Aguila, I watched the original Committee hearings - the agents in question DID testify that they had gun runners in sight about to transfer, asked for permission to arrest/interdict, and were ordered from above to allow the firearms to leave surveillance unhindered. They did testify they were ordered to let firearms "walk" out of their sight into Mexico, unlike the first operation, Wide Receiver, which the guns were watched all the way to the border and the Mexican authorities were advised...and did nothing, which was one major reason why Wide Receiver was terminated. One ATFE agent during the first hearing did testify he tried to build a tracking device, but it failed due to off the shelf components, limited range and limited battery life.
The agents on the ground testified they were repeatedly ordered to suspend surveillance and to allow known criminals to walk the firearms across the border, sometimes over strenuous objections by the agents testifying.
Yes, I remember seeing the report on F&F firearms found in Phoenix and Glendale, as well as other Arizona jurisdictions. Some of them are smuggled in, others probably walk in with the cartel enforcers along that lovely fed.gov superhighway gifted to them up through the state, the one marked "US Citizens stay out". That's not too many miles from my home.