portation to the United States under appropriate Department of State licenses issued by the Office of Munitions Control. The rifles in question are overwhelmingly of the bolt-action type as used during World War I and World War II, such as the U.S. Springfield, the British Enfield, the German Mauser, etc. They are all in the .30-caliber range, between the 6.5millimeter Swedish, equivalent of a .256, to the .303 British and 8-millimeter Mausers. These cartridges all are sufficiently heavy to bring down most medium game at good ranges. These rifles reach the American sportsman through two different channels of distribution and thus affect two types of businesses: on one hand through the large merchandising companies such as Sears, Montgomery Ward, Gambie Skogmo; on the other, through small gunsmiths and gun dealers. Many member stores, in chains such as Western Auto, are actually individually owned thus constitute individual small enterprises, only loosely integrated in a chain for purchasing economy. Whenever a rifle is sold, either in a small gun store or a large department store, the customer will buy an addition $10-$20 or more accessories such as cartridges, a sling, a gun case, maybe an adjustable sight, ete Many shooters, for reasons of economy or in quest of ultimate precision, prefer to load their own cartridges and will buy powder, bullets, primers, and reloading tools. Thus the sale of the original military rifle for $25 or $40, triggers off fol lowup sales of several times the original purchase price. These articles are manufactured by small manufacturing enterprises all over the United States, such as Fajen in Warsaw, Mo., making stocks, Redfield in Denver, Colo., and Williams in Davison, Mich., making sights, Hornady in Grand Island Nebr., making bullets, as well as hundreds more making slings, gun cases, reloading dies, etc. Interarmco sells directly to approximately 6,000 small gun dealers and gunsmiths in 50 States. One of our accounts, G. R. Douglas in Charleston, W. Va... employs some 35 men, turning out some of the most accurate precision barrels in the world. During the past 6 months we have sold to him about 900 military actions of one type alone, the German Mauser 33/40. Mr. Douglas fits his precision barrels to our actions and sells them to the discriminating sportsmen who subsequently have them stocked and finished by a gunsmith of their choice. One aspect of this type of business is that companies such as Winchester and Remington have consistently refused to sell their actions to gunsmiths until ap proximately 1 year ago; a gunsmith, if he wanted to make a custom rifle, had to buy either a military surplus action or a foreign commercial action imported from Finland, Sweden, or Belgium. Today, Winchester Model 70 actions are available for the price of $115 each (note that the entire M-70 rifles cost $139 complete). A small gunsmith can get this action at a discount of 25 percent or at about $76.25. In comparison, new, commercial actions such as a Finnish-made Sako, cost $54. On the other hand, we charge between $14.50 and $24 for our military Mauser actions, depending on the type. Another reason why the trade likes military surplus rifles is because of their attractive price. In the same manner as a lower price Kodak camera provides the first step for a hobbyist who may eventually wind up owning several high-priced cameras plus innumerable lenses, military surplus rifles provide the beginner with a natural source with which to start out on his hobby. Military surplus rifles, as is, sell between $25 and $40 each; sporters based on military rifle actions will sell from $30 to $70. A new Winchester M-70 costs $139, other models of center-fire rifles as made by other New England manufacturers, around $100, and as low as $60. Secondhand, they will sell for as low as half or two-thirds of their new price. The price range clearly overlaps. One factor which contributes greatly to the popularity of military rifles is the "sporterization" aspect. According to a 1959 survey 44.7 percent of militaryrifle buyers modify them by cutting down the stock and the barrel, replacing the sights and generally lightening and dressing up the weapon. We ourselves are selling more and more "sporterized" military rifles to the large chains and lesser quantities of "as is" rifles. Some of these sporters are being made for us right in New Haven, Conn., by American labor at the rate of about 1.500 per month. We expect to sell between 35,000 and 40,000 sporterized military rifles this year to the various department stores, chainstores, and so forth.. Based on Department of Commerce figures, as found in the Foreign Trade Reports, I personally estimate that approximately 2 million military surplus rifles have been imported during the past 10 years and they have caused a large increase in the volume of these small gun businesses to the extent that, according to an article published in the April 1965 issue of the Shooting Industry “* * * better than 50 percent of his gunsmithing service and work is in the sporterizing field, that better than 80 percent of his inletted stock sales are for surplus arms." Contrary to what certain administration witnesses have tried to establish, military surplus imports do not consist largely of destructive devices such as mortars, bazookas, AT rifles, artillery pieces, and so forth. A search of our records indicate that during the past 12 years Interarmco has imported 4,524 such devices, an average of 377 yearly. I doubt very much that all our competitors put together have imported the same over the years. These imports are insignificant and we would be the first to urge that such items be included in the provisions of the National Firearms Act, thus making them subject to registration as well as the $200 transfer tax. Only a small percentage of military surplus is really sold through mail-order channels proper; of our total U.S. sales volume, only between $100,000 and $150,000 yearly are sold through the mail or railway express at retail prices to individuals who are not federally licensed dealers. For instance, during calendar 1964, our subsidiary, Hunters Lodge, sold approximately 2,300 rifles and as many pistols, and we are by far the largest such company in the United States. Senator DODD. Very well. Thank you again, Mr. Cummings. Senator DODD. The hearings are adjourned. (Whereupon, at 11:30 