A straw purchase is a situation in which a buyer uses an intermediary (a "straw purchaser") through which to acquire one or more firearms from a licensed firearms dealer. The purpose is to hide the identity of the true purchaser or ultimate possessor of the firearm(s). Straw purchases and theft are common ways that prohibited people, such as convicted felons, obtain firearms.
In the United States, straw purchases are a felony violation of the Gun Control Act of 1968 for both the straw purchaser (who can also be charged with lying on Federal Form 4473) and the ultimate possessor.
Its also important to note that a straw can still occur (in the BATFEs eyes)
even with marginal evidence, or no clear evidence of ill intent by either party.
The Michael Lara case is a perfect example of this. He bought a gun for a friend
in trouble, and ended up getting brought through the ringer as a result.
http://judiciary.house.gov/OversightTestimony.aspx?ID=582
Yes, I believe he was acquitted, but keep in mind the
cost. The point I'm trying to make is, beware of marginal
arrangments.... becuase if the BATFE gets a hair up its ass, then
bad things will start happening, regardless of what the intent of the parties
involved is. Those guys are typically like a chiuaua on a porkchop. They
will attack it regardless of wether or not they have a real case, so it's best
not to even give them a scent of the meat.
And yes, I know that case is a series of multiple bad consequences.... but it's still disturbing. It shows you
how little/petty things the feds are willing to prosecute over.
-Mike