SalemNews.com, Salem, MA

Local News

February 7, 2013

Danvers selectmen hit Gold Buyers with 7-day suspension

DANVERS — Selectmen have ordered Gold Buyers, a second-hand gold and jewelry store at the Liberty Tree Mall, to shut down for seven days beginning Feb. 11 after deciding the store had failed to heed its past warning about incomplete record keeping.

The action was taken after a public hearing scheduled after selectmen learned the store had agreed to buy jewelry from a seller using a Brazilian passport issued by the Brazilian Consulate in Boston to a fake Everett address.

The business had gotten into trouble in October after police complained about lax record-keeping. Such stores are required to keep detailed records to ensure that they are not dealing in stolen merchandise and that police can track any items that might have been stolen. At that time, selectmen ordered a seven-day suspension of the store’s license, but held it in abeyance for a year — meaning the store didn’t have to close — providing there were no further problems.

After this most recent problem, selectmen voted 3-2 Tuesday to order the store to serve that seven-day suspension. Selectmen also suspended the store’s license for another three days for the latest problem, but held this suspension in abeyance for one year.

Selectmen Dan Bennett, Bill Clark and Gardner Trask voted in favor of the seven-day suspension. Selectmen Mike Powers and Keith Lucy voted against it, arguing that the new violation was a minor incident and involved employees who appeared to be confused about the proper procedures.

The Mahwah, N.J.-based chain has more than 200 stores that buy gold.

Bob Knapp, Gold Buyers’ director of loss prevention, said while the incident involved a minor transaction, it was serious and could cost the district manager his job.

“I don’t look forward to being here,” said Knapp, who had appeared in the fall for the prior hearing. Knapp did not contest the facts in the police report.

Staff writer Ethan Forman can be reached at 978-338-2673, by email at eforman@salemnews.com or on Twitter at @DanverSalemNews.

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