A construction worker from Layton pleaded not guilty Friday to charges he sold stolen military explosives to a federal undercover agent.

David Lynn Stevenson, 40, of Layton, was arrested by FBI and Defense Criminal Investigative Service agents in an undercover operation called "Punchout," developed to stop thefts from Hill Air Force Base.U.S. Magistrate Ronald Boyce ordered Stevenson released on a $5,000 signature bond pending a hearing on the case.

A grand jury indictment accuses Stevenson of selling stolen military explosives - including plastic explosives and blasting caps - to an informant on May 22, 1989. According to prosecutors, Stevenson said he obtained the explosives from "military explosive ordinance sources."

If convicted, he could be sentenced to 10 years in prison and fined $250,000.

In another, unrelated "Punchout" case earlier in the week, FBI agents arrested Paul E. Sherrick Jr., 33, former owner of P&L Firearms in Salt Lake City. He was accused of selling stolen military property, including combat clothing and other equipment taken from Hill Air Force Base.

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Sherrick was also released on his own recognizance and will have a hearing before a magistrate Monday morning.

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