Newsletter
New Amendment to the Pawnshop Act
In conjunction with the abolishment of the Act for Eliminating Hoodlums and to change the authority of the competent government agencies, two minor amendments have been made to the Pawnshop Act:
Article 5
Any person with one of the following conditions may not act as the pawnbroker of a pawnshop. If a person with one of the following conditions has already acted as the pawnbroker of a pawnshop, he/she shall be dismissed, and the competent authority shall notify the authorities governing businesses or companies to revoke the registration of the pawnbroker.
- A person who has ever violated the provisions of the Organized Crimes Prevention Act and has been finally convicted.
- A person who has violated the provisions of the Anti-Corruption Act or the Money Laundering Control Act, or committed larceny, forcible seizure, robbery, kidnapping, offenses relating to stolen goods, fraud, breach of trust, embezzlement or usury, and has been finally convicted, has not served the sentence yet, or has not completed serving the sentence, or has completed serving the sentence for less than five years.
- A person who has been adjudicated bankrupt and has not been reinstated yet.
- A person’s checks are still dishonored.
- A person who used to be a pawnbroker, and his/her license of the pawnshop was revoked for the violation of Article 28 of this Act.
Article 12
A pawnshop shall purchase liability insurance from insurance companies approved by the Financial Supervisory Committee. The aggregate limit of insurance shall be jointly determined by the central competent authorities and the Financial Supervisory Committee.
The liability insurance prescribed in the preceding paragraph shall be purchased before the pawnshop commences its operation, and the insurance contract shall continue and remain in effect.