a.m., the hearing was closed.) APPENDIX Hon. JAMES O. EASTLAND, AGENCY COMMENTS DEPARTMENT OF STATE, DEAR SENATOR EASTLAND: Thank you for your letter of April 29, 1965, requesting a report of the Department on S. 1592, a bill to amend the Federal Firearms Act. The purpose of S. 1592 is to regulate the interstate traffic in firearms in the United States and to restrict the importation of surplus military weapons and certain other type firearms into the United States. The Department does not consider that it is within its province to comment upon the amendments to the Federal Firearms Act as they relate to the matter of public safety or other issues of domestic concern. The Department of State would defer to judgment of the Departments of Justice and Treasury in this area. The Bureau of the Budget advises that from the standpoint of the administration's program, there is no objection to the submission of this report. If I may be of further assistance to you in this matter, please do not hesitate to let me know. Sincerely yours, DOUGLAS MACARTHUR II, Assistant Secretary for Congressional Relations (For the Secretary of State). GENERAL COUNSEL OF THE DEPARTMENT OF COMMERCE, Hon. JAMES O. EASTLAND, Chairman, Committee on the Judiciary, DEAR MR. CHAIRMAN: This is in further reply to your request for the views of this Department with respect to S. 1592, a bill to amend the Federal Firearms Act. The Federal Firearms Act regulates the movement of firearms in interstate and foreign commerce. Under that act, dealers and manufacturers who ship, transport, or receive firearms in such commerce are required to be federally licensed. They are forbidden to ship to (1) a retail purchaser in another State which requires a license to purchase a firearm, unless the purchaser exhibits such a license, or (2) any person whom they know or have reason to believe has been convicted of, or is under indictment for, a crime, or is a fugitive from justice. Likewise, convicted criminals, indictees, and fugitives are themselves forbidden to ship, transport, or receive firearms via interstate commerce. The act forbids shipments of stolen firearms and of firearms whose serial numbers have been defaced. S. 1592 would deny the use of the channels of interstate and foreign commerce to effect retail sales of firearms (commonly referred to as mail-order sales). As noted in the next paragraph, the bill would also regulate in a limited degree intrastate sales of firearms. The bill defines the term "firearms" to include destructive devices (grenades, bombs, mortars, and the like). Federally licensed dealers and manufacturers would be restricted in the sale of firearms by them on a local, over-the-counter basis. They could not sell pistols or revolvers to nonresidents of the State or to persons under 21 years of age, and 723 49-588-65 -47 would be required to make such efforts to ascertain the identity and residence of the purchaser as are prescribed by the Secretary of the Treasury (hereinafter referred to as the Secretary). In the case of a shotgun or rifle, the sale may not be made to anyone under 18 years of age. Federally licensed dealers and manufacturers may not sell firearms or ammunition to persons known or believed by them to be fugitives from justice, or convicted of, or under indictment for, a crime punishable by imprisonment for more than 1 year (excluding antitrust violations and similar economic offenses). The bill would also forbid all imports of firearms, but would empower the Secretary to make exceptions for: (1) firearms imported for scientific or research purposes or for use in the Defense Department's civilian marksmanship program; (2) antique or unserviceable firearms imported as curios or museum pieces; (3) firearms of a type and quality generally recognized as particulary suitable for lawful sporting purposes which are not surplus military weapons and the importation of which would not be contrary to the public interest; and (4) firearms previously taken out of the United States or a possession by the persons bringing in the firearms. The bill would forbid the transporting, shipping, and receiving of firearms across State lines by private persons except in certain specific situations. Thus an individual traveling interstate may transport or arrange for carriage of his rifle or shotgun for any lawful purpose. Similarly, a traveler could transport or ship his pistol or revolver for any lawful purpose other than sale, and in conformity with the laws of each State on the way, provided he did not acquire the weapon in the course of his travel. Again, an owner could ship his firearm to a licensed manufacturer or dealer (this would normally include gunsmiths) in another State for repair and return. We recognize that S. 1592 represents a major step forward toward effective control of firearms. We therefore strongly recommend the enactment of S. 1592. We have been advised by the Bureau of the Budget that there would be no objection to the submission of this report and further that enactment of S. 152 would be in accord with the program of the President. Sincerely, ROBERT E. GILES. Hon. WARREN G. MAGNUSON, FEDERAL MARITIME COMMISSION, Chairman, Committee on Commerce, U.S. Senate Washington, D.C. DEAR MR. CHAIRMAN: This is in reply to your request of February 23, 1965, for the views of the Federal Maritime Commission with respect to S. 1180, a bill to amend the Federal Firearms Act to prohibit the importation of a firearm into the United States without a license. Inasmuch as the bill does not affect the responsibilities or jurisdiction of the Commission, we express no views as to its enactment. The Bureau of the Budget has advised that there would be no objection to the submission of this letter from the standpoint of the administration's program. Sincerely yours, JOHN HARLLEE, Rear Admiral, U.S. Navy (Retired), Chairman. Hon. WARREN G. MAGNUSON, COMPTROLLER GENERAL OF THE UNITED STATES, Chairman, Committee on Commerce, U.S. Senate. DEAR MR. CHAIRMAN: In reply to your request of February 23, 1965, for our comments on S. 1180, a bill to amend the Federal Firearms Act to prohibit the importation of a firearm into the United States without a license, you are advised we have no information or comment to offer for your consideration with respect to the proposed legislation. Sincerely yours, JOSEPH CAMPBELL, Comptroller General of the United States. |