This is a result of Platkin’s overzealous pursuit of anybody in the firearms industry. FSS was targeted for allegedly insufficient secure storage and 2 other FFLS were pursued because they didn’t make ‘sufficient checks’ when selling non-controlled items under the new nuisance law.
See these older threads:
NJ OAG Sues 2 NJ FFL’s for selling rifle ammunition without requiring ID
NJOAG Announces Settlement With FSS Armory Over 2023 Firearms Theft