The intention, of course, is to deter theft and resale of stolen industrial and precious metals, which are untraceable when melted or processed and represent a growing problem for communities, residents and law enforcement around the country. Telephone lines, rail tracks, industrial plumbing and wiring are common targets, as is jewelry. To require dealers purchasing these things to use bank checks is probably not unconstitutional, but to disallow businesses from accepting cash when they sell may be. Pawn shops are exempted because they are already subject to strict record keeping requirements. Flea markets are among the unintended causalities that may find this law unenforceable. I would imagine a superior court would say that if congress and law enforcement feel licensing pawn shops is considered adequate to deal with theft issues the same would apply to dealers of second hand junk (their term).
Dealers cannot set up money order shops or stations. That business is subject to rigorous federal banking regulation to prevent money laundering.
