Jonathan O'Brien (Cork North Central, Sinn Fein)

I also thank Deputy Mattie McGrath for submitting this Bill. It is an important piece of legislation and I hope that the Government is open to accepting it and allowing it to proceed to Committee Stage. If it has some concerns around the contents of the Bill, I am sure these can be addressed on Committee Stage.

My party will support the Bill, if it goes to a vote. We believe it is a good attempt to deal with a growing problem. As Deputy Calleary stated, over the past 18 months or two years there has been an increasing trade in scrap and precious metal. We are hearing stories which range from the theft of artifacts and modern art on the side of the road, right down to burglary of jewellery, which is of sentimental value, in housing estates. It is an issue across a broad spectrum of society, in both rural and urban areas, and it needs to be dealt with.

There is certainly a need to regulate and provide stricter controles in the area. I take on board what the Fine Gael Deputy stated earlier, that we need to include provisions that protect those above board engaged in this activity who are trying to make a living. There is no reason we should be trying to put extra controls in place which would harm their business. If anything, by regulating the sector and by introducing stricter controls, we would enhance their business because it would get rid of many from a dubious background engaged in this activity.

The cash-for-gold sector is a problem. I note the Minister, Deputy Shatter, has a group looking at it and its report is due. I do not know whether the report is complete and merely not published, or whether it is still under consideration. It is a matter which the Minister stated in the past he was determined to deal with. If that is the case and the Minister has proposals to deal with it, he will certainly get support from this side of the House.

It is something that the local JPCs have had on their agenda for a number of months. In my area, in the lead up to Christmas there was a concern. There was a number of outlets opening up within supermarkets, where, in a little corner, one person would be behind a table with a little weighing scales. There was no regulation on it and anyone could go in. There even were cases where persons as young as 14 and 15 years were going in selling jewellery, with no questions asked by those behind the counter, who just took it and gave them money for it.

Much of that jewellery was stolen from homes. A devastated woman who came to my constituency office had been the victim of a burglary in which nothing was stolen but her jewellery. Its monetary value was very low but it had considerable sentimental value because it had been in the family for years and was passed down from the woman's mother and grandmother. It was heartbreaking to listen to her. I would imagine the jewellery was sold within hours of its being stolen. This is what we need to regulate.

The proposals in the Bill are very measured. This there is no reason somebody entering a cash-for-gold shop should not be able to produce photographic identification. The Bill refers to a utility bill to demonstrate proof of address. A description of the jewellery being sold should be provided, including references to distinguishing marks, dates and engravings. All these details should be logged and kept for 30 days before the jewellery is melted down or sold on by the outlet. If this were done, the Garda would have an opportunity to visit the local outlets to study the records. The provisions of the Bill are very measured and should be supported.

Deputy McGrath, in referring to the records that are to be kept, refers to the signature of the seller, the time and date of the sale, the signature of the employee conducting the transaction on behalf of the shop, the seller's proof of identity, such as a driving license or passport, proof of address, the price paid and distinguishing marks. These are all reasonable criteria. No legitimate operator would be opposed to this type of regulation because it would establish protections for himself or herself also.

We need to deal with this issue, which has also arisen in the North. It has arisen in my discussions with councillors throughout the State. It is a very widespread problem and regulation is required. Before Christmas, cash-for-gold shops were mushrooming out of the ground, and some have closed since. There is no way of even knowing who was operating the businesses. They do not have to register with anyone. They ought to register with the Revenue Commissioners, including for VAT. Not only are the victims of burglaries losing out, the State is losing out on potential revenue.

In times of recession, the outfits in question certainly take advantage of the economic circumstances. Before Christmas, the gardaí in my area visited all the cash-for-gold outlets. it is hard to do this on an ongoing basis. With the cutbacks in Garda resources, it is just not feasible for the force to visit these outlets weekly and do background checks on some of the transactions that have taken place.

I urge the Minister to accept the Bill on Second Stage. If he has concerns about it, let us deal with them on Committee Stage. What is the position on the report the Department is producing on the cash-for-gold trade? If the Minister has proposals, I asked that they be shared with the House today. If he is to oppose this Bill - I hope he does not - he should at least tell us the proposals that the Government will make to have regulation in this area.

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