Ledd United States v. Gibson Products Co., Inc. U.S. District Court Southern District of Texas 426 ESupp. 768 (1976) Background and Facts Defendant corporation, Gibson Products Company, Inc., in this consolidated action stands charged in 19 counts with knowingly making false entries on ATF Form 4473 in con- nection with the sale of firearms to foreign citizens. In Cr. No. 76-B-262, the defendant Pedro G. Alvarodo was charged in five of said counts as a co-defendant with Gibson Products. Alvarado District Judge Cox. The Court, having heard al of the ew- pled guily to one count, and the other four counts in the indictmentdence, Ainds, beyond a reasonable doubt, that Gibson Produes were dismissed as to him, thus removing him from this prosecution. Company, Inc., has operated a depariment store located n Cr. No.76-B-393, this defendant, Gibson Products, was alone McAllen, Texas, for many years. In January 1969, Gibson Producs charged in the remaining 14 counts. These two consolidated actions were called for trial on November 8, 1976, and jury being waived, said actions proceeded to trial before the Court Body of Opinionhttps://d2vlcm61l7u1fs.cloudfront.net/media%2F251%2F251a1115-333b-4366-b08d-f8d07173441f%2FphpFlGhLw.png

1. Reason that the court gave for corporate employer to criminal liability for the employee’s crimes is based on the concept called “Respondeat superior” in civil law. It states that the party is responsible for the action of the agents. so, in this case , the company is responsible for the actions of the employee who made the illegal entries in the form 4473. Also, the employees come with-in the scope of the employer.
2. Yes, it is possible to imprison the corporate employer criminally responsible for an employer’s actions. however, this needs to be clearly investigated whether the employer was influenced by the management of the company or the employee acted on its own for the benefit of the company. if it was clearly investigated and if the former was proved by the lawyers, this is then acceptable. Even if it is not proved, employee’s crime is company’s crime as employee is the agent and employer is the party.
 
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