A. Notwithstanding any other law, a registered scrap metal dealer or a licensed automotive recycler may purchase a vehicle without obtaining a certificate of title if the scrap metal dealer or automotive recycler complies with subsection B of this section, the transactional value of the vehicle does not exceed $1,200, the vehicle is at least twelve model years old and the owner does not have the paper certificate of title to the vehicle for any of the following reasons:

1. 1. The owner or the owner's authorized agent has not obtained a title in the owner's or agent's name for the vehicle.
2. 2. The owner has lost the paper certificate of title for the vehicle.
3. 3. The owner has returned the title to the department. If this paragraph applies, a vehicle may be transferred to only a scrap metal dealer or an automotive recycler.

B. For purchases under this section, the registered scrap metal dealer or licensed automotive recycler shall do all of the following:

1. 1. Take a picture at the time of the transaction of all of the following:

   1. (a) The owner.
   2. (b) The vehicle.
   3. (c) The vehicle's vehicle identification number or federal identification sticker.
2. 2. Pay for the vehicle with a check and not with cash.
3. 3. Obtain a statement that contains all of the information required by subsection C of this section, that is signed by the owner and that affirms the conditions prescribed in subsection A of this section.

C. When the department is able to accept an electronic form, the statement prescribed by subsection B of this section shall be submitted electronically in a form that is prescribed by the department and shall contain all of the following:

1. 1. A statement that the vehicle will not be titled again and will be dismantled or scrapped.
2. 2. A description of the vehicle, including the year, make, model and vehicle identification number.
3. 3. The owner's name and address and the number from the owner's driver license, nonoperating identification license issued pursuant to section 28-3165 or photo identification card issued by a tribal government or the United States military.

4. 4. A certification that the owner either:

   1. (a) Never obtained a title to the vehicle in the owner's name.
   2. (b) Was issued a title for the vehicle and the title was lost or stolen.
   3. (c) Has returned the title to the department.

5. 5. A certification that the vehicle is both of the following:

   1. (a) At least twelve model years old.
   2. (b) Not subject to a security interest or lien.
6. 6. An acknowledgment that the owner and the scrap metal dealer or automotive recycler understand that the statement required by this subsection will be filed with the department and that it is a class 1 misdemeanor to knowingly falsify any information on the statement.
7. 7. The owner's signature and the date of the transaction.
8. 8. The name and address of the business acquiring the vehicle.
9. 9. The national motor vehicle title information system identification number.
10. 10. A business agent's signature and date, including the agent's printed name and title if the agent is signing on behalf of a corporation.

D. A registered scrap metal dealer or licensed automotive recycler that purchases a vehicle under this section:

1. 1. Shall maintain a photocopy or electronic scan of the owner's driver license, nonoperating identification license issued pursuant to section 28-3165 or photo identification card issued by a tribal government or the United States military.
2. 2. May maintain a copy of the owner's photo identification and reference that photo identification without making a separate photocopy for each transaction for subsequent purchases.
3. 3. Shall hold the vehicle at least three business days after the date that the registered scrap metal dealer or licensed automotive recycler reports the purchase pursuant to subsection I of this section before the registered scrap metal dealer or licensed automotive recycler may crush, dismantle or shred the vehicle.

I. Within forty-eight hours after the close of business each day, a registered scrap metal dealer or licensed automotive recycler that purchases or receives vehicles for scrap or for parts shall report to the national motor vehicle title information system a list of each vehicle purchased that day for scrap or for parts. The list shall contain all of the following:

1. 1. The name, address and contact information for the reporting entity.
2. 2. The vehicle identification number.
3. 3. The date that the vehicle was obtained.
4. 4. The name of the person from whom the vehicle was obtained.
5. 5. Whether the vehicle was or will be crushed, disposed of or offered for sale or other purposes.
6. 6. Whether the vehicle will be exported out of the United States.
7. 7. The national motor vehicle title information system identification number of the business acquiring the vehicle.

K. A person who engages in the activities of a scrap metal dealer or an automotive recycler, whether or not registered or licensed as such, and who knowingly and wilfully fails to deliver a vehicle title pursuant to section 28-2094 or the statement required under subsection B of this section to the department or to report vehicle information described in subsection I of this section to the national motor vehicle title information system within forty-eight hours after the completion of a transaction is in violation of this section and is subject to a civil penalty of up to $1,000 per violation. A local or state law enforcement agency, a county attorney or the attorney general may bring an action in any court of competent jurisdiction to enforce this section. Any civil penalties assessed shall be deposited as follows:

1. 1. Fifty percent shall be deposited, pursuant to sections 35-146 and 35-147, in the state highway fund established by section 28-6991.
2. 2. Fifty percent shall be deposited, pursuant to sections 35-146 and 35-147, in the automobile theft authority fund established by section 41-3451.