SB3341 97TH GENERAL ASSEMBLY

LRB097 17671 JLS 62882 b

97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
SB3341

Introduced 2/7/2012, by Sen. Kirk W. Dillard

SYNOPSIS AS INTRODUCED:

New Act

Creates the Precious Metal Purchasing Act. Provides that a person who is in the business of purchasing precious metal shall obtain a proof of ownership, create a record of the sale, and verify the identity of the seller. Provides that a person who is in the business of purchasing precious metal shall not pay for the precious metal in cash and shall record the method of payment. Requires the purchaser to keep a record of the sale for one year or, if the purchase amount is over $500, for 5 years. Provides that a person who violates the Act is guilty of a petty offense and subject to a fine not exceeding $500. Provides that the Attorney General may inspect records, investigate an alleged violation, and take action to collect civil penalties.

A BILL FOR

AN ACT concerning business.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Precious Metal Purchasing Act.

Section 5. Definitions. As used in this Act:

"Precious metal" means any item containing, in whole or in part, gold or silver or any alloy of gold or silver.

"Proof of ownership" includes a bill of sale, an affidavit of ownership, or other credible evidence showing that the person possessing the precious metal is the lawful owner.

Section 10. Requirements applicable to the sale of precious metal.

(a) A person who is in the business of purchasing precious metal, before purchasing an item containing precious metal from the same person exceeding $250 in value regardless of form or quantity shall:

(1) obtain from that person:

(A) proof of ownership for the precious metal; and

(B) a record that contains:

(i) the name, address, and telephone number of the person or the person's authorized representative;

(ii) a description of the item containing the precious metal, including the number of items to be sold; and

(iii) the date of the transaction; and

(2) verify the identity of the individual selling the precious metal or representing the seller from a driver's license or other government-issued identification card that includes the individual's photograph and record the verification.

(b) A person who is in the business of purchasing precious metal shall:

(1) not pay for the purchase of precious metal with cash; and

(2) for each transaction in which the person purchases one or more item of precious metal, record the method of payment used to purchase the precious metal.

Section 15. Records. A person shall retain a record obtained or made under this Act for one year after the date the precious metal is purchased or, if the purchase amount is over $500, for 5 years after the date the precious metal is purchased.

Section 20. Penalty; enforcement.

(a) A person who violates this Act shall be guilty of a petty offense and shall be fined an amount not exceeding $500 for each violation.

(b) The Attorney General may:

(1) inspect a record retained by a person under this Act; and

(2) investigate an alleged violation of this Act.