Federal Circuits, 9th Cir. (January 29, 1958)
Docket number: 15653
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Gregory S. Stout, San Francisco, Cal., for appellants.
Lloyd H. Burke, U.S. Atty., John Lockley, Bernard Petrie, Asst. U.S. Attys., San Francisco, Cal., for appellee.Before ORR, FEE and CHAMBERS, Circuit Judges.ORR, Circuit Judge.In a thirty two count indictment appellants were charged with violations of section 5861 of the Internal Revenue Code of 1954, 26 U.S.C.A. 5861:Appellant von Eichelberger, on eight counts of failure to pay the tax imposed by section 5811 of 26 U.S.C.A., on eight counts of transferring firearms not in pursuance of the written order as provided by section 5814, 26 U.S.C.A., on eight counts of possession of firearms which had been unlawfully transferred to him in violation of section 5851 of 26 U.S.C.A.Appellant Terzian, on eight counts of possession of firearms which had been illegally transferred to him in violation of section 5851, 26 U.S.C.A.The case was tried before the court without a jury. Appellant von Eichelberger was found guilty on 21 counts and appellant Terzian on 7 counts.We first consider the conviction of appellant von Eichelberger on charges that he was in possession of firearms which had been transferred to him in violation of section 5851.There is no dispute that von Eichelberger had possession of the firearms since prior to 1950 and that his possession was obtained in violation of sections 5811-5814. However, it is contended that his having obtained such possession more than six years prior to the date of the indictment, 26 U.S.C.A. 6531, bars his conviction on the possession counts, because the statute of limitations began to run from the date of the illegal receipt of the firearms. It will be noted that the essence of the offense as charged in the counts of the indictment now inder consideration in possession. Therefore it seems clear that the offense was a continuing one which began on the date the guns were received by von Eichelberger and continued to December 5, 1956, the date set forth in the indictment. Present possession of a firearms is prohibited.Von Eichelberger transferred possession of the guns to Terzian under a conditional sales contract. Hence, it is contended by von Eichelberger, there was no transfer within the definition of 'transfer' contained in the statute. It is agreed that no tax was paid, no order form was executed, and that the statutes apply to the guns in question. But, queries von Eichelberger, is a 'conditional sale' a 'sale'? We enlarge the query by adding the words 'within the contemplation of the statute defining the terms 'transfer' or 'transferred'? ' The statute reads: 'The terms 'to transfer' or 'transferred' shall include to sell, assign, pledge, lease, loan, give away, or otherwise dispose of.' 26 U.S.C.A. 5848(10). This definition encompasses a rather broad field and denotes a purpose on the part of Congress to cover all transactions in which the possession of firearms, such as those with which we are here concerned, passes.Technically, an ingenious argument can be made (appellant's counsel has not failed in this respect) in support of the proposition that inasmuch as the statute does not use the term 'conditional sale contract' such a transfer does not come within its compass. We think such a construction rather strained.It is apparent that Congress in enacting Chapter 53 of the Internal Revenue Code intended to prohibit the physical transfer of firearms except within its terms. This is evidenced by the fact that it added to the definition the all-embracing provision 'or otherwise dispose of'. The use of the word 'sale' should not be held to have a fixed and invariable meaning but should be given a narrow or broad meaning according to the context of the surrounding circumstances. W. F. Boardman Co. v. Petch, 1921, 186 Cal. 476, 482, 199 P. 1047, 1050. It will generally be given a broader significance where the meaning of the law demands it. Mansfield v. District Agr. Ass'n, 1908, 154 Cal. 145, 147, 97 P. 150.It is apparent that Congress intended to regulate the physical transfer of firearms notwithstanding legal title may not have passed. This is evidenced by the fact that it included therein the terms assignments, pledges, leases and loans of firearms, which are without question instances of the parting of possession but retention of title.Congress had a firm purpose in passing the statute to enable the Federal Government to supervise the acquisition of firearms so that those who would subvert their use to an evil purpose could be circumvented. Cf. United States v. Adams, D.C.S.D.Fla.1935, 11 F.Supp. 216.While the facts in the cases of Montgomery v. United States, 4 Cir., 1945,Try vLex for FREE for 3 days
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