Terms and conditions of licence

(1) Before granting a licence, the prescribed authority shall satisfy itself- (a) that the warehouse is suitable for proper storage of the class or classes of goods in respect of which the licence has been applied for; (b) that the applicant is competent to conduct such a warehouse; (c) that the applicant has paid the fee prescribed for the licence and has also paid the prescribed security, if any; and (d) that there is no other valid reason for which the applicant for the licence may, in the opinion of the prescribed authority, be deemed to be disqualified. (2) The Government may, by notification, add to or alter the terms and conditions under which a licence is granted to a warehouseman under section 4.