Operators must get signed statements before buying certain scrap or railroad materials, keep the statements, and try to verify them.
§1970. Statement by seller required; failure to exact statement evidence of fraudulent intent; exoneration from criminal knowledge A. Every operator shall obtain a signed statement from the seller that the scrap metal has been paid for or is owned by the seller, and a failure of the operator to exact a statement from the seller shall be prima facie evidence of the fraudulent intent and guilty knowledge on the part of the operator within the meaning of this Chapter, sufficient to warrant a conviction. B. In transactions involving railroad track materials, an operator shall require the party seeking to sell or dispose of the materials to furnish a signed statement from the appropriate railroad company consenting to the sale of the railroad track materials identified in the statement, which shall be retained by the operator. The statement shall include the name of the railroad company consenting to the sale and the name, employee number, and phone number of the person signing the statement authorizing the sale. The operator shall attempt to verify the authenticity of the statement authorizing the sale of the railroad track materials. C.(1) An operator shall not purchase any of the following materials without first receiving a signed statement from the company or governmental entity owning the materials and consenting to the sale of the materials identified in the statement: (a) Infrastructure grade regulated material that has been burned to remove insulation, unless the seller can produce written proof that the regulated material was lawfully burned. (b) Burnt wire. (c) Regulated material where the manufacturer's make, model, serial or personal identification number, or other identifying marks engraved or etched upon the material have been conspicuously removed or altered. (d) Regulated material marked with the name, initials, or otherwise identified as the property of an electrical company, a telephone company, a cable company, a water company or other utility company, or a governmental entity. (e) A utility access cover. (f) A water meter cover. (g) A road or bridge guard rail. (h) A highway or street sign. (i) A traffic directional or control sign or signal. (j) A metal beer keg that is clearly marked as being the property of the beer manufacturer. (k) A catalytic converter that is not part of an entire motor vehicle. (2) The statement shall include the name of the company or governmental entity consenting to the sale and the name, employee number, and phone number of the person signing the statement authorizing the sale. The operator shall attempt to verify the authenticity of the statement authorizing the sale of the materials. The statement shall be retained by the operator. D. An operator who obtains the required statement from the seller shall be exonerated from any fraudulent, willful, or criminal knowledge within the meaning of this Chapter. Acts 2012, No. 827, §1, eff. June 14, 2012.