Tommy Broughan (Dublin North East, Independent)
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Question 252: To ask the Minister for Justice and Law Reform the measures he will take to review the activities of cash-for-gold operations; and if he will make a statement on the matter. [47721/10]

Martin Ferris (Kerry North, Sinn Fein)
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Question 257: To ask the Minister for Justice and Law Reform his views on the proliferation of gold for cash shops where gold is bought over the counter with seemingly no requirement to produce evidence of direct ownership; his plans to tackle this area which many believe is encouraging theft; and if he will make a statement on the matter. [47849/10]

Dermot Ahern (Louth, Fianna Fail)
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I propose to take Questions Nos. 252 and 257 together.

The Deputy will be aware that there has been a significant increase in the number of outlets offering to buy gold for cash in towns and cities in the State. I understand that some established jewellers also offer to buy gold and jewellery for cash. In addition it is understood that many kiosks are situated in hotels or shopping centres operated by individuals that are employed by a number of companies buying gold for cash. The prevalence of this trade would appear to be linked to the high price that gold now commands on international markets, and the 'cash for gold' concept would appear to be an international phenomenon. I am aware that the trade gives rise to concerns reported in communities about crime that may be linked to the cash for gold trade.

The informal purchase of jewellery is not specifically regulated in criminal legislation; however the circumstances under which jewellery is being bought and/or sold may indicate the commission of certain offences, for example handling stolen property and / or possession of stolen property under sections 17 and 18 of the Criminal Justice (Theft and Fraud Offences) Act, 2001.

Section 17 of the Act in essence provides that a person is guilty of handling stolen property if he or she, knowing that the property was stolen or being reckless as to whether it was stolen, dishonestly receives or arranges to receive it, or undertakes, or assists in, its retention, removal, disposal or realisation by or for the benefit of another person, or arranges to do so. A person guilty of handling stolen property is liable on conviction on indictment to a fine or imprisonment for a term not exceeding 10 years or both.

Section 18 of the Act in essence provides that a person who, without lawful authority or excuse, possesses stolen property knowing that the property was stolen or being reckless as to whether it was stolen, is guilty of an offence. A person guilty of an offence under this section is liable on conviction on indictment to a fine or imprisonment for a term not exceeding 5 years or both.

An Garda Síochána enforce the provisions of the criminal law in respect of theft and robbery including the theft and robbery of jewellery and gold. Should members of the public have suspicions that goods being sold or traded may be stolen, the correct action is for these suspicions to be referred to An Garda Síochána for investigation.

To take account of concerns about the matter, my Department last month formally asked the Commissioner of An Garda Síochána to ascertain his view as to the extent, if any, that criminal offences are being committed in the procurement and receipt of gold and similar items in transactions carried out at the cash for gold locations. In particular the Commissioner has been requested to examine whether the trade may be linked generally or in particular areas to burglary offences; whether Criminal Justice legislation, and in particular, the Criminal Justice (Theft and Fraud Offences) Act 2001 is adequate in the context of cash for gold transactions; whether criminal elements involved in organised crime or otherwise may be connected with the operation and ownership of the cash for gold outlets; and whether any new legislative provision may be required to address criminality in respect of cash for gold transactions.

I can assure the Deputy that as soon as the outcome of this examination of the matter is to hand, I will make an assessment as to what if any action, legislative or otherwise may be required.