Honolulu, Hawaii


RE: H.B. No. 171

H.D. 1

S.D. 2




Honorable Ronald D. Kouchi

President of the Senate

Thirty-First State Legislature

Regular Session of 2021

State of Hawaii




Your Committee on Judiciary, to which was referred H.B. No. 171, H.D. 1, S.D. 1, entitled:




begs leave to report as follows:


The purpose and intent of this measure is to change the state of mind required for section 486M-7, Hawaii Revised Statutes, penalties to intentionally or knowingly.


Your Committee received testimony in support of this measure from the Office of the Public Defender and Honolulu Police Department. Your Committee received testimony in opposition to this measure from the Hawaii Pawnbrokers Association and two individuals. Your Committee received comments on this measure from the Department of the Prosecuting Attorney of the City and County of Honolulu.


Your Committee finds that pawnbrokers and secondhand dealers are required to maintain certain records and make them available to law enforcement to deter the purchase of stolen goods. Stolen property is often sold as secondhand items under the guise of legitimate business transactions. Your Committee further finds that recent efforts to bring dealers into compliance have been frustrated by the high state of mind standard, and that violations of the pawnbrokers and secondhand dealers law requires proof that a person knowingly purchased stolen property. This is a high bar that is typically only satisfied through a confession. Your Committee finds that this measure is necessary to deter the movement of stolen property through legitimate business channels.


Your Committee has amended this measure by:


(1) Changing the state of mind requirement to intentionally, knowingly, or recklessly; and


(2) Making technical, nonsubstantive amendments for the purposes of clarity and consistency.


As affirmed by the record of votes of the members of your Committee on Judiciary that is attached to this report, your Committee is in accord with the intent and purpose of H.B. No. 171, H.D. 1, S.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as H.B. No. 171, H.D. 1, S.D. 2.


Respectfully submitted on behalf of the members of the Committee on Judiciary,