Senate Bill to Regulate Cash Converters: Much Needed, Long Over-Due

An important piece of legislation is currently in review and appears to be on th

e way to approval. North Carolina Senate Bill 144 will place “cash converters” under
the same reporting regulations that the pawn industry has operated with since 1
989.
Durham, NC, May 18, 2011 -- An important piece of legislation is currently in re
view and appears to be on the way to approval. North Carolina Senate Bill 144 wi
ll place “cash converters” under the same reporting regulations that the pawn indust
ry has operated with since 1989. “Cash converters” operate in much the same way as p
awn dealers. They purchase pre-owned merchandise for cash (or check). However, t
he simple name difference allows them to operate unregulated. The lack of oversi
ght of the cash converters has created a possible haven for thieves to unload th
eir stolen merchandise. Contrary to common public opinion, pawn stores take in v
ery, very little stolen property because the criminals know that pawnbrokers are
required to keep detailed records and report all of their purchases to the poli
ce.
“Pawn store operators are required to request all pawn customers to provide proof
of ID and to sign a contract stating that the item to be pawned or sold belongs
to them. Copies of all documentation along with digital security recordings aid
law enforcement in identifying suspects. Criminals know that they’re basically tur
ning themselves in if they come in to pawn stores with something stolen. If an i
tem is stolen, the person trying to pawn it is guilty of obtaining money by fals
e pretenses – a serious felony. What thief would want to turn misdemeanor larceny
into a felony?” said Bob Moulton, owner of National Pawn and President of the NC P
awnbroker’s Association. “Taking in stolen items is bad for business, and modern paw
n store owners train employees to spot suspicious items and behavior. In a case
where suspected items are confiscated, the victim receives the property back and
a criminal goes to jail, but the store loses all money paid for the items.”
Moulton continued, “Thanks to inaccurate stereotypes in movies and television, som
e people still think pawn shops are dingy junk stores complete with shady propri
etors dealing in stolen merchandise. However, today’s modern pawn shop is a highly
-regulated, responsible member of the community.”
The National Pawnbrokers Association statistics report that approximately 1/10th
of 1% (0.1%) of items received by pawnbrokers nation-wide are confiscated by po
lice under suspicion of being stolen – not proven, just suspected – which means that
99.9% of items are not. Any statistician will tell you that a number so small i
s statistically insignificant. And, no other business dealing in second hand mer
chandise can boast such numbers. I am not accusing cash converter type stores as
dealing in stolen merchandise. I am only stating the facts. There are a lot of
property crimes. Very, very little is turning up at pawn stores. It has to be go
ing elsewhere. Where is it going? You will never know unless you check. This new
law will give law enforcement the tools to do so.
With the passage of SB 144, introduced to the Finance Committee on February 24,
2011 by State Senator Wesley Meredith, District 19, along with 26 bipartisan co-
sponsors, “cash converters” will be subject to the same reporting regulations under
which the pawn industry operates. Many other states and municipalities across th
e country have already done this. I applaud the sponsors of this timely and impo
rtant legislation for their vigilant efforts to thwart crime in North Carolina.
SB 144 will protect the interests of law abiding citizens and help to solve more
property crimes.
Contact :
Sean Graham
ImpleMedia Communications
PO Box 25314
Durham, NC 27705
614-530-4290
SGraham@ImpleMedia-us.com
http://www.ImpleMedia-us.com