You may need to get a certificate

You will need to become a certificate holder if, with the authority of the licence holder, you:

• enter into transactions on behalf of a licensed secondhand dealer; or
• issue pledge tickets on behalf of a licensed pawnbroker.

You must also hold a certificate if you manage, supervise, or control someone who:

• enters into transactions on behalf of licensed secondhand dealer; or
• issues pledges on behalf of a licensed pawnbroker.

Two month grace-period

You may be exempt from having to hold a certificate for a two-month grace period. That grace-period applies from the time you were first authorised by the licence holder to act on his or her behalf. You will not have to hold a certificate during that period, if:

• both you and the licence holder
• believe, on reasonable grounds,
• that you are not disqualified from holding a certificate.

If either you or the licence holder believe that you may be disqualified, you must apply for and be granted a certificate before you can enter into any transactions or issue any pledge tickets.

Offences

You will be committing an offence if, without holding a certificate, you knowingly:

• enter into a transaction on behalf of a licensed secondhand dealer;
• issue a pledge ticket on behalf of a licensed pawnbroker;
• manage, supervise, or control a person who enters into a transaction or issues pledge tickets on behalf of a licence holder.

This offence carries a fine of up to $10,000.

A licence holder would also commit an offence in those circumstances. He or she would be liable for a fine of up to $10,000.

Obviously, these offences would not apply to transactions conducted and pledges issued during the two month grace-period.

Process for becoming a certificate holder

Applications to become a certificate holder must be made to the Secondhand Dealers and Pawnbrokers Licensing Authority.

Applying for a Certificate

Your application must be on the form approved by the Licensing Authority.

Individual applicants

You will have to provide certain details in your application. These will include your:

• full name;
• date of birth; and
• contact address.

You must complete a statutory declaration as to the truth of the information supplied in the application.

Your application must be submitted to Authority with:

• the prescribed fee; and
• two appropriately authenticated photographs.

How does the Authority handle the application?

The Secondhand Dealers and Pawnbrokers Licensing Authority will make whatever inquiries are necessary to determine whether you are disqualified from holding a certificate. Your criminal history will be checked.

Police’s power to object

New Zealand Police can object to any application on the basis that the applicant is "not a fit and proper person" to hold a certificate.

The grant of a certificate

The Authority must issue you a certificate unless:

• you are automatically disqualified (and you have not been granted a waiver)
• the Authority upholds a Police objection against you, or
• you failed to comply with one of the requirements for the application, eg you did not pay the prescribed application fee.

Refusal to issue a certificate

If your application for a certificate is refused, the Licensing Authority will notify you in writing and give reasons for the refusal.

If you have any queries about applying for a certificate you should contact the Ministry of Justice.