HB4714 97TH GENERAL ASSEMBLY

  
  

 


 
97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB4714

 

Introduced 2/3/2012, by Rep. Pam Roth

 

SYNOPSIS AS INTRODUCED:
 
205 ILCS 510/0.05
205 ILCS 510/1  from Ch. 17, par. 4651
205 ILCS 510/1.2 new
205 ILCS 510/1.4 new
205 ILCS 510/4.5 new
205 ILCS 510/5  from Ch. 17, par. 4655
205 ILCS 510/6  from Ch. 17, par. 4656
205 ILCS 510/7  from Ch. 17, par. 4657
205 ILCS 510/7.5
205 ILCS 510/8  from Ch. 17, par. 4658
205 ILCS 510/9  from Ch. 17, par. 4659
205 ILCS 510/11  from Ch. 17, par. 4661
205 ILCS 510/12

    Amends the Pawnbroker Regulation Act. Defines "precious metal scrapper". Provides that the Secretary of Financial and Professional Regulation shall issue licenses on an annual or multi-year basis for operating a precious metal scrapper. Provides that it shall be unlawful to operate a precious metal scrapper without a license issued by the Secretary. Provides that a precious metal scrapper may not, upon physical receipt of gold or silver, offer, promise, or pay the seller an amount less than 60% of the gold or silver's actual melt value. Provides that, upon physical receipt of gold or silver, a precious metal scrapper must maintain possession of the gold or silver for a period of 10 business days. Makes changes concerning the administration of the Act, manager licensing, record requirements, the inspection of records, daily reports, reports to the Secretary, violations of the Act, and hold orders.


LRB097 19222 PJG 64464 b

FISCAL NOTE ACT MAY APPLY
HOME RULE NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB4714LRB097 19222 PJG 64464 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Pawnbroker Regulation Act is amended by
5changing Sections 0.05, 1, 5, 6, 7, 7.5, 8, 9, 11, and 12 and by
6adding Sections 1.2, 1.4, and 4.5 as follows:
 
7    (205 ILCS 510/0.05)
8    Sec. 0.05. Administration of Act.
9    (a) This Act shall be administered by the Secretary of
10Financial and Professional Regulation, and, beginning on July
1128, 2010 (the effective date of Public Act 96-1365), all
12references in this Act to the Commissioner of Banks and Real
13Estate are deemed, in appropriate contexts, to be references to
14the Secretary of Financial and Professional Regulation, who
15shall have all of the following powers and duties in
16administering this Act:
17        (1) To promulgate reasonable rules for the purpose of
18    administering the provisions of this Act.
19        (2) To issue orders for the purpose of administering
20    the provisions of this Act and any rule promulgated in
21    accordance with this Act.
22        (2.5) To order restitution to consumers suffering
23    damages resulting from violations of this Act, rules

 

 

HB4714- 2 -LRB097 19222 PJG 64464 b

1    promulgated in accordance with this Act, or other laws or
2    regulations related to the operation of a pawnshop or
3    precious metal scrapper.
4        (3) To appoint hearing officers and to hire employees
5    or to contract with appropriate persons to execute any of
6    the powers granted to the Secretary under this Section for
7    the purpose of administering this Act and any rule
8    promulgated in accordance with this Act.
9        (4) To subpoena witnesses, to compel their attendance,
10    to administer an oath, to examine any person under oath,
11    and to require the production of any relevant books,
12    papers, accounts, and documents in the course of and
13    pursuant to any investigation being conducted, or any
14    action being taken, by the Secretary in respect of any
15    matter relating to the duties imposed upon, or the powers
16    vested in, the Secretary under the provisions of this Act
17    or any rule promulgated in accordance with this Act.
18        (5) To conduct hearings.
19        (6) To impose civil penalties graduated up to $1,000
20    against any person for each violation of any provision of
21    this Act, any rule promulgated in accordance with this Act,
22    or any order of the Secretary based upon the seriousness of
23    the violation.
24        (6.5) To initiate, through the Attorney General,
25    injunction proceedings whenever it appears to the
26    Secretary that any person, whether licensed under this Act

