HOUSE CONCURRENT RESOLUTION 129

                           (By Delegate Sobonya)              

[March 12, 2016]

Requesting the Joint Committee on Government and Finance study the practice of pawnbrokers purchasing and re-selling gift cards.    

Whereas, Security and loss prevention experts have discovered a new method in retail theft, which involves thieves going back to the point of the crime and returning stolen merchandise for the lone intention of receiving store credit in the form of easily transferable gift cards. The gift cards are a way for thieves to quickly acquire cash for stolen merchandise, by selling them secondary market, which includes pawnbrokers; and  

Whereas, Organized crime rings of criminals use stolen credit cards to buy gift cards and resell them, often to pawnbrokers and other non-authorized sellers.  Despite warnings from retailers and consumer protection experts, who say there are no guarantees gift cards sold outside of stores are legitimate, many shoppers continue to buy gift cards that have been fraudulently acquired; and 

Whereas, The practice of pawnbrokers buying gift cards and reselling them is a part of a secondary market that can support retail theft; and

Whereas, Studying the practice of pawnbrokers purchasing and re-selling gift cards is necessary to determine future action by the Legislature; therefore, be it

Resolved by the Legislature of West Virginia:

That the Joint Committee on Government and Finance is hereby requested to study the practice of pawnbrokers buying and reselling gift cards; and, be it

Further Resolved, That the Joint Committee on Government and Finance report to the regular session of the Legislature, 2017, on its findings, conclusions, and recommendations, together with drafts of any legislation necessary to effectuate its recommendations; and, be it

Further Resolved, That the expenses necessary to conduct this study and to prepare and draft necessary legislation be paid from legislative appropriations to the Joint Committee on Government and Finance.