Operators must use non-cash payment methods for certain metal purchases, report check payments, verify seller identity and address in some cases, and avoid cashing seller checks on-site.
§1973. Payment by loadable payment card or check for copper, aluminum-copper air conditioning coils, or other metals required; check cashing prohibited A.(1) An operator shall not enter into any cash transactions in payment for the purchase of copper or aluminum-copper air conditioning coils. After five business days from the date of the transaction, payment for copper or aluminum-copper air conditioning coils shall be made in the form of a check made payable to the name and address of the seller of the copper or aluminum-copper air conditioning coils, or a loadable payment card and shall be tendered to the seller in any of the following manners: (a) By mail to the address recorded on the photo identification of the seller. (b) In person at the place of business of the operator. (c) By electronic transfer. (2) An operator shall not enter into any cash transactions in excess of three hundred dollars in payment for the purchase of metal property other than copper or aluminum-copper air conditioning coils. Payments in excess of three hundred dollars for metals other than copper or aluminum-copper air conditioning coils shall be made in the form of a check made payable to the name and address of the seller or a loadable payment card and may be tendered to the seller at the time of the transaction. The operator, at his discretion, may make payment by either cash or other method for transactions of three hundred dollars or less for all metals other than copper or aluminum-copper air conditioning coils. B. All payments made by check shall be reported separately in the daily reports required by R.S. 37:1967. C. Pursuant to the provisions of this Section, if an operator makes a payment to the seller in the form of a check or loadable payment card, the operator shall require verification of the seller's identification by a driver's license or similar means and shall require verification of the seller's address by a current utility bill. The operator shall retain a copy of such utility bill. D.(1) No operator shall allow a seller to engage in multiple transactions within a twenty-four hour period totaling more than three hundred dollars for the purpose of circumventing this Section. (2) No operator shall cash, offer to cash, or provide the means for exchanging for cash a check issued to a seller pursuant to this Section on the premises of the operator's place of business, including but not limited to the use of an automatic teller machine. E. Violations of this Section shall be subject to the penalties provided for in R.S. 37:1974 and 1975. Acts 2012, No. 827, §1, eff. June 14, 2012; Acts 2013, No. 92, §1; Acts 2014, No. 243, §1.