 

 

HB4714- 3 -LRB097 19222 PJG 64464 b

1    or not, is engaged or about to engage in an act or practice
2    that constitutes or will constitute a violation of this Act
3    or any rule prescribed under the authority of this Act. The
4    Secretary may, in his or her discretion, through the
5    Attorney General, apply for an injunction, and upon a
6    proper showing, any circuit court may enter a permanent or
7    preliminary injunction or a temporary restraining order
8    without bond to enforce this Act in addition to the
9    penalties and other remedies provided for in this Act.
10        (7) To issue a cease and desist order and, for
11    violations of this Act, any order issued by the Secretary
12    pursuant to this Act, any rule promulgated in accordance
13    with this Act, or any other applicable law in connection
14    with the operation of a pawnshop or precious metal
15    scrapper, to suspend a license issued under this Act for up
16    to 30 days.
17        (8) To determine compliance with applicable law and
18    rules related to the operation of pawnshops and precious
19    metal scrappers and to verify the accuracy of reports filed
20    with the Secretary, the Secretary, not more than one time
21    every 2 years, may, but is not required to, conduct a
22    routine examination of a pawnshop or precious metal
23    scrapper, and in addition, the Secretary may examine the
24    affairs of any pawnshop or precious metal scrapper at any
25    time if the Secretary has reasonable cause to believe that
26    unlawful or fraudulent activity is occurring, or has

 

 

HB4714- 4 -LRB097 19222 PJG 64464 b

1    occurred, therein.
2        (9) In response to a complaint, to address any
3    inquiries to any pawnshop or precious metal scrapper in
4    relation to its affairs, and it shall be the duty of the
5    pawnshop or precious metal scrapper to promptly reply in
6    writing to such inquiries. The Secretary may also require
7    reports or information from any pawnshop or precious metal
8    scrapper at any time the Secretary may deem desirable.
9        (10) To revoke a license issued under this Act if the
10    Secretary determines that (a) a licensee has been convicted
11    of a felony in connection with the operations of a pawnshop
12    or precious metal scrapper; (b) a licensee knowingly,
13    recklessly, or continuously violated this Act or State or
14    federal law or regulation, a rule promulgated in accordance
15    with this Act, or any order of the Secretary; (c) a fact or
16    condition exists that, if it had existed or had been known
17    at the time of the original application, would have
18    justified license refusal; (d) the licensee knowingly
19    submits materially false or misleading documents with the
20    intent to deceive the Secretary or any other party; or (e)
21    the licensee is unable or ceases to continue to operate the
22    pawnshop or precious metal scrapper.
23        (10.2) To remove or prohibit the employment of any
24    officer, director, employee, or agent of the pawnshop or
25    precious metal scrapper who engages in or has engaged in
26    unlawful activities that relate to the operation of a

 

 

HB4714- 5 -LRB097 19222 PJG 64464 b

1    pawnshop or precious metal scrapper.
2        (10.7) To prohibit the hiring of employees who have
3    been convicted of a financial crime or any crime involving
4    breach of trust who do not meet exceptions as established
5    by rule of the Secretary.
6        (11) Following license revocation, to take possession
7    and control of a pawnshop or precious metal scrapper for
8    the purpose of examination, reorganization, or liquidation
9    through receivership and to appoint a receiver, which may
10    be the Secretary, a pawnshop, a precious metal scrapper, or
11    another suitable person.
12    (b) After consultation with local law enforcement
13officers, the Attorney General, and the industry, the Secretary
14may by rule require that pawnbrokers or precious metal
15scrappers operate video camera surveillance systems to record
16photographic representations of customers and retain the tapes
17produced for up to 30 days.
18    (c) Pursuant to rule, the Secretary shall issue licenses on
19an annual or multi-year basis for operating a pawnshop and for
20operating a precious metal scrapper. Any person currently
21operating or who has operated a pawnshop in this State during
22the 2 years preceding the effective date of this amendatory Act
23of 1997 shall be issued a license upon payment of the fee
24required under this Act. Any person currently operating or who
25has operated a precious metal scrapper in this State during the
262 years preceding the effective date of this amendatory Act of

