I have access to a lower that is marked LEO. The dealer (FFL) claims that he has a statement from the ATF that since the lower was never built into an assault rifle, he's allowed to sell it to the public, and built into firearms, as long as they conform to the POST BAN regulations. What do you guys think? OK to buy or should i be concerned?

Thanks! Bifidfish

Good post Troy. That's exactly correct. A LEO marked lower can't be sold to the public if it was stripped down by the FFL solely for resale. It must come from the police orginization or the LEO who owns it and must be in post ban form. I would buy it only if you can prove a chain of custody, so to speak, to make sure it came from one of the formentioned legal sources before it was stripped down for civillian sale.

Are you saying that *no* FFL could sell the lower?
Suppose an LEO/department/agency had, oh, say a dozen restricted LE carbines in inventory, then decided to go with shotguns instead, and sold them to their local gun shop. Could that FFL then remove the AWB-offending bits and sell the lowers? What if the selling entity did this before selling them to the FFL?

It is my understanding that once these guns leave the supply channel (Colt->Distributor->FFL) and go into the world, they become just another gun except their preban configuration precludes general ownership. If, after they enter the marketplace, so to speak, they assume a post-ban configuration, they're just any other post-ban gun.

Of course, if the AWB dies next year, this should all be a moot point.

Quoted: Are you saying that *no* FFL could sell the lower? Suppose an LEO/department/agency had, oh, say a dozen restricted LE carbines in inventory, then decided to go with shotguns instead, and sold them to their local gun shop. Could that FFL then remove the AWB-offending bits and sell the lowers?

An FFL could sell a LEO marked lower to a non-LEO in the scenario you presented.

LEO markings do not a LEO weapon make. It's the number of evil features. Rock River Arms has sold me stipped LEO marked receivers.

If you want a receiver marked King of Siam let me know I will mark one up for you.

What if the lower is marked AR-15 specifically?  Would this be an issue since AR-15's are banned by name?

Wouldn't receivers built prior to the ban, but not assembled into complete weapons fall into the same category?  They are considered postban and you can build rifles on them as long as they are postban compliant.  If these receivers never left the factory as complete rifles, would they not just be considered another postban receiver?