CORRECTIVE REPRINT
HOUSE AMENDED
PRIOR PRINTER'S NOS. 307, 633, 1252, PRINTER'S NO. 1683
1617
No. 288 Session of 1983
INTRODUCED BY BELL, HOWARD, BODACK, GREENLEAF AND FISHER,
FEBRUARY 16, 1983
AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
JANUARY 31, 1984
AN ACT
1 Regulating the purchase and sale of precious metals.
2 The General Assembly of the Commonwealth of Pennsylvania
3 hereby enacts as follows:
4 Section 1. Definitions.
5 The following words and phrases when used in this act shall
6 have the meanings given to them in this section unless the
7 context clearly indicates otherwise:
8 "Dealer in precious metals." An individual, partnership,
9 association, corporation or business entity, who or which
10 purchases precious metals from the general public for resale or
11 refining or any individual who acts as agent for such
12 individual, partnership, association, corporation or business
13 entity for such purchase or purchases. Excluded from this
14 definition are financial institutions licensed under Federal or
15 State banking laws, THE PURCHASER OF PRECIOUS METALS WHO <--
1 PURCHASES FROM A SELLER SEEKING A TRADE-IN OR ALLOWANCE, the
2 manufacturers of jewelry or of other items composed, in whole or
3 in part, of gold, silver or platinum and the purchaser of
4 precious metals for his, her or its own use or ownership AND NOT <--
5 FOR RESALE OR REFINING.
6 "GOLD." ANY ALLOY OF THE ELEMENT GOLD, TEN KARAT OR OF
7 GREATER FINENESS. A KARAT IS 1/24 PART, BY WEIGHT, OF THE ALLOY
8 OF THE METALLIC ELEMENT GOLD.
9 "PLATINUM." ANY ALLOY OF THE ELEMENT PLATINUM, 750/1000 OR
10 MORE PARTS PER THOUSAND, BY WEIGHT, OF PURE PLATINUM.
11 "PRECIOUS METALS." ITEMS CONTAINING OR BEING OF GOLD, SILVER
12 OR PLATINUM, INCLUDING, BUT NOT LIMITED TO, JEWELRY AND SILVER
13 SERVICES, BUT EXCLUDING COINS, INGOTS, BULLION OR PHOTOGRAPHIC
14 FILM OR ANY ARTICLE CONTAINING LESS THAN 5% OF GOLD, SILVER OR
15 PLATINUM BY WEIGHT.
16 "SILVER." ANY ALLOY OF THE ELEMENT SILVER, 900/1000 OR MORE
17 PARTS PER THOUSAND, BY WEIGHT, OF PURE SILVER.
18 "WORKING DAYS." EXCLUDES SATURDAYS, SUNDAYS AND FEDERAL OR
19 STATE LEGAL HOLIDAYS.
20 SECTION 2. LICENSE REQUIRED.
21 (A) DEALER.--A DEALER IN PRECIOUS METALS SHALL OBTAIN A
22 LICENSE FROM THE SHERIFF OF EACH AND EVERY COUNTY IN WHICH THE
23 DEALER PURCHASES PRECIOUS METALS.
24 (B) APPLICATION FORM.--THE APPLICATION FOR SUCH LICENSE
25 SHALL BE ON A FORM AS PRESCRIBED IN REGULATIONS PROMULGATED BY
26 THE ATTORNEY GENERAL.
27 (C) LICENSE FEE.--THE LICENSE FEE SHALL NOT EXCEED $50 PER
28 YEAR AS set by the Attorney General. Such fee shall be paid into
29 the Treasury of the county, where the license is issued, for the
30 use of the county.
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1 (d) Duration of license.--The license shall be for one year.
2 (e) Application to be public record.--Such license
3 application shall be a public record available to the general
4 public for inspection.
5 Section 3. Records of transactions.
6 (a) Dealers to keep record.--Every dealer in precious metals
7 shall keep a record of every transaction upon a form approved by
8 the Attorney General. The record shall include as a minimum:
9 (1) The name, age and address of the seller, which must
10 be verified by said dealer requiring proof of identity from
11 the seller sufficient to insure the accuracy of the
12 represented name and address of the seller.
13 (2) An accurate description of the property purchased,
14 including any serial number or other identifying marks or
15 symbols and the date and hour of the transaction.
16 (b) Record to be maintained.--Said record shall be
17 maintained by the dealer in precious metals for a period of one
18 year from the date of the transaction and shall be available for
19 inspection by any law enforcement official of the Federal
20 Government, the Commonwealth or any of its municipalities.
21 (c) Copy of record to district attorney.--A copy of every
22 record of transaction shall be delivered or mailed to the
23 district attorney of the county in which a purchase of precious
24 metals is made by the close of the next working day after the
25 day on which the metal was purchased.
26 (d) Copy of record to police department in lieu of district
27 attorney.--The district attorney may authorize such records to
28 be delivered or mailed to the police department of the
29 municipality in which the precious metal was purchased in lieu
30 of delivery or mailing to the district attorney.
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1 (e) Time and manner of keeping records.--The Attorney
2 General shall by regulation prescribe the time and manner in
3 which such records shall be maintained, THE FORM OF <--
4 IDENTIFICATION WHICH A DEALER MUST REQUIRE FROM THE SELLER TO
5 VERIFY THE SELLER'S NAME AND ADDRESS and the person or persons
6 to whom such records shall be available.
