced today that Charles F. Ludington, 61, Parker City, Ind., was charged with violating numerous federal firearms laws following a thorough three month investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).

As a result of this audit, an investigation was initiated in January of 2011. On five (5) separate occasions between January and March 2011, undercover Indiana State Police detectives, ATF agents, and a confidential informant went to Ludco posing as customers.

On each of those occasions, Ludington sold firearms despite the fact that someone other than the actual purchaser of the firearms was filling out the mandatory paperwork. This practice is commonly referred to as a “straw purchase.” In three (3) of those instances, an informant (who is also a convicted felon) informed Ludington that he wanted to purchase a firearm.

Ludington knew the purchaser was a convicted felon, yet sold the firearm anyway. Ludington assisted an undercover ATF agent, acting as a straw purchaser, in filling out the required paperwork for the firearms the convicted felon wanted to buy. Ludington allowed the felon to purchase two 9mm pistols, two 7.62x39mm assault rifles, a 9mm assault rifle, and a .45 caliber revolver capable of firing a 410 shotgun shell.

While the undercover ATF agent was filling out the required paperwork, Ludington asked the convicted felon whether he needed any ammunition. The convicted felon handed Ludington the money to complete the purchase of the firearms.

According to the allegations in the criminal complaint, Charles F. “Fred” Ludington (Ludington) is the sole owner of Ludco Gun Shop, a federally licensed firearms dealer located in Parker City. Between August and November of 2010, Ludington’s firearms dealership underwent a routine, periodic audit conducted by agents of the ATF.

During the course of that audit, ATF Inspectors discovered that Ludington had acquired but could not account for 997 firearms that were recorded in his inventory. Ninety-three (93) firearms were located in the physical inventory that had not been logged into the A & D record.

In twenty-five (25) instances, a firearm was found in physical inventory but the A & D books reflected the firearm has been sold.

Additionally, inspectors uncovered documents suggesting that, on at least seven (7) occasions, Ludco sold firearms to persons who were prohibited by federal law from possessing them. Ludington was also cited with selling a handgun to an out of state resident in violation of federal law, and numerous other regulatory and record keeping violations. At the conclusion of the audit, the inspectors issued Ludington a warning not to engage in such unlawful conduct in the future.

http://www.thestarpress.com/article/...yssey=obinsite

[eXceLon]

And they * say * they cited him and told him not to do it again? To me that says they found nothing but minor paperwork problems

"Paperwork problems" would be the first sign that something was not right, which prompted a more serious investigation.

We'll see what the trial returns of course, but it sounds legit to me.

It's not as though there aren't real "bad apples" out there.

"Over 75 agents and support staff..."

Wow, that seems almost necessary.

If you need to catalog and box up thousands of firearms in a couple of hours, that sounds about right.

Imagine recording the serial number of every single one of those guns, comparing them to the shop's bound book, and cataloging them all as evidence. That's going to take some serious time and manpower.

[DirkStruan]

I was just at that shop in March, and I bought several guns there years ago when I still lived in the area. It's the only gun shop in the area, aside from a handful of crummy pawn shops. And it was absolutely PACKED with guns - the 3000 guns cited in the news articles is not an exaggeration at all.

Everything seemed on the up-and-up when I visited the place. If what the news articles say are true, the owner must be particularly stupid. Making such high-risk sales while you have a near-monopoly on guns in the region is dumb as all hell. Nothing I've read has said whether or not it was Fred that made the illegal sales or one of his employees. I'll be watching the news for updates, I'd like to see how this plays out.