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Since the new rules have been in place, the number of people applying for firearms licenses has plummeted.
Also in 1857, another mandate was issued requiring a firearms license in order to carry lawfully.
But there are 550 individuals in New York City with Federal firearms licenses and no local authorization.
The ATF reports that between 50% and 75% of the vendors at gun shows possess a Federal Firearms License.
In some states in the U.S., pawnshops with firearms licenses sell pistols and rifles to customers who meet state and federal acquisition criteria.
According to the Firearms Center, 2,238 firearms licenses have been refused or revoked since the law came into effect, at least 20 times the number of revocations in the previous five years.
Under Federal law, gun collectors and others who do not have Federal firearms licenses can legally sell guns at gun shows - and they are not required to do background checks on buyers, as gun stores must.
In July 2003, the ATF revoked the federal firearms license of Brian Borgelt, a former Staff Sgt. with the U.S. Army Rangers and owner of Bull's Eye Shooter Supply.
In addition, 14 percent of the guns used in crimes by juveniles and young people were sold by private sellers without Federal firearms licenses and 10 percent were sold at gun shows, flea markets or through ads in gun magazines, none of which require buyers to show identification or undergo background checks.