7 Section 4. Dealer's retention of precious metal and
8 availability for inspection.
9 (a) Precious metal to be retained for five days.--Each item
10 of precious metal purchased by a dealer in precious metals shall
11 be retained in unaltered condition for five full working days
12 after report of its purchase has been filed with the proper
13 district attorney or his designee.
14 (b) Precious metal to be available for inspection.--Such
15 item of precious metal shall be available for inspection, during
16 the five working days, by law enforcement officials of the
17 Federal Government, the Commonwealth or any of its
18 municipalities in the course of their law enforcement duties. A
19 search warrant shall not be required unless the inspection is
20 made during hours other than those when the dealer in precious
21 metals is open for business.
22 (c) Law enforcement officials to give notice when they
23 believe item was stolen.--If a law enforcement official has
24 probable cause to believe an item of precious metal has been
25 stolen, he may give written notice to the dealer in precious
26 metals. Upon receipt of such written notice, such dealer in
27 precious metals shall retain the item in unaltered condition for
28 an additional seven days, unless the law enforcement officer in
29 writing recalls such notice.
30 (d) Court may order dealer to retain items.--Upon
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1 application of the district attorney, any court of proper
2 jurisdiction, under its powers presently prescribed by law, may
3 order the dealer in precious metals to retain such item or items
4 of precious metal at such place and under such conditions as the
5 court may decree.
6 (e) Where items to be retained.--Each item of precious metal
7 to be retained, pursuant to this section, shall be retained
8 within the county of purchase at the location where purchased by
9 the dealer in precious metals, unless authorized in writing by
10 the district attorney or his designee to be retained elsewhere.
11 Section 5. Purchases from minors.
12 The dealer in precious metals shall require any minor seeking
13 to sell precious metals to produce written authority of a
14 parent, guardian or person in loco parentis authorizing the sale
15 of such precious metals. Such authorization shall give name and
16 address of authorizing person. The dealer in precious metals
17 shall verify that such sale is authorized by inquiry of such
18 parent, guardian or person in loco parentis. Minors shall be
19 required to wait three full working days before receiving
20 payment from the sale of precious metals.
21 Section 6. Posting of prices.
22 Prices for the purchase of precious metals shall be posted by
23 the dealer in precious metals in compliance with rules and
24 regulations promulgated or to be promulgated by the Department
25 of Agriculture.
26 Section 7. Scales and weighing devices.
27 (a) Rules and regulations of Department of Agriculture.--
28 Scales and other weighing or measuring devices used by dealers
29 in precious metals shall be in accordance with rules and
30 regulations promulgated or to be promulgated by the Department
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1 of Agriculture.
2 (b) Supervision and inspection of scales.--Supervision and
3 inspection of such scales and weighing or measuring devices
4 shall be made by the appropriate State or municipal officers as
5 authorized by law or by the Department of Agriculture.
6 Section 8. Local ordinances.
7 This act shall not supersede or preclude the adoption of any
8 municipal ordinance applicable to dealers in precious metals
9 provided that such municipal ordinance meets the minimum
10 requirements of this act.
11 Section 9. Inspection of licensee.
12 The acceptance of a license by a dealer in precious metals
13 implies consent to inspections of his, her or its premises by
14 law enforcement officials and officials authorized to enforce
15 laws and regulations pertaining to weights and measures. Such
16 inspections shall pertain to items of precious metals and to
17 scales and weighing or measuring devices.
18 Section 10. Penalty.
19 (a) Unlicensed dealers.--The purchase of an item of precious
20 metal by an unlicensed dealer in precious metals shall
21 constitute a violation of this act and the dealer shall be
22 guilty of a misdemeanor of the third degree.
23 (b) Licensed dealers.--Any licensed dealer in precious
24 metals who violates any provisions of this act shall be guilty
25 of a misdemeanor of the third degree.
26 (C) REVOCATION OF LICENSE AND INELIGIBILITY.--ANY <--
27 INDIVIDUAL, PARTNERSHIP, ASSOCIATION, CORPORATION OR BUSINESS
28 ENTITY VIOLATING ANY PROVISIONS OF THIS ACT SHALL, UPON
29 CONVICTION, IN ADDITION TO THE PENALTIES SET FORTH IN
30 SUBSECTIONS (A) AND (B) HEREOF, SUFFER IMMEDIATELY REVOCATION OF
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1 ANY EXISTING LICENSE ISSUED PURSUANT TO THE PROVISIONS OF THIS
2 ACT AND SHALL BE INELIGIBLE TO APPLY FOR A DEALER'S LICENSE
3 UNDER THIS ACT FOR A PERIOD OF FIVE YEARS THEREAFTER.
4 Section 11. Severability.
5 If any provision of this act or the application thereof to
6 any person or circumstances is held invalid, such invalidity
7 shall not affect other provisions or applications of the act
8 which can be given effect without the invalid provision or
9 application, and to this end the provisions of this act are
10 declared to be severable.
11 Section 12. Application.
12 This act shall not be enforced until appropriate regulations
13 are promulgated by the Attorney General and the Department of
14 Agriculture.
15 Section 13. Effective date.
16 This act shall take effect immediately.
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