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Three excerpts:
"From 2008 through 2014, states handled about 68 million of the more than 119 million NICS transactions. To help ensure the completeness of the NICS database, states are required to update it with supporting documents when a prospective purchaser attempts to buy a firearm and is approved, denied, or delayed. We reviewed a judgmental sample of 631 state processed transactions and determined that in 630 of them the states did not fully update the NICS database or inform the FBI of the transaction’s outcome. These failures mean the NICS database is incomplete, and increases the risk that individuals found by states to be prohibited purchasers could be able to purchase firearms in the future."
"Our audit also revealed a group of NICS transactions the FBI denied but ATF believed should have been approved because of a disagreement regarding the definition of a “Fugitive from Justice,” a category that disqualifies prospective gun purchasers. This disagreement was referred to the Department’s Office of Legal Counsel (OLC) in 2008, and OLC provided informal advice in July 2008. In August 2010, the FBI requested formal reconsideration of that advice, but 6 years later OLC still has not rendered a decision. We believe this issue should be addressed as soon as possible. Of those transactions that were denied by the FBI in this category from November 1999 through May 2015, there were 49,448 instances in which ATF did not agree with the FBI’s denial determination. ATF tracked these cases as FBI denials but, because ATF did not agree with that determination, ATF did not attempt to recover the firearm in the 2,183 instances in which the firearm was transferred."
"We found that the number of NICS denial prosecutions has dropped substantially since FY 2003, when 166 subjects were accepted for consideration of prosecution. Between FY 2008 and FY 2015, an 8 year period, ATF formally referred 509 NICS denial cases that included 558 subjects to USAOs for possible prosecution. The USAOs accepted for consideration of prosecution 254 subjects (or less than 32 subjects per year), declined to prosecute 272 subjects, and decisions for 32 were pending at the time of our review."
https://oig.justice.gov/reports/2016/a1632.pdf
"From 2008 through 2014, states handled about 68 million of the more than 119 million NICS transactions. To help ensure the completeness of the NICS database, states are required to update it with supporting documents when a prospective purchaser attempts to buy a firearm and is approved, denied, or delayed. We reviewed a judgmental sample of 631 state processed transactions and determined that in 630 of them the states did not fully update the NICS database or inform the FBI of the transaction’s outcome. These failures mean the NICS database is incomplete, and increases the risk that individuals found by states to be prohibited purchasers could be able to purchase firearms in the future."
"Our audit also revealed a group of NICS transactions the FBI denied but ATF believed should have been approved because of a disagreement regarding the definition of a “Fugitive from Justice,” a category that disqualifies prospective gun purchasers. This disagreement was referred to the Department’s Office of Legal Counsel (OLC) in 2008, and OLC provided informal advice in July 2008. In August 2010, the FBI requested formal reconsideration of that advice, but 6 years later OLC still has not rendered a decision. We believe this issue should be addressed as soon as possible. Of those transactions that were denied by the FBI in this category from November 1999 through May 2015, there were 49,448 instances in which ATF did not agree with the FBI’s denial determination. ATF tracked these cases as FBI denials but, because ATF did not agree with that determination, ATF did not attempt to recover the firearm in the 2,183 instances in which the firearm was transferred."
"We found that the number of NICS denial prosecutions has dropped substantially since FY 2003, when 166 subjects were accepted for consideration of prosecution. Between FY 2008 and FY 2015, an 8 year period, ATF formally referred 509 NICS denial cases that included 558 subjects to USAOs for possible prosecution. The USAOs accepted for consideration of prosecution 254 subjects (or less than 32 subjects per year), declined to prosecute 272 subjects, and decisions for 32 were pending at the time of our review."
https://oig.justice.gov/reports/2016/a1632.pdf