HCS SCS SB 662 & 704 -- PAWNBROKERS

SPONSOR:  Westfall (Monaco)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Judiciary
by a vote of 17 to 0.

This substitute requires pawnshops to report certain information
about pawnshop transactions to appropriate law enforcement
authorities.  Pawnshop owners may transmit the required
information to a database electronically.  Any reporting pawnshop
is required to submit transaction information to the database
within one business day and must make paper copies of
transactions available to law enforcement upon request.  The
database may be created and maintained by a third party and
accessed by law enforcement officials in their investigations of
alleged property crimes.  Any person who fraudulently accesses
the database will be guilty of a class C felony.  In addition,
municipalities within St. Louis County and St. Louis City may
regulate the number of pawnshop licensees.

The substitute also requires proof of identification for persons
selling property to pawnbrokers.  If a seller or pledger fails to
provide proof of identity, the pawnbroker will hold the property
for 30 days and can then transfer the property, if the seller
submits a signed statement attesting that he or she is the legal
owner and when and from whom the property was acquired.  A
claimant whose property was misappropriated may demand return of
the property in writing.  This written demand must be accompanied
by a copy of the police stolen property report and an affidavit.
If the demand is made, the pawnbroker must return the property to
the claimant, in the presence of a police officer, within seven
days.  However, if the pawnbroker has reason to believe any of
the statements in the affidavit are false, the pawnbroker need
not return the property and the claimant may seek relief in
court.  The non-prevailing party will be responsible for court
costs and the prevailing party's attorney fees.  Conversely, if
the pawnbroker returns the property but later discovers
information contained in the affidavit was false or that the
claimant did not assist police in the prosecution of the theft,
the pawnbroker may file suit for the value of the property and
the non-prevailing party will be responsible for court costs and
the prevailing party's attorney fees.

Itinerant vendors and peddlers are required to provide proof of
purchase of any new or unused property and forging a receipt will
be prosecuted under Section 570.090, RSMo.

Altering a receipt, price tag, or price code with the intent to
cheat and defraud a retailer is made a stealing crime.  A
reasonable service charge on returned checks is allowed.

The substitute also lowers the felony stealing limit from $750 to
$500 and raises the felony limit for numerous other crimes
involving theft from $150 to $500.  The other criminal statutes
affected are:  making a false statement to receive health care
payment; sale of any species of wildlife; tampering with computer
data, computer equipment, or computer users; determination of
value; receiving stolen property; alternation or removal of item
numbers with intent to deprive rightful owner; passing bad
checks; fraudulently stopping payment on an instrument;
fraudulent use of a credit device; library theft; theft of cable
television service; failure to return rented personal property;
unlawful receipt, conversion, or transfer of food stamps or ATP
(Authorization to Participate) cards; and perjury, committed when
obtaining public assistance.  The substitute also makes offenses
in which the value of property or services is an element
(stealing) a class C felony if the value is $500 to $25,000 and a
class B felony if the value is $25,000 or more.

A person who has pled guilty or been found guilty on two separate
occasions of a stealing-related offense, within 10 years of the
present offense and where the person received and served a
sentence of 10 days or more on such previous offense, is guilty
of a class C felony if the person is found guilty or pleads
guilty on the present offense.

The substitute also adds an additional $1 per check charge to
handling costs collected from issuers of bad checks.  The charge
will be deposited in the Missouri Office of Prosecution Services
Fund.

The substitute contains a severability clause.

FISCAL NOTE:  Estimated Net Cost to General Revenue Fund of Less
than $100,000 in FY 2003, FY 2004, and FY 2005.  Estimated Net
Income to Office of Prosecution Services Fund of Unknown in FY
2003, FY 2004, and FY 2005.

PROPONENTS:  Supporters say that going through pawnshop
transactions by hand is nearly impossible.  The substitute will
help victims get their property back, will allow searches across
jurisdictions, and will eliminate pawnbrokers' liability for
privacy.  The database can only be accessed by law enforcement
officials.

Testifying for the bill were Senator Westfall; Missouri Retailers
Association; and Missouri Grocers Association.

OPPONENTS:  Those who oppose the bill say that it will do more
harm than good and is not necessary.

Testifying against the bill was Representative Behnen.

Julie Jinkens McNitt, Legislative Analyst

Missouri House of Representatives
Last Updated October 11, 2002 at 9:04 am