Pawn-broker to obtain licence

No person shall, after the expiry of six months from the date on which the provisions of this Act come into force in any area, carry on or continue to carry on business as a pawnbroker at any place in such area, unless he has obtained a pawn-broker’s licence under this Act and after the commencement of the Karnataka Pawn Brokers (Amendment) Act, 1985, except on payment of security deposit as provided in section 4A. Explanation 1.—Where a pawnbroker has more than one shop or place of business, whether in the same town or village or in different towns and villages he shall obtain a separate pawnbroker’s licence in respect of each such shop or place of business. Explanation 2.—Every pawn-broker’s licence granted under this Act shall be valid for a term of three years, but may be renewed from term to term. Explanation 3.—Where a licence has been granted in the middle of a year, for the purpose of computing the term of licence, the remaining part of the year shall be deemed to be a year.