Our investigation found that 16 of 17 (94%) of the federally licensed dealers we approached at gun shows were willing to sell to someone who appeared to be a straw purchaser.
BREAKING THE LAW
Licensed dealers cannot allow someone to fill out the paperwork and undergo the background check if the dealer knows the person is not the actual buyer of the gun. When a dealer knowingly sells a gun to a straw purchaser – at a store or at a gun show – he or she is breaking a federal law.
In 2000, ATF found that “straw purchasers represent a significant overall crime and public safety problem.” 46% of their gun trafficking investigations involved straw sales and straw sales were connected to nearly 26,000 illegally trafficked guns.
According to a 1999 federal report, licensed dealers commonly engage in straw sales at gun shows. This may be, in part, due to competition from private dealers, who are free to complete sales without background checks.
Our investigation found that straw purchasers can easily purchase firearms from licensed dealers at gun shows.
THE INTEGRITY TEST

Our investigation examined whether licensed dealers would sell to apparent straw purchasers.
Investigators followed a script that made it look like they were engaged in a straw purchase. In each case, a male investigator made it seem like the gun was intended for him, holding the gun, inspecting its size, weight, and feel, and verbally expressing preferences.
At the very end of the transaction, a female investigator, who took no part in any discussion about the gun, was called over and proceeded to fill out the paperwork necessary to purchase the gun. The male investigator paid for the gun. According to ATF, dealers should end the transaction once this occurs.
WHAT WE FOUND
Out of the seventeen straw purchase simulations conducted, only one dealer voided the sale when the investigator posing as a straw purchaser started to fill out the paperwork.
16 out of 17 licensed dealers were willing to sell to someone who appeared to be a straw purchaser and they sold 16 semi-automatic handguns, including a .45, a .40, a .380 and thirteen 9 mm with prices ranging from $169 to $491.
Dealers clearly understood that a second person who did not select the gun would be undergoing the background check. In many cases, dealers welcomed the female investigator posing as a “straw” and explained the paperwork. Others simply acknowledged the switch and provided the paperwork to be completed.
In nearly every transaction, the gun was handed back to the man, even though the woman had filled out the paperwork. In 15 of 16 occasions, the dealer accepted cash from the male investigator, who did not undergo a background check.
NEXT- The Loophole: Unlicensed private dealers who illegally engage in the business