 

 

HB4714- 6 -LRB097 19222 PJG 64464 b

1the 97th General Assembly shall be issued a license upon
2payment of the fee required under this Act. New applicants
3shall meet standards for a license as established by the
4Secretary. Except with the prior written consent of the
5Secretary, no individual, either a new applicant or a person
6currently operating a pawnshop or precious metal scrapper, may
7be issued a license to operate a pawnshop or precious metal
8scrapper if the individual has been convicted of a felony or of
9any criminal offense relating to dishonesty or breach of trust
10in connection with the operations of a pawnshop or precious
11metal scrapper. The Secretary shall establish license fees. The
12fees shall not exceed the amount reasonably required for
13administration of this Act. It shall be unlawful to operate a
14pawnshop or precious metal scrapper without a license issued by
15the Secretary.
16    (d) In addition to license fees, the Secretary may, by
17rule, establish fees in connection with a review, approval, or
18provision of a service, and levy a reasonable charge to recover
19the cost of the review, approval, or service (such as a change
20in control, change in location, or renewal of a license). The
21Secretary may also levy a reasonable charge to recover the cost
22of an examination if the Secretary determines that unlawful or
23fraudulent activity has occurred. The Secretary may require
24payment of the fees and charges provided in this Act by
25certified check, money order, an electronic transfer of funds,
26or an automatic debit of an account.

 

 

HB4714- 7 -LRB097 19222 PJG 64464 b

1    (e) The Pawnbroker Regulation Fund is established as a
2special fund in the State treasury. Moneys collected under this
3Act shall be deposited into the Fund and used for the
4administration of this Act. In the event that General Revenue
5Funds are appropriated to the Department of Financial and
6Professional Regulation for the initial implementation of this
7Act, the Governor may direct the repayment from the Pawnbroker
8Regulation Fund to the General Revenue Fund of such advance in
9an amount not to exceed $30,000. The Governor may direct this
10interfund transfer at such time as he deems appropriate by
11giving appropriate written notice. Moneys in the Pawnbroker
12Regulation Fund may be transferred to the Professions Indirect
13Cost Fund, as authorized under Section 2105-300 of the
14Department of Professional Regulation Law of the Civil
15Administrative Code of Illinois.
16    (f) The Secretary may, by rule, require all pawnshops and
17precious metal scrappers to provide for the expenses that would
18arise from the administration of the receivership of a pawnshop
19or precious metal scrapper under this Act through the
20assessment of fees, the requirement to pledge surety bonds, or
21such other methods as determined by the Secretary.
22    (g) All final administrative decisions of the Secretary
23under this Act shall be subject to judicial review pursuant to
24the provisions of the Administrative Review Law. For matters
25involving administrative review, venue shall be in either
26Sangamon County or Cook County.

 

 

HB4714- 8 -LRB097 19222 PJG 64464 b

1(Source: P.A. 96-1038, eff. 7-14-10; 96-1365, eff. 7-28-10;
297-333, eff. 8-12-11.)
 
