Recordkeeping for Pawnbrokers and Certain Second-Hand Dealers

Adopted Rules: Closed to Comments

Agency:
Effective Date: 
Friday, July 18, 2014
Download Copy of Adopted Rule (.pdf): 

Statement of Basis and Purpose of Rule

 

Local Law 149 of 2013 amended Sections 20-267, 20-273, and 20-277 of the New York City Administrative Code to require electronic recordkeeping by pawnbrokers and by certain second-hand dealers, specifically those dealing in electronics, jewelry, and pawn tickets.  Section four of Local Law 149 of 2013 authorizes the Commissioner of the Department of Consumer Affairs (DCA) and the Commissioner of the New York City Police Department (NYPD) to promulgate rules necessary to carry out the provisions of this new Local Law.

 

Pawnbrokers and second-hand dealers in New York City are licensed by DCA and their record-keeping practices are monitored by both DCA and the NYPD.  It is vitally important to ensure that accurate and complete records are maintained by these businesses, which may unwittingly be used as the repository of stolen property.  DCA inspectors and NYPD officers must routinely visit these locations to inspect what is informally called the “Police Book,” i.e., the log book containing a record of each transaction on tear-off sheets, to ensure that they are completed accurately and that they correctly reflect the property present in the store.

 

By requiring accurate and detailed electronic recordkeeping for pawnbrokers and certain second-hand dealers, implementation of Local Law 149 of 2013 will both improve administrative efficiency and deter property crime by discouraging the disposal of stolen property.

 

The rule is adopted by the Police Commissioner to implement the provisions of Local Law 149 of 2013.  The rule:

 

·    Identifies the businesses which are subject to electronic recordkeeping;

·    Directs the manner, format, and timeliness with which electronic records are to be created, maintained and uploaded;

·    Notifies businesses subject to electronic recordkeeping about the types of information that must be included when describing certain items in their electronic records; and

·    Specifies the equipment necessary to create, maintain and upload the electronic records as well as the length of time electronic records must be retained.