Tommy Broughan (Dublin North East, Independent)

I thank the Ceann Comhairle for the opportunity to raise this important issue. At a number of recent community and constituency meetings as well as at my constituency information clinics, grave concerns have been raised by citizens about the recent proliferation of gold shops and gold trader operations across the Dublin region which seem to be linked to the recession and current economic climate. I understand the issue also featured recently on the "Liveline" radio programme when residents from throughout Ireland highlighted the recent huge upsurge of gold trading operations and widespread advertisements in the national and local press.

I acknowledge that an overwhelming number of jewellery shops and businesses are involved in legitimate buying and selling of jewellery and other gold items but on-street and door-to-door gold operations are causing serious disquiet among many citizens. Some of my constituents believe gold jewellery and other items stolen in the recent upsurge in robberies and house burglaries are turning up in some of these operations.

The media have highlighted the huge increase in house break-ins in certain urban areas. The most recent third quarter CSO statistics highlighted a 21% increase in the number of robbery, extortion and hijacking offences. There was a slight decrease of 16% in the number of burglaries in the third quarter but this came on the back of a one third increase in the number of robberies in the second quarter of 2010. It is clear that the levels of robberies and burglaries remain unacceptably high.

Many reputable and legitimate businesses are involved in the trading of gold jewellery but the mushrooming of gold trading operations has given rise to many questions. Is the Minister of State concerned about the apparent lack of regulation of the trade in gold jewellery? There have been many disastrous examples of the lack of regulation of various industries under this Government, including the taxi, banking, financial and building industries, and the Government should act quickly to address this issue.

Citizens have asked me if a licensing procedure has been put in place for the establishment and operation of gold shops, on-street or door-to-door gold trading operations. Can anyone establish a gold trading operation, even if he or she has a past conviction for handling stolen property? Do any legal requirements apply for the establishment of a gold trading operation, whether mobile or in a premises? If there is no licensing regime, why will the Government not urgently establish one? Legitimate gold businesses would have no problem with this as it would exclude unscrupulous traders.

I hope the Government will consider introducing a system of invigilation to make it easier to track items of jewellery and other gold products received by businesses in response to allegations that stolen property may be turning up in shops. Have procedures been put in place to compel gold vendors to show that their products have been legally acquired where gardaí doubt their legal provenance? I understand that some shops have asked and continue to ask an individual selling them items to produce identification. Perhaps the Government would consider making the sale of any gold item dependent on a copy of valid identification being kept on the purchaser's records. Many businesses depend on proof of identity. How can the Garda address the problem of robberies and burglaries if gold jewellery trading operations can operate with impunity? The Garda should be asked to conduct spot checks of gold trading operations for jewellery and other gold items stolen in house burglaries.

The lack of regulation of the trade in gold jewellery is damaging legitimate traders and causing concern in communities. A licensing system for gold traders, identification of gold vendors and regular spot checks by the Garda are key elements for the regulation of this mushrooming trade.

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