Man Who Sold Guns at Reno Gun Shows Charged with Unlicensed Sale of Firearms
SACRAMENTO, Calif. — A federal grand jury returned a six-count indictment last Thursday against Gary Osterhout, 65, of Sparks, Nevada, charging him with unlawful dealing in firearms and five counts of unlawful sale of a firearm to an out-of-state resident, U.S. Attorney McGregor W. Scott announced.
According to court documents, Osterhout routinely purchased guns from federally licensed firearms dealers and then turned around and sold the guns for a markup at unregulated guns shows throughout Nevada. Osterhout sold guns without filling out the required ATF paperwork and without conducting a background check. During the four-year period between March 2015, and February 2019, Osterhout purchased over 290 guns. At least 14 of those guns were later found by law enforcement as part of criminal investigations.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Justin Lee is prosecuting the case.
If convicted, Osterhout faces a maximum statutory penalty of five years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.