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ARTICLE II. PRECIOUS METALS DEALER LICENSES
§ 60.300 DEFINITIONS
   For the purposes of this article, the following words and phrases shall have the meanings respectively ascribed to them:
   "PRECIOUS METAL." Gold, silver, or platinum, alone or in combination, to include coins.
   "PRECIOUS METALS DEALER." Any person, firm or corporation engaged in the business of purchasing or acquiring secondhand any item containing any precious metal.
   "CANVASSER OR SOLICITOR." Any person, firm or corporation who, as the duly authorized representative or agent of a dealer, shall canvass or solicit for the secondhand purchase or acquisition of any item containing any precious metal.
   "WORKING DAYS." Any Monday through Friday of any week, excluding holidays recognized by the city.
(Ord. No. 11.81, 6-16-81)
§ 60.301 LICENSE REQUIRED
   (A)   In addition to any other occupational license required by the city, each precious metals dealer must obtain a license from the city for the privilege of conducting the business of secondhand transactions in items containing precious metals.
   (B)   A precious metals dealers license shall be issued by the city clerk, after receipt of a notice from the city police department that the prospective licensee has complied with application requirements of this article.
   (C)   A precious metals dealers license must be applied for to the police department of the city. The application shall be on a standard form furnished by the police department and shall contain all information determined by that department to be necessary for an evaluation of the applicant's eligibility for licensure.
   (D)   The police department shall, within twenty (20) working days of receipt of a completed application form, make a complete review of the accuracy of the information including a criminal records check on any individual named within the application. The following standards shall apply concerning issuance:
      (1)   No license shall be issued to or held by any person not of good moral character, nor shall a license be issued to any corporation or partnership whose chief officers or members are persons not of good moral character.
      (2)   No dealer, canvasser or solicitor shall have been convicted of a felony involving moral turpitude.
      (3)   No dealer, canvasser or solicitor shall have been convicted of a criminal misdemeanor involving moral turpitude within the past two (2) years.
      (4)   As part of the application process, a prospective dealer must present proof that, if approved for licensure, he or she can secure an approved indemnity bond in the amount of one thousand ($1,000.00) dollars issued by a surety company authorized to transact business within the Commonwealth of Kentucky, or can post a cash bond in that amount.
   (E)   The city clerk shall issue the license upon notification by the police department that the application is approved and the applicant has posted the bond required under this section.
   (F)   If the application is to be denied, the police department shall provide the applicant with the written notification including a statement of the reasons of denial, and any aggrieved applicant shall, within thirty (30) days of the action, have a right to request a hearing before the chief of police.
   (G)   The police department shall have the authority to suspend or revoke any license issued pursuant to this article for any violation of the terms of this article. However, any aggrieved licensee shall, within thirty (30) days of such action, have a right to request a hearing before the legislative body of the city.
   (H)   Licenses issued under this section shall not be transferable. An individual license is required for each place of business conducted by a dealer. The license, or a copy thereof, must be posted in a conspicuous place in each place of business.
   (I)   The cost of the precious metals dealers license shall be fifty ($50.00) dollars per year the cost of which is not proratable, and is in addition to any other license fee required.
(Ord. No. 11.81, § 2, 6-18-81)
§ 60.302 RECORD KEEPING REQUIRED
   (A)   Each precious metals dealer shall keep a record, on a standard form furnished by the police department, of each transaction involving the secondhand purchase by the dealer of an item containing a precious metal. The form shall be prepared in ink, in duplicate; the original to be retained by the dealer, the duplicate to be filed by the dealer with the police department by the close of business on the first working day after the completion of the transaction.
   (B)   The following must be noted concerning the transaction:
      (1)   Date
      (2)   Time
      (3)   Amount paid
      (4)   Disposition of the item, including name and address of purchaser.
   (C)   The following record must be kept relating to the articles sold:
      (1)   Description of the item to include:
         (a)   Manufacturer's name
         (b)   Serial number, if any
         (c)   Any distinguishing marks
         (d)   Weight of the item
         (e)   Pattern
         (f)   Number of items
         (g)   Setting on any precious or semiprecious stones
      (2)   A photograph of the item.
   (D)   The following records must be kept relating to the seller:
      (1)   Name
      (2)   Address
      (3)   Date of birth
      (4)   Age
      (5)   Hair color
      (6)   Race
      (7)   Sex
      (8)   Height
      (9)   Weight
      (10)   Build
      (11)   General appearance
      (12)   Distinguishing marks
      (13)   A legible right thumbprint
      (14)   Social security account number
      (15)   Photograph
   (E)   The method of identification shall include two (2) identification cards, one with a picture and one corroborating, to include numbers from the cards.
   (F)   The original record of each secondhand transaction in any item containing any precious metal shall be subject to inspection and examination by any member of the police department, and any member of the police department shall be permitted to examine and inspect any and all items purchased by a precious metals dealer which fall within the scope of this article.
   (G)   There is specifically excepted from the terms of this article any transaction by a person engaged in business within the city, possessing a current business license from the city, who is either accepting returns for cash, credit or replacement of any item originally purchased from said person, or exchanging an item for another item of greater value. In addition, the terms of this article shall not include any purchase by a retailer from a bona fide manufacturer, nor any banking institution licensed to do business in the Commonwealth of Kentucky.
(Ord. No. 11.81, § 3, 6-16-81)
§ 60.303 [RESERVED]
§ 60.304 BOND
   (A)   Before engaging in the business of purchasing secondhand items containing precious metals, a dealer shall post a bond with the city clerk, in the amount of one thousand ($1,000.00) dollars either with a surety company licensed to do business in the Commonwealth of Kentucky or in cash.
   (B)   The bond required in this article shall be for a term of one (1) year following the cessation of doing business in precious metals. The bond shall inure to the benefit of the city, or to any person who shall be injured or sustain damage proximately caused by the failure to comply with the terms of this article by any precious metals dealer, canvasser, solicitor or other agent or employee of the dealer.
(Ord. No. 11.81, § 5, 6-16-81)
§ 60.305 REGULATION OF TRANSACTIONS
   (A)   No precious metals dealer shall transact any business involving a secondhand purchase of an item containing a precious metal from a minor unless the minor is accompanied by a parent or guardian.
   (B)   No precious metals dealer shall transact business involving a secondhand purchase of an item containing a precious metal which item the dealer knows or has reason to believe is stolen.
(Ord. No. 11.81, § 6, 6-16-81)
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