3    (205 ILCS 510/1)  (from Ch. 17, par. 4651)
4    Sec. 1. (a) Every individual or business entity which lends
5money on the deposit or pledge of physically delivered personal
6property, other than property the ownership of which is subject
7to a legal dispute, securities, printed evidence of
8indebtedness or printed evidence of ownership of the personal
9property, or who deals in the purchase of such property on the
10condition of selling the property back again at a stipulated
11price, shall be held and is hereby declared and defined to be a
12pawnbroker. The business of a pawnbroker does not include the
13lending of money on deposit or pledge of title to property.
14    (b) (Blank). The Secretary may require employees of
15pawnshops who have the authority to act in a managerial
16capacity to obtain a license from the Department. For the
17purposes of this Section, "managerial capacity" shall mean the
18ability to direct the operations or activities of the pawnshop.
19If the Secretary determines a pawnshop employee's duties and
20responsibilities or other factors amount to acting in a
21managerial capacity, the Secretary may require licensing. The
22license shall be valid for 2 years. The Secretary may by rule
23specify the form of the application for licensure, fees to be
24imposed and conditions for licensure. The licensed employees
25shall report their places of employment to the Secretary.

 

 

HB4714- 9 -LRB097 19222 PJG 64464 b

1(Source: P.A. 96-1365, eff. 7-28-10.)
 
2    (205 ILCS 510/1.2 new)
3    Sec. 1.2. Precious metal scrapper. Every business entity
4which offers payment for the physical delivery of gold or
5silver and at least 50% of whose revenue is generated by the
6melting down, reformation, or re-selling of that gold or silver
7shall be held and is hereby declared and defined to be a
8precious metal scrapper.
 
9    (205 ILCS 510/1.4 new)
10    Sec. 1.4. Manager licensing. The Secretary may require
11employees of pawnshops and precious metal scrappers who have
12the authority to act in a managerial capacity to obtain a
13license from the Department. For the purposes of this Section,
14"managerial capacity" shall mean the ability to direct the
15operations or activities of the pawnshop or precious metal
16scrapper. If the Secretary determines a pawnshop or precious
17metal scrapper employee's duties and responsibilities or other
18factors amount to acting in a managerial capacity, the
19Secretary may require licensing. The license shall be valid for
202 years. The Secretary may by rule specify the form of the
21application for licensure, fees to be imposed, and conditions
22for licensure. The licensed employees shall report their places
23of employment to the Secretary.
 

 

 

HB4714- 10 -LRB097 19222 PJG 64464 b

1    (205 ILCS 510/4.5 new)
2    Sec. 4.5. Offer, promise, or payment amount; period of
3possession.
4    (a) Upon physical receipt of gold or silver, a precious
5metal scrapper may not offer, promise, or pay the seller an
6amount less than 60% of the gold or silver's actual melt value,
7which shall be determined using the gold or silver's weight,
8purity, and spot value taken from the previous 3 business days
9of trading on a major stock exchange located within the United
10States.
11    (b) Upon physical receipt of gold or silver, each precious
12metal scrapper must maintain possession of the gold or silver
13and may not melt or otherwise alter, re-form, or re-sell the
14gold or silver for a period of 10 business days.
 
15    (205 ILCS 510/5)  (from Ch. 17, par. 4655)
16    Sec. 5. Record requirements.
17    (a) Except in municipalities located in counties having
183,000,000 or more inhabitants, every pawn and loan broker and
19precious metal scrapper shall keep a standard record book that
20has been approved by the sheriff of the county in which the
21pawnbroker or precious metal scrapper does business. In
22municipalities in counties with 3,000,000 or more inhabitants,
23the record book shall be approved by the police department of
24the municipality in which the pawn or loan broker or precious
25metal scrapper does business. At the time of each and every

 

 

