Second-hand dealing and pawnbroking industry breaches and penalties
On this page you'll find information about the penalties for second-hand dealer and pawnbroker offences. These fines are for individuals—corporations could face up to 5 times the maximum penalty.
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These offences relate to your conduct as a second-hand dealer or pawnbroker.
Second-hand dealer conduct
Offence
Maximum penalty
Employing someone who is under 17 to acquire second-hand goods
$33,380
Not keeping certain goods for 7 days
$33,380
Acquiring goods from someone who is under 17, or is drunk or affected by drugs
$33,380
Collecting second-hand goods on a Sunday or public holiday
$33,380
Collecting second-hand goods from someone between 6pm and 7am
$33,380
Not asking for the required information from the seller, including the owner's name and address
$33,380
Not telling the police if you suspect you possess stolen goods
$33,380
Pawnbroker conduct
Offence
Maximum penalty
Not giving your client a pawn ticket
$33,380
Not depositing your proceeds from selling pawned property into a trust account
$33,380
Not holding the proceeds in your trust account for 12 months
$33,380
Not giving unclaimed proceeds to the Public Trustee
$33,380
Employing someone who is under 17
$33,380
Acquiring property from someone who is under 17, or is drunk or affected by drugs
$33,380
Not asking for the required information from the person pawning the property
$33,380
Not telling the police if you suspect you possess stolen goods
Not giving adequate notice about an upcoming auction of pawned goods
$16,690
As a second-hand dealer or pawnbroker, you may face an inspection. Office of Fair Trading (OFT) inspectors have the legal authority to make sure you don't break the law—you must follow their lawful directions or risk a fine. Our inspectors must show you their signed photo ID.
Inspectors can:
enter any public place that is open
enter an area with the owner's permission
enter any area if they have a warrant from the Magistrates Court
search the premises
seize possessions
take copies of documents
take other people or equipment into the area.
These offences relate to non-compliance with inspectors.
Offence
Maximum penalty
Giving false or misleading information to an inspector
$33,380 or 2 years imprisonment
Obstructing an inspector or not giving them reasonable help
$33,380 or 1 year imprisonment
Not showing your licence to an inspector if asked
$33,380
Not giving your name and address to an inspector
$8,345
If you're found guilty of a disqualifying offence, you must show cause as to why you should keep your licence.
A disqualifying offence under the Second-hand Dealers and Pawnbrokers Act 2003 (SDP Act) includes:
an offence involving fraud or dishonesty that is punishable by 3 months imprisonment or more, or
an offence against a specified provision of the Criminal Code (Schedule 1 of the SDP Act) or a similar offence against a provision of another State or Australian law.
The following offences relate to your licence.
Invalid licences
Offence
Maximum penalty
Possessing a cancelled or suspended licence
$16,690
Not reporting to the Office of Fair Trading (OFT) that your licence is lost, stolen, destroyed or damaged
$8,345
Possessing a surrendered or expired licence
$3,338
Not showing your licence to a customer who asks to see it
$8,345
Change of details
Offence
Maximum penalty
Not returning a surrendered, expired or changed licence
$3,338
Not returning an old licence when you add an authorised place
$8,345
Not advising OFT if you change your home address
$8,345
Not returning your old licence when you change an address
$8,345
Not advising us if you add or remove any associates
$8,345
These offences relate to your place of business.
You must work from an authorised place of business and all of your locations must be authorised.
Offence
Maximum penalty
Pretending your place of business is authorised by a second-hand dealer's licence or pawnbroker's licence
$33,380
Doing business at a place other than an authorised place
$33,380
Not identifying (on a sign) a place of business as being authorised by a pawnbroker's licence
$8,345
These offences relate to your records.
Second-hand dealer register
Offence
Maximum penalty
Not keeping a register for each authorised place of business (printed or electronic)
$33,380
Not entering relevant details into the register
$33,380
Separating goods into parts to avoid entering the particulars in the register
$33,380
Not filling out the register promptly after transactions are completed away from an authorised place
$33,380
Not giving information from your register to the police
$33,380
Making false or misleading entries in the transaction register
$33,380
Removing an entry from the register
$33,380
Not keeping your register at the premises to which it relates and is shown on the licence
$16,690
Pawnbroker register
Offence
Maximum penalty
Not keeping a register
$33,380
Not entering the required details into—or making false or misleading entries in—the register
$33,380
Not giving information from your register to the police
$33,380
Not entering details about disposal of property into the register
$33,380
Not keeping the register at the premises to which it relates and is shown on the licence
$16,690
Not keeping a register for a location at the address stated in the licence
$16,690
Not recording in the property register that a redemption period is longer than 3 months
$3,338
Unlicensed work as a second-hand dealer or pawnbroker is against the law. These penalties relate to unlicensed work.
Offence
Maximum penalty
Operating unlicensed
$33,380
Forging or altering a licence or unlawfully possessing a document that resembles a licence
$33,380
Using another person's licence or letting another person use your licence
$33,380
Possessing someone else's licence without a reasonable excuse
