Yeah, there may have been 2 screw-ups...
(not that it helps any to say that now)
The selector by itself doesn't determine if a FAL is a machinegun. In the case of a G series, neither does the receiver. So in their case, it's just a question of the function, and "collection of parts" which affect the status.
This is a very rare "classification" scenario here in the US, but it could have been of great benefit to said heir, because even
if someone
did convert it to select-fire
by swapping parts, that was all they
physically did. The receivers of a select-fire FAL and a G series import are the same. That's why ATF determined (after import) that they
should have been considered "machineguns," and
subsequently exempted them from being machineguns if they are not select-fire capable.
You couldn't get into any more trouble by swapping it back than you could by destroying it. Possession is possession. Select-fire parts can be traded out very quickly. If it isn't your fault they were installed, and you don't have them anymore, then it's probably not your fault (unless you found out and didn't do something about it).
Here's a worst-to-best-case scenario: (all one case lol)...
Guy has a G series FAL whose serial number is on the BATFE exemption list (which if I'm not mistaken is each and every officially-imported one). He obtains select-fire components and swaps them out, which is
ILLEGAL. He now
illegally possesses a machinegun. He dies. Heir obtains machinegun, but only knows it's a G series FAL. Then he realizes it is select-fire. Heir brings it to [his friend, or a local Class II or III SOT]. They inform him it is in an unlawful configuration.
Action is taken to rectify the problem. (Either the SOT trades him some semi-auto parts for the installed parts, or the friend swaps them and does not own any FAL himself, or they go straight into the nearest dumpster, etc.) Another form of corrective action is, of course, to destroy the receiver. Then you are short one G series FAL, which is obviously irreplaceable due to its unique physical and legal condition.
I'm not saying that would all be 100% completely legal; I'm just saying it wouldn't be any more legal to destroy the receiver and act like you never possessed a machinegun.
The ATF is not stupid. They know when people did things on purpose. So do lawyers, usually (on each side of the courtroom).
If it wasn't physically capable of select-fire AND got its receiver destroyed, well then that's just epic fail. A very tragic story indeed.
http://www.gseriesfal.com/