Sec. 30-1. - Definition of pawnbroker.

"Pawnbroker" means any person who lends or advances money or other things for profit on the pledge and possession of tangible personal property, or other valuable things, other than securities or written or printed evidences of indebtedness or title, or who deals in the purchasing of personal property or other valuable things on condition of selling the same back to the seller at a stipulated price.

(Ord. No. 5148-98, § 1)

Sec. 30-2. - License required; license authorized by court; building designated in license; penalty.

(a)

No person shall engage in the business of a pawnbroker without being properly licensed as authorized by the Circuit Court for the City of Newport News, Virginia.

(b)

No person shall engage in the business of a pawnbroker without having a valid business license issued by the Commissioner of the Revenue for the City of Newport News, Virginia, however, the provisions of this subsection shall not apply to any pawnbroker licensed in the Commonwealth of Virginia prior to July 1, 1998.

(c)

The Circuit Court of the City of Newport News, Virginia, may authorize the Commissioner of the Revenue for the City of Newport News, Virginia, to issue to any individual who has not been convicted of a felony or a crime involving moral turpitude in the last ten (10) years, a license to engage in the business of a pawnbroker. No such license shall be issued by the Commissioner of the Revenue for the City of Newport News, Virginia, except with such authority. Prior to the issuance of the license, the applicant shall furnish his date of birth, a sworn statement or affirmation disclosing any criminal convictions or any pending criminal charges, whether within or without the Commonwealth, and such other information as may be required by this article. The license shall designate the building in which the licensee shall carry on such business. The provisions of this subsection shall not apply to any pawnbroker licensed in the Commonwealth of Virginia prior to July 1, 1998.

(d)

No person shall engage in the business of a pawnbroker in any location other than the one (1) designated in his license, except with consent of the Circuit Court for the City of Newport News, Virginia.

(e)

Any person who violates the provisions of this section shall be guilty of a Class 1 misdemeanor. Each day's violation shall constitute a separate offense.

(Ord. No. 5148-98, § 1)

Sec. 30-3. - Bond required; private action on bond.

(a)

No person shall be licensed as a pawnbroker or engage in the business of a pawnbroker without having in existence a bond with surety in the minimum amount of fifty thousand dollars ($50,000.00) to secure the payment of any judgment recovered under the provisions of subsection (b).

(b)

Any person who recovers a judgment against a licensed pawnbroker for the pawnbroker's misconduct may maintain an action in his own name upon the bond of the pawnbroker if the execution issued upon such judgment is wholly or partially unsatisfied.

(Ord. No. 5148-98, § 1)

Sec. 30-4. - Memorandum to be given pledgor; fee; lost ticket charge.

Every pawnbroker shall at the time of each loan deliver to the person pawning or pledging anything (also known as "pawner"), a memorandum or note, signed by him, containing the information required by section 30-7. A lost-ticket fee of five dollars ($5.00) may be charged, provided that the pawner is notified of the fee on the ticket.

(Ord. No. 5148-98, § 1)

Sec. 30-5. - Sale of goods pawned.

No pawnbroker shall sell any pawn or pledge item until (i) it has been in his possession for the minimum term set forth in the memorandum, but not less than thirty (30) days plus a grace period of fifteen (15) days and (ii) a statement of ownership is obtained from the pawner. All sales of items pursuant to this section may be made by the pawnbroker in the ordinary course of his business.

(Ord. No. 5148-98, § 1)

Sec. 30-6. - Interest chargeable.

No pawnbroker shall ask, demand or receive a greater rate of interest than ten (10) percent per month on a loan of twenty-five dollars ($25.00) or less, or seven (7) percent per month on a loan of more than twenty-five dollars ($25.00) and less than one hundred dollars ($100.00), or five (5) percent per month on a loan of one hundred dollars ($100.00) or more, secured by a pledge of tangible personal property. No loan shall be divided for the purpose of increasing the percentage to be paid the pawnbroker. Loans may be renewed based on the original loan amount. Loans may not be issued that compound the interest or storage fees from previous loans on the same item.

(Ord. No. 5148-98, § 1)

Sec. 30-7. - Records to be kept; credentials of person pawning goods.

