Section 2. In this Act, unless the context otherwise requires,

(5) Notwithstanding anything contained in sub~sektion (1) , ,a refiner who has made an application under sub-section (3) for the issue of a licence to carry an business, may carry on business as a refiner, pending the grant of a licence unless he is, by a notice in writing, informed by the Administrator that the application has been rejected. , :. :< . a 8 .-- ?< ,-, - -, .;+ r.l r r :-- <') (9) In the case of any refiner who immediately before the date of coming into force of this Act was licensed as a refiner under PaSt XIIA of the Defence of India Rules, 1962, the-provisions `forvthe` application of a licence shall not apply and the licence of such refiner may be renewed on the expiration thereof in accordance with the provisions contained hereinbefore. (8) A licence granted under this section shnll be valid for the period specified therein and may be renewed from time to time for such period and on payment of such fee as may be prescribed and the provisions of this section relating to the first issue of a licence shall apply as far as may be in relation to such renewal. (4) A person to whom a licence to carry on business as a rc?Tm&r is issued under sub-section (1) shall not carry on business as scch refiner in the same premises in which he or any other person carries on business as a dealer or business as a money-lender or banker r+i31-K~3~iag .the* hy.p~thecaki.on, -I.?ledge, .~ortg_agc, `QX` ,cQa~gg~ o_f,qpy,g~l$. (7) On the receipt of an application for the issue of a licence under this section, the Administrator may, after making such inquiry, if any, as he may consider necessary, by order in writing either grant the licence or reject the application for the same: Provided that no application for the issue of a licence made by a refiner shall be granted unless the Administrator is satisfied having regard to- (a) the number of refineries existing in the area in which the applicant intends to carry on business as a refiner, (b) the demand for primary gold in that area, `(6)` the facilities existing in that area for the assay,of gold by any method other than the touch-stone method, (d) the turnover of the applicant during the year immediately before the 10th January, 1963, or immediately before the date of the application for the issue of the licence, whichever is later, (e) the suitability or otherwise of the applicant, and (f) the public interest, , I that the licence applied for should be granted: Provided further that no application for the issue of a licence made by a refiner shall be rejected unless the applicant has Been given a reasonable opportunity of showing cause against such rejection. (6) No pedon shall establish any refinery unless he has obtainad a valid licence from the Administrator on an application in accord- [ACT 18 Gold (Control) `206` ante with the foregoing provisions for the issue of a licence under this section, (2) Save as otherwise provided in this Act,- (a) a refiner may sell or deliver gold only to a dealer licensed under this Act in accordance with the conditions and restrictions, if any, contained in the dealer's licence but shall not sell or deliver gold to any other person: Provided that a refiner may sell gold to any person on production By that person of a permit granted by the Administrator in this behalf or to such other person as the Administrator may, by general or special order, authorise in this behalf; (b) a dealer licensed under this Act may, in accordance with the conditioijs and restrictions, if any, contained in his licence, buy or otherwise acquire, or agree to buy or otherwise acquire, gold, not being ornament, only from a dealer, or refiner, licensed under this Act but not from any other person: Provided that 2ny such dealer may buy or otherwise acquire or accept gold, not being ornament, from any person if such gold has been irlcluded in a declaration made by that person under Part XIIA of the Defence of India Rules, 1962, or under section 16, or if in respect of such gold no such declaration is required and the dealer complies with the provisions of subssction (3) ; (cj a dealer licensed under this Act may, in accordance with the conditions and restrictions, if any, contained in his licence- `(i)` sell or otherwise transfer, or agree to sell or otherwise transfer, or `(ii)` expose or offer for sale or transfer, CHAPTER I 1. (1) This Aet may be called the Gold (Control) Act, 1965. Short title, extent, applica- (b) a local authority, company, society registered under the Societies Registration Act, 1860, co-operative society re- 21 of 1860 gistered under any law with respect to co-operative societies, club, firm