HB4714- 11 -LRB097 19222 PJG 64464 b

1purchase, loan, or taking of a pledge, an accurate account and
2description, in the English language, of all the goods,
3articles and other things pawned, purchased, or pledged, the
4amount of money, value or thing loaned or purchased thereon,
5the time of pledging the same, the rate of interest to be paid
6on such loan, the weight, purity, and spot price of any gold or
7silver purchased, and the name and residence of the person
8making such pawn, sale, or pledge shall be printed, typed, or
9written in ink in the record book. Such entry shall include the
10serial number or identification number of items received which
11bear such number. Except for items purchased from dealers
12possessing a federal employee identification number who have
13provided a receipt to the pawnbroker or precious metal
14scrapper, every pawnbroker and precious metal scrapper shall
15also record in his book, an accurate account and description,
16in the English language, of all goods, articles and other
17things purchased or received for the purpose of resale or loan
18collateral by the pawnbroker or precious metal scrapper from
19any source, not in the course of a pledge or loan, the time of
20such purchase or receipt and the name and address of the person
21or business which sold or delivered such goods, articles, or
22other things to the pawnbroker or precious metal scrapper. No
23entry in such book shall be erased, mutilated or changed.
24    (b) Every pawnbroker and precious metal scrapper shall
25require identification to be shown him by each person selling,
26pledging, or pawning any goods, articles or other things to the

 

 

HB4714- 12 -LRB097 19222 PJG 64464 b

1pawnbroker or precious metal scrapper. If the identification
2shown is a driver's license or a State identification card
3issued by the Secretary of State and contains a photograph of
4the person being identified, only one form of identification
5must be shown. If the identification shown is not a driver's
6license or a State identification card issued by the Secretary
7of State and does not contain a photograph, 2 forms of
8identification must be shown, and one of the 2 forms of
9identification must include his or her residence address. These
10forms of identification shall include, but not be limited to,
11any of the following: driver's license, social security card,
12utility bill, employee or student identification card, credit
13card, or a civic, union or professional association membership
14card. In addition, in a municipality with a population of
151,000,000 or more inhabitants, if the customer does not have an
16identification issued by a governmental entity containing a
17photograph of the person being identified, the pawnbroker or
18precious metal scrapper shall photograph the customer in color
19and record the customer's name, residence address, date of
20birth, social security number, gender, height, and weight on
21the reverse side of the photograph. If the customer has no
22social security number, the pawnbroker or precious metal
23scrapper shall record this fact.
24    A county or municipality, including a home rule unit, may
25regulate a pawnbroker's or precious metal scrapper's
26identification requirements for persons selling, pledging, or

 

 

HB4714- 13 -LRB097 19222 PJG 64464 b

1pawning goods, articles, or other things to the pawnbroker or
2precious metal scrapper in a manner that is not less
3restrictive than the regulation by the State of a precious
4metal scrapper's or pawnbroker's identification requirements
5for persons selling, pledging, or pawning goods, articles, or
6other things. A home rule unit may not regulate a precious
7metal scrapper's or pawnbroker's identification requirements
8for persons selling, pledging, or pawning goods, articles, or
9other things to the pawnbroker or precious metal scrapper in a
10manner less restrictive than the regulation by the State of a
11precious metal scrapper's or pawnbroker's identification
12requirements for persons pledging or pawning goods, articles,
13or other things. This Section is a limitation under subsection
14(i) of Section 6 of Article VII of the Illinois Constitution on
15the concurrent exercise by home rule units of the powers and
16functions exercised by the State.
17    (c) A pawnbroker or precious metal scrapper may maintain
18the records required by subsection (a) in computer form if the
19computer form has been approved by the Commissioner, the
20sheriff of the county in which the shop is located, and the
21police department of the municipality in which the shop is
22located.
23    (d) Records, including reports to the Secretary,
24maintained by pawnbrokers and precious metal scrappers shall be
25confidential, and no disclosure of pawnbroker or precious metal
26scrapper records shall be made except disclosures authorized by

 

 

HB4714- 14 -LRB097 19222 PJG 64464 b

1this Act or ordered by a court of competent jurisdiction. No
2record transferred to a governmental official shall be
3improperly disclosed, provided that use of those records as
4evidence of a felony or misdemeanor shall be a proper purpose.
5    (e) Pawnbrokers, precious metal scrappers, and their
6associations may lawfully give appropriate governmental
7agencies computer equipment for the purpose of transferring
8information pursuant to this Act.
9(Source: P.A. 96-1038, eff. 7-14-10.)
 
