Canadian City Cracking Down on Metal Thefts

The City of Richmond (British Columbia) is hoping to make life difficult for metal thieves by placing new restrictions on local recyclers that will see police informed regularly of potentially questionable deals.

But Arthur Weinstein, of Allied Salvage and Metals, says he won’t comply with the bylaw if his lawyers advise him releasing information on his clients is illegal. He said a representative from the Canadian Association of Recycling Industries, to which he belongs, has indicated that he shouldn’t release blanket information about his customers.

"We can’t give out blanket information because that’s against the law."

The city’s community safety committee unanimously agreed last week with a staff recommendation to amend a city bylaw that deals with scrap metal dealers.

If approved by council, the new rules would raise the fine for a violation to $1,000 and require dealers to submit to police all transaction information on a regular basis, which isn’t the case currently.

City of Richmond spokesperson Kim Decker said the city believes it is on firm legal ground if it passes the bylaw. She referred to the B.C. Supreme Court decision in a case between Royal City Jewellers & Loans Ltd. and New Westminster. In that case, the court upheld the city’s right to require a pawnbroker to collect and deliver detailed transaction related information to the police.

The local amendments would require Richmond scrap dealers to hold on to second-hand goods for 30 days if they’re reported electronically, or 45 days if recorded by written registry.

There’s a seven-day holding period for scrap metal transactions if they are reported electronically. The alternative would require a 21-day holding period.

Scrap metal deals would only be permitted between 8 a.m. and 8 p.m.

Exempt from the new rules are deals between licensed scrap metal dealers, manufacturers, wholesalers and distributors.

Weinstein said the new rules likely won’t affect his business, because walk-ups are just a fraction of his business. And he said consumers might be harshly impacted by the new rules, since metal prices are volatile and prices may drop during the holding period.

The bylaw was prompted by a rash of metal thefts.

Metal prices have recently skyrocketed by up to 80 per cent, and street signs, copper wiring, aluminum goal posts and brass memorial plaques.

"Some items, such as street signs and stop signs, are distinguishable as stolen property belonging to municipalities. Even then, some scrap metal dealers are exchanging these items for cash, with no questions asked," the staff report to the city states.

Other cities, including Vancouver and Chilliwack, have implemented regulations for the registration of goods purchased by dealers.

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If council approves the amendment, it will be acting against the advice of the Office of the Information & Privacy Commissioner.

Privacy commissioner David Loukidelis has said he has concerns about the collection of information being "handed over to police."

Loukidelis said none of the bylaws his office reviewed contained "measures to ensure personal information is used properly or to ensure it’s not used or disclosed inappropriately." He said it should be left up to the courts to issue warrants for customer information "on a case-by-case basis." Richmond Review