or other association which carries on such business, or (i) buys ornaments, or gold for the purpose of making ornaments, from, or (ii) makes or manufactures ornaments for, (iii) processes, melts or converts ornaments, or gold for the purpose of making ornaments, for (iv) sells, supplies or distributes ornaments, or gold for the purpose of making ornaments, to, its members; and (c) a commission agent, broker, del credere agent, auctioneer or other mercantile agent, by whatever name called, who carries on such business on behalf of any principal; but does not include the Reserve Bank of India, the State Bank of India, any subsidiary bank as defined in clause (k) of section 2 of the State Bank of India (Subsidiary Banks) Act, 1959, or any banking company as defined in clause (c) of section 5 of the of `195S` 10 `of` 1949. or 19651 Gold (Control) `199` Banking Companies Act, 1949, in so far as such bank sells or transfers or exhibits for sale or transfer any gold. Explanation.-For the purposes of this Act- (a) every person who acts as an agent of a dealer rwiding outside India and carries on the business of such dealer in India ox acts on behalf of such dealer as- (i) a mercantile agent as defined in the Sale of Goods Act, 1930; or of the p%-avi~iohs of this Act or Dhe*provisions of any other I$w fkh the time being in force in so far as it prohibits or restricts tkis brifiging into or taking out of India of any goods (including coins, currency, whether Indian or foreign, and foreign exchange), or the dealings in such goods by way of acquisition m otherwise and unless the applicant for the licence has been given a reasonable opportunity of showing cause against such rejection. ,\ (ii) an agent for handling gold or documents of title relating to gold; or (iii) an agent for the collection or payment of sale price of gold or as a guarantor for such collection or payment; and (b) every branch in India of a firm or company having `its` registered office outside India, shall be deemed to be a dealer; ( e ) "gold" means gold, including its alloy, whether virgin, melted, re-melted, wrought or unwrought in any shape or form, of a purity of not less than nine carats and includes any gold coin (whether legal tender or not), any ornament and any other article of gold; (f) "ornament" means any article in a finished form, meant for personal adornment or for the adornment of any idol, deity or any other object of religious worship, made of, or manufactured from, gold, whether or not set with stones or gems, real or artificial, or with pearls, real, cultured or imitation or with all or any of them and includes parts, pendants or broken pieces of ornaments; ( g ) "prescribed" means prescribed ljy rules made under this Act; (h) "primary gold" means goici irn any ur~finished form and includes all ingots, bars, blocks, sla'bs, billets, shots, pellets, rods and wires; (i) lLrefiner') means the owner or occupier of a refinery; (j) "refinery" means a place where gold is melted, assayed, refined, alloyed or subjected to any other process for the purpose 200 Gold (Control) `[ACT` 18 . , of making primary gold and iilcludes a place whqq gold is assayed at the request cf any dealer or other person, whether for the purpose of making primary gold or not, but does not include any place used by a dealer for the purposes permitted under clause (d). Prohibi- 3. (1) Subject to the other provisions of this Act.tion of manufac- (In) a dealer shall not make, manufacture or prepareture of articles o'f (i) any article of gold other than ornament, or gold in (ii) any article containing gold `of` any purity; certai.~ cases. (b) a refiner ,shall not make, manufacture or prepare(i) any article ol gold other than primary gold, or (ii) any article containing gold of any purity; and (c) any other person shall not make, manufacture or prepare any article of gold or any article containing gold of any purity, unless such d d e r , refiner or other person is, on an application made h+;. him in this behalf (which shall be accompanied by such fee as the Administrator may by direction specify and different fees may be specified. for different classes of cases), authorised by the Administrator, by general or special order, to make, manufacture or prepare such article; and in granting such authorisation, the Administrator may, by the order aforesaid, also require such dealers, refiners or othe~~persons or any class of them to pay ~ u c h charges for supervision by the Administrator as may be specified in such order. (2) A certified goldsmith may, and no other dealer shall, accept any ornament having gold of a purity exceeding fourteen carats for pclishing or repair. - r(S