The Department of Justice and Equality has investigated whether there are links between criminality and the increase in the number of shops offering cash for gold across the country amid a rise in burglaries over recent years.
A report published today by Minister for Justice Alan Shatter found no "major crime" involvement in the sector.
However, it said there are grounds for considering the introduction of some controls on the purchase of jewellery at cash-for-gold outlets as items are accepted from members of the public.
It is currently the responsibility of shop owners to ensure they are not buying stolen goods.
The department's move comes amid an increase in burglaries over the past two years. Burglaries in 2011 were up almost 8 per cent compared to 2010 following a reduction in previous years. From 2005 to 2011, burglaries have increased by 4 per cent.
"There must be a targeted, proportionate and balanced response by Government to ensure that opportunities for criminals to obtain cash for stolen gold and other precious metals are eliminated whilst not affecting legitimate trade because of the criminal actions of a few," Mr Shatter said.
The report states cheaper commercial rents for premises and the huge increase in the price of gold on international markets has contributed to the spread of such shops internationally.
Gardaí have visited all 124 shops across the country that offer cash for gold to inform operators of their obligations and responsibilities when purchasing gold and jewellery. Any new premises that are opened for the service will be visited by a garda.
Garda Commissioner Martin Callinan states in the report: "Gold items can be melted down very quickly, rendering such gold items unidentifiable and resulting in major difficulties for gardaí in their efforts to identify and recover such items.”
The report noted "a significant level of concern" among the public about the activities of the cash-for-gold shops.
Public representatives have called for regulation of the sector. The report suggests current regulation for pawnbrokers could be used as a template for the regulation of the cash-for-gold industry.
"While I accept that adequate criminal justice legislation is in place and important enforcement steps have been taken by An Garda Síochána, it is arguably inconsistent that there are specific rules and regulations that apply to pawnbrokers for the protection of the public and to assist the gardaí and that similar appropriate and adapted rules and regulations do not apply to cash for gold outlets," Mr Shatter said.
The report indicates that existing criminal law is adequate for dealing with any issues that may arise from the cash-for-gold industry.
The Garda commissioner said the report could not assert the increase in cash-for-gold trading had an adverse effect on burglary offences. However, Mr Callinan noted there is a possibility that some outlets that purchase gold are buying stolen goods.