Cash-For-Gold Shops Face More Regulations [AUDIO]

With many folks desperate to get their hands on any extra money possible, cash-for-gold establishments have been popping up all over New Jersey. Under current state law, they are required to submit transaction records to law enforcement officials. However, some towns feel more rules are needed.

Cherry Hill officials have requested that jewelry buyers use a computer system to record all transactions. The reporting would be done so within 48 hours of the sale.

"This is just an easier way for detectives to get the information, and it's a more complete way of getting that information," explained Lieutenant Sean Redmond with the Cherry Hill Police Department, who said gold buyers oftentimes come in contact with stolen property.

"It's better for us to track where this property comes from," he added.

There are nearly 30 cash-for-gold shops in Toms River, which already has its own additional rules in place.

Protections for Robbery Victims

Police Chief Mike Mastronardy said, "proponent number one" of the township's effort is take pictures of the property involved in each transaction so that the victims of robbery can identify their valuables.

"We want to be able to identify stolen jewelry and return it to victims, prior to it being destroyed," Mastronardy said.

The gold purchased by the shops is, in most cases, melted down and then sold to refineries.

Mastronardy said he and other police chiefs in New Jersey have had discussions with Senate President Steve Sweeney to develop legislation for improved regulations on cash-for-gold establishments.

He noted the proposed changes should not be construed as an attack on jewelry buyers. He said the goal is to help investigators and the public, not to interfere with anyone's business.