(a)

Every pawnbroker shall keep at his place of business an accurate and legible record of each loan or transaction in the course of his business, including transactions in which secondhand goods, wares or merchandise are purchased for resale. The account shall be recorded at the time of the loan or transaction and shall include:

(1)

A description, serial number, and a statement of ownership of the goods, article or thing pawned or pledged or received on account of money loaned thereon, or purchased for resale;

(2)

The time, date and place of the transaction;

(3)

The amount of money loaned thereon at the time of pledging the same, or paid as the purchase price;

(4)

The rate of interest to be paid on such loan;

(5)

The fees charged by the pawnbroker, itemizing each fee charged;

(6)

The full name, residence address, telephone number, and driver's license number or other form of identification of the person pawning, pledging or selling the goods, article or thing, together with a particular description, including the height, weight, date of birth, race, gender, hair and eye color, and any other identifying marks, of such person;

(7)

Verification of the identification by the exhibition of a government-issued identification card such as a driver's license or military identification card. The record shall contain the type of identification exhibited, the issuing agency, and the number thereon;

(8)

As to loans, the terms and conditions of the loan, including the period for which any such loan may be made; and

(9)

All other facts and circumstances respecting such loan or purchase.

(b)

The Newport News Chief of Police shall adopt regulations consistent with the regulations promulgated by the Superintendent of State Police specifying the nature of the particular description for the purposes of subdivision (a)(6) above. The Newport News Chief of Police shall adopt regulations consistent with the regulations promulgated by the Superintendent of State Police specifying the nature of identifying credentials of the person pawning, pledging or selling the goods. Such credentials shall be examined by the pawnbroker, and an appropriate record retained thereof.

(Ord. No. 5148-98, § 1; Ord. No. 5939-03, § 1)

Sec. 30-8. - Daily reports.

Every pawnbroker shall prepare a daily report of all goods, articles or things pawned or pledged with him or sold to him that day and shall file such report by noon of the following day with the Chief of Police for the City of Newport News, Virginia. The report shall include the pledgor's or seller's name, and residence and driver's license number or other form of identification, and a description of the goods, articles or other things pledged or sold. Daily reports shall be maintained in an electronic format as identified by the chief of police, and shall be filed by each pawnbroker by electronic mail or any other electronic means of reporting approved by the chief of police.

(Ord. No. 5148-98, § 1; Ord. No. 5939-03, § 1; Ord. No. 6763-11, § 1, eff. 3-1-2011)

Sec. 30-9. - Officers may examine records or property; warrantless search and seizure authorized.

Every pawnbroker and every employee of the pawnbroker shall admit to the pawnbroker's place of business during regular business hours, any duly authorized law enforcement officer of the City of Newport News, Virginia, or any law-enforcement official of the state or federal government. The pawnbroker or employee shall permit the officer to (i) examine all records required by this article and any article listed in a record which is believed by the officer to be missing or stolen and (ii) search for and take into possession any article known to him to be missing, or known or believed by him to have been stolen. However, the officer shall not take possession of any article without providing to the pawnbroker a receipt.

(Ord. No. 5148-98, § 1)

Sec. 30-10. - Property pawned not to be disfigured or changed.

No property received on deposit or pledge or purchased by any pawnbroker shall be disfigured or its identity destroyed or affected in any manner so long as it continues in pawn or in the possession of the pawnbroker, nor shall any property be concealed for forty-eight (48) hours after the property is received by the pawnbroker while in pawn.

(Ord. No. 5148-98, § 1; Ord. No. 5939-03, § 1)

Sec. 30-11. - Care of tangible personal property; evaluation fee.

(a)

Pawnbrokers shall store, care for and protect all of the tangible personal property in the pawnbroker's possession and protect the property from damage or misuse. Nothing in this article shall be construed to mean that pawnbrokers are insurers of pawned property in their possession.

(b)

A pawnbroker may charge a monthly storage fee for any items requiring storage, which fee shall not exceed five (5) percent of the amount loaned on such item.

(Ord. No. 5148-98, § 1)

Sec. 30-12. - Penalties.

Except as otherwise provided in section 30-2, any licensed pawnbroker who violates any of the provisions of this chapter shall be guilty of a Class 4 misdemeanor. In addition, the court may revoke or suspend the pawnbroker's license for second and subsequent offenses.

(Ord. No. 5148-98, § 1)

Secs. 30-13—30-20. - Reserved.