Houston does have a problem and if the intel and law enforcement agencies are not crawling all over the area, well then . . .
http://www.debbieschlussel.com/14285/why-was-umar-abdulmutallab-in-houston-whom-did-he-visit-there-what-did-he-plan/
The literature is probably not illegal, it would have to be very specific, such as plans for a terrorist act, for it to be. But the AT-4 should have the BATFE burning the place down, as they would for any citizen found in possession of such a device.
Its no wonder Janet Napolitano and the rest of the Big zero administration is so quick to call gray what is obviously black and white. No FBI follow up? No laws broken so no big deal?
From Dave Macy referenced article
Hey that’s not a used AT-4 rocket launcher, that’s just some ‘faulty wiring’.
Imagine a half dozen jihaddi jr’s on the back of a flatbed with a load of these, zipping down I-10 targeting our refineries!