PRECIOUS METAL CONTROL ACTIVITY

The Government Office of the Capital City Budapest supervise the legal regulations relating to precious metal articles based on Ministerial Decree nr. 35/2011. (IX. 14.) NGM (the Ministry for National Economy)

Inspections shall cover the following, in particular:

• Whether the economic organization possess the activity authorization issued by the Authority.

• Whether the shop assistant possess the professional qualification in accordance with 21/2010. (V. 14.) NFGM.

• Whether the economic organization has met the requirements for announcement of posting and separation of precious metal articles.

• Whether the precious metal articles subject to hallmarking are correctly hallmarked.

• Whether there is any precious metal article in the store (workshop):

• which is provided with a false hallmark obtained in whatever manner,

• for which hallmark has been transferred or soldered from another article,

• which has been manufactured as empty but which has been filled up by an alien material after hallmarking,

• which has been made heavier in whatever manner after hallmarking.

Within the framework of field inspection the Authority supervise the precious metal trader (hereinafter referred to as: provider) respecting the activity of anti-money laundering and combating the financing of terrorism in accordance with Act CXXXVI of 2007 on the Prevention and Combating of Money Laundering and Terrorist Financing (hereinafter referred to as: CMLA) Section 1 j) and Section 5 f.

On the basis of the CMLA, the Authority supervises:

• Whether the provider possess the approved internal regulation.

• The presence of identifier person.

• Whether the provider possess the identification forms at site.

• Whether the provider keep records of cash purchasing.

• The way of information flowing between the premises.

• The existence of education journal.

Field inspections shall be carried out normally during business hours or during operation of the workshop. Over these hours, field inspections may only be carried out if it is indispensable for revealing any abuse.

During such field inspection, the owner or head of the workshop or store or his/her agent shall co-operate, shall assist the individuals assigned to such inspection, and shall provide for the efficiency of the surveillance activity. He/she shall open the premises, cabinets and cases marked by the individuals assigned to the inspection and shall make available the designated precious metal articles, books, notes, and correspondence for a period of 8 days for inspection, access and copying, if any, while drawing up a hand-over/take-over report.