Correct - NJ law prohibits possession of hollow-point ammunition, except in certain circumstances. However, the NJ statute reads:
"Any person, other than a law enforcement officer or persons engaged in activities pursuant to subsection f. of N.J.S.2C:39-6, who knowingly has in his possession any hollow nose or dumdum bullet"
Further, the amended LEOSA (amended in 2010 as S.1132) provides protection from state laws on certain types of ammunition. Specifically:
However, the Federal law does extend the exemption to allow the carriage of ammunition “not
expressly prohibited by Federal law or subject to the provisions of the National Firearms Act.”
This means that qualified active and retired law enforcement officers may carry ammunition in
States which may have prohibited the possession of certain ammunition by persons not actively
serving in law enforcement within that State.
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The specific statute defines 'firearm' to include: "ammunition not expressly prohibited by Federal law or subject to the provisions of the National Firearms Act".
Therefore, the amended S.1132 permits you, under LEOSA, to carry HP ammo.