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Department of Justice
Office of Public Affairs
FOR IMMEDIATE RELEASE
Thursday, December 7, 2017
Utah Business Owner Sentenced to Four Years in Prison for Illegally Dealing Firearms and Filing Fraudulent Tax Returns

Illegally Sold Firearms Over the Internet; Underreported More than $10 Million

A Salt Lake City, Utah, man was sentenced to 4 years in prison today for dealing in firearms without a license and filing fraudulent tax returns, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg, of the Justice Department’s Tax Division and U.S. Attorney John W. Huber for the District of Utah.



According to documents and evidence presented to the court, Adam Michael Webber reached an agreement with the United States in 2007 that barred him from applying for a federal firearms license or engaging in the business of dealing firearms. Between 2007 and 2008, Webber was the sole owner of HK Parts, an Internet gun parts business. In 2008, Webber added firearms to his product line and primarily sold them on the Internet at hkparts.net. He also sold firearms and firearm parts out of the basement of his residence. Webber never held a federal firearms license and, from 2009 through May 2012, illegally sold firearms under the auspices of a company owned by another Utah resident. Webber also sold firearms to undercover Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents on two separate occasions, including selling one firearm for cash in a parking lot. In May 2012, approximately $180,000 in cash, a 70 pound silver bar, silver coins, and firearms were found at Webber’s residence during the execution of a search warrant.



From 2007 through 2010, Webber earned more than $10 million in gross receipts from the sale of illegal firearms and his firearm parts business. For those years, he reported only a total of $183,397 in gross receipts, underreporting his earnings on his 2007, 2008 and 2009 individual income tax returns and underreporting gross receipts on his 2009 and 2010 corporate tax returns. In 2010, Webber paid $670,000 in cash for a new home in Salt Lake County.



In addition to the term of prison imposed, U.S. District Court Judge Dee Benson ordered Webber to serve three years of supervised release. Webber paid $1,817,887.05 in restitution to the Internal Revenue Service prior to sentencing, and he was ordered to pay a $100,000 fine. Webber was convicted by a jury of the tax offenses in September 2016 and later pleaded guilty to the firearms count. He agreed to forfeit more than 300 seized firearms.



Acting Deputy Assistant Attorney General Goldberg and U.S. Attorney Huber commended special agents of ATF, IRS Criminal Investigation and Homeland Security, who conducted the investigation, and AUSAs Cy H. Castle and J. Drew Yeates and Paralegal Heather Nielson of the U.S. Attorney’s Office and Trial Attorney Kathleen M. Barry of the Tax Division, who prosecuted the case.



Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.

Source

Appears that he got is easy.

Without going into detail, perhaps three years ago I had a conversation on the phone with Mr. Webber, incredibly nice guy. We talked for nearly 20 minutes, only five minutes was actual business related. Just goes to show that some guys are really good at putting on an act.

I also don't understand how his website is still operating???

Seems like the wife or a brother was allowed to continue to run the parts business, but I can’t remember where I read this some time ago. Goes back a few years to when he’s busted 3 or 4 years ago.

He is a really nice guy. I've bought parts from him. He lives/lived on the other side of the mountain from me. He always shipped orders out fast. Too bad.