10    (205 ILCS 510/6)  (from Ch. 17, par. 4656)
11    Sec. 6. Inspection of records.
12    (a) The book or computer records, as well as every article
13or other thing of value so sold, pawned, or pledged, shall at
14all times be open to the inspection of the Secretary, the
15sheriff of the county, his deputies, or any members of the
16police force of any city in the county in which such pawnbroker
17or precious metal scrapper does business. In addition, the
18Secretary shall be authorized to inspect the books or records
19of any business he or she has reasonable cause to believe is
20conducting pawn or precious metal scrapping transactions and
21should be licensed under this Act.
22    (b) The book or computer records, pawn tickets, or any
23other records required by the Secretary under this Act or any
24rule promulgated in accordance with this Act shall be
25maintained for a period of 3 years after the date on which the

 

 

HB4714- 15 -LRB097 19222 PJG 64464 b

1record or ticket was prepared. These records and tickets shall
2be open to inspection of the Secretary at all times during the
33-year period.
4(Source: P.A. 96-1038, eff. 7-14-10.)
 
5    (205 ILCS 510/7)  (from Ch. 17, par. 4657)
6    Sec. 7. Daily report.
7    (a) Except as provided in subsection (b), it shall be the
8duty of every pawnbroker and precious metal scrapper to make
9out and deliver to the sheriff of the county in which such
10pawnbroker or precious metal scrapper does business, on each
11day before the hours of 12 o'clock noon, a legible and exact
12copy from the standard record book, as required in Section 5 of
13this Act, that lists all personal property and any other
14valuable thing received on deposit or purchased during the
15preceding day, including the exact time when received or
16purchased, and a description of the person or person by whom
17left in pledge, or from whom the same were purchased; provided,
18that in cities or towns having 25,000 or more inhabitants, a
19copy of the such report shall at the same time also be
20delivered to the superintendent of police or the chief police
21officer of such city or town. Such report may be made by
22computer printout or input memory device if the format has been
23approved by the local law enforcement agency.
24    (b) In counties with more than 3,000,000 inhabitants, a
25pawnbroker or precious metal scrapper must provide the daily

 

 

HB4714- 16 -LRB097 19222 PJG 64464 b

1report to the sheriff only if the pawnshop or precious metal
2scrapper is located in an unincorporated area of the county.
3Pawnbrokers and precious metal scrappers located in cities or
4towns in such counties must deliver such reports to the
5superintendent of police or the chief police officer of such
6city or town.
7(Source: P.A. 90-477, eff. 7-1-98; 90-602, eff. 7-1-98.)
 
8    (205 ILCS 510/7.5)
9    Sec. 7.5. Report to the Secretary. The Secretary, as often
10as the Secretary shall deem necessary or proper, may require a
11pawnshop or precious metal scrapper to submit a full and
12detailed report of its operations including, but not limited
13to, the number of pawns and purchases made, the amount financed
14on pawn and purchase transactions, and the number and amount of
15pawns and purchases surrendered to law enforcement.
16    The Secretary shall prescribe the form of the report and
17establish the date by which the report must be filed.
18(Source: P.A. 96-1038, eff. 7-14-10.)
 
19    (205 ILCS 510/8)  (from Ch. 17, par. 4658)
20    Sec. 8. No pawnbroker or precious metal scrapper shall take
21or receive any purchase, pawn, or pledge for any advancement or
22loan, any property of any kind from any minor who is under 18
23years of age, or the ownership of which is in, or which is
24claimed by, any such minor, or which may be in the possession

 

 

HB4714- 17 -LRB097 19222 PJG 64464 b

1or under the control of any such minor.
2(Source: P.A. 84-478.)
 
3    (205 ILCS 510/9)  (from Ch. 17, par. 4659)
4    Sec. 9. No pawnbroker or precious metal scrapper shall
5purchase or take any article in pawn or pledge from any person
6appearing to be intoxicated, nor from any person known to have
7been convicted of theft. A law enforcement officer may provide
8such criminal conviction information to a pawnbroker or
9precious metal scrapper. When any person is found to be the
10owner of stolen property which has been pawned or sold, such
11property shall be returned to the owner thereof without the
12payment of the money advanced by the pawnbroker or precious
13metal scrapper thereon or any costs or charges of any kind
14which the pawnbroker or precious metal scrapper may have placed
15upon the same.
16(Source: P.A. 84-1308.)
 
17    (205 ILCS 510/11)  (from Ch. 17, par. 4661)
18    Sec. 11. Violations. Every person who knowingly violates
19the provisions of this Act shall, for the first offense, be
20guilty of a Class C misdemeanor, and for each subsequent
21offense shall be guilty of a Class A misdemeanor, except that a
22person who knowingly violates this Act by operating a pawnshop
23or precious metal scrapper without a license shall be guilty of
24a Class B misdemeanor for the first offense and shall be guilty

 

 

HB4714- 18 -LRB097 19222 PJG 64464 b

1of a Class A misdemeanor for any subsequent offense. This Act
2shall not be construed as to, in any wise, impair the power of
3cities or villages in this State to license, tax, regulate
4except as to fee amounts, suppress, and prohibit pawnbrokers or
5precious metal scrappers as now provided by law.
6(Source: P.A. 92-215, eff. 8-2-01.)
 
7    (205 ILCS 510/12)
8    Sec. 12. Hold order.
9    (a) For the purposes of this Section, "hold order" means a
10written legal instrument issued to a pawnbroker or precious
11metal scrapper by a law enforcement officer commissioned by the
12law enforcement agency of the municipality or county that
13licenses and regulates the pawnbroker or precious metal
14scrapper, ordering the pawnbroker or precious metal scrapper to
15retain physical possession of pledged goods in the possession
16of the pawnbroker or precious metal scrapper or property
17purchased by and in the possession of the pawnbroker or
18precious metal scrapper and not to return, sell, or otherwise
19dispose of such property as such property is believed to be
20misappropriated goods.
21    (b) Upon written notice from a law enforcement officer
22indicating that property in the possession of a pawnbroker or
23precious metal scrapper and subject to a hold order is needed
24for the purpose of furthering a criminal investigation and
25prosecution, the pawnbroker or precious metal scrapper shall

 

 

HB4714- 19 -LRB097 19222 PJG 64464 b

1release the property subject to the hold order to the custody
2of the law enforcement officer for such purpose and the officer
3shall provide a written acknowledgment that the property has
4been released to the officer. The release of the property to
5the custody of the law enforcement officer shall not be
6considered a waiver or release of the precious metal scrapper's
7or pawnbroker's property rights or interest in the property.
8Upon completion of the criminal investigation, the property
9shall be returned to the pawnbroker or precious metal scrapper
10who consented to its release; except that, if the law
11enforcement officer has not completed the criminal
12investigation within 120 days after its release, the officer
13shall immediately return the property to the pawnbroker or
14precious metal scrapper or obtain and furnish to the pawnbroker
15or precious metal scrapper a warrant for the continued custody
16of the property.
17    The pawnbroker or precious metal scrapper shall not release
18or dispose of the property except pursuant to a court order or
19the expiration of the holding period of the hold order,
20including all extensions.
21    In cases where criminal charges have been filed and the
22property may be needed as evidence, the prosecuting attorney
23shall notify the pawnbroker or precious metal scrapper in
24writing. The notice shall contain the case number, the style of
25the case, and a description of the property. The pawnbroker or
26precious metal scrapper shall hold such property until

 

 

HB4714- 20 -LRB097 19222 PJG 64464 b

1receiving notice of the disposition of the case from the
2prosecuting attorney. The prosecuting attorney shall notify
3the pawnbroker or precious metal scrapper and claimant in
4writing within 15 days after the disposition of the case.
5(Source: P.A. 96-1365, eff. 7-28-10.)