New bill aimed at curbing catalytic converter thefts now in effect in Manitoba

The Manitoba government said a new piece of legislation aimed at protecting Manitobans from scrap metal thefts, particularly catalytic converters, is now in effect.

Manitoba Justice Minister Kelvin Goertzen made the announcement at a news conference Monday.

Goertzen said Bill 9, also known as the Scrap Metal Act and the corresponding Scrap Metal Regulation, outlines a framework that regulates the sale and purchase of scrap metal in Manitoba.

“It is designed to disrupt the theft of catalytic converters and other metal that is illegally obtained and then sold,” Goertzen said.

Under the new framework, dealers must record details of their transactions related to scrap metal, keep the transaction records for two years and provide them to a peace officer when requested. Cash transactions are not permitted for any transactions over $50.

Transactions involving metal containers normally recycled to avoid waste, like paint cans and bullion, are exempt from the record requirement.

Transactions of restricted items, like catalytic converters, or items vulnerable to theft and resale, like plaques and monuments, have more stringent rules.

Manitoba Justice Minister Kelvin Goertzen speaks at a July 18 news conference.

Additionally, any transactions involving restricted items must also include a photograph that gives sufficient detail to identify the item, while complete records must be submitted to the scrap metal dealer’s local law enforcement agency within seven days.

Cash transactions are also not permitted for restricted items.

“This legislation and the regulations aren’t intended to be a cure all. It won’t stop entirely the theft of catalytic converters or other precious metals, but it is intended to disrupt those who are causing these thefts in our community,” Goertzen said.

NEW BILL A ‘SIGNIFICANT RESOURCE’: WPS

Winnipeg Police Service Staff Sgt. Josh Ewaski said the new bill will give law enforcement a significant resource in combatting the widespread issue.

“The requirement for record keeping and providing law enforcement access to these records will greatly assist in the investigation in identifying arrest suspects,” he said.

The news comes after a months-long investigation by WPS targeting catalytic converter thefts in the province. It resulted in the search of a Springfield Road business and the arrests of three Manitobans last month.

READ MORE: Three charged in months-long investigation into catalytic converter thefts in Winnipeg: WPS

Since then, Ewaski said the force has seen a 95 per cent reduction in reports of catalytic converter thefts.

“Currently the reports have been in the single-digits for the last several weeks. While these numbers are low, we know these thefts are still occurring,” he said, recalling a recent traffic stop that netted the discovery of five catalytic converters, saws, bolt-cutters, and methamphetamine.

CATALYTIC CONVERTER PILOT PROJECT UNDERWAY

Goertzen said there are other efforts in place to curb these thefts, including pilot projects by Winnipeg Crime Stoppers and Steinbach RCMP to engrave vehicle identification numbers onto catalytic converters – an initiative that has been piloted in other jurisdictions.

“We want to see what the impact and the effect is here in Manitoba,” he explained, noting he has heard evidence it has been effective in some locales, but not others.

Manitoba RCMP Supt. Jim Mirza is the acting Criminal Operations Officer. He said catalytic converter thefts are not limited to Winnipeg, noting his officers have seen a "dramatic increase" in thefts of the devices in rural communities.

“Where at once we used to just see a few dozen, we’ve now seen it go up to almost several hundred,” he said.

Mirza believes the pilot project underway through Steinbach RCMP could not only help catch perpetrators, but prevent the crime from happening in the first place.

“Now that it is known that the items can be traceable and possession of stolen goods can be proven,” he said.

Under the pilot project, Winnipeg Crime Stoppers Chairperson Paul Johnson said 32 auto service centres are engraving catalytic converters free of charge during their regular service appointments with highly visual paint. Additionally, they’ve created window decals to try to deter would-be thieves.

“The idea is these thieves, hopefully, they’ll see those decals along with the paint and they’ll leave that vehicle alone,” he said.

Under a pilot project through Manitoba Crime Stoppers, 32 auto service centres are engraving catalytic converters free of charge during regular service appointments with highly visual paint.

Goertzen said he believes auto manufacturers have a role to play in preventing these thefts, as well.

“We might very well see, and I think we are already seeing some of the manufacturers start to put in anti-theft devices for catalytic converters onto their vehicles at manufacturing, and that ultimately is probably a better and longer-term solution, but we need to have something in the short-term too,” he said.

MPI SEES SURGE IN CATALYTIC CONVERTER CLAIMS

Manitoba Public Insurance President Eric Hereblin said there were 2,247 recorded catalytic converter theft claims last fiscal year, with 90 per cent of those coming from Winnipeg.

To deal with the surge, MPI previously changed the depreciation or betterment schedule for converters, noting they should not be the same as other exhaust components.

Currently, vehicle owners whose catalytic converters are stolen pay their normal deductible for their claim, but claimants will save an average of more than $100 on the fee thanks to the revised schedule.

The corporation is also exploring cages, shields and alarms to protect converters, but said, for the time being, they are monitoring the pilot project.

“We want to see how that evolves and whether it is successful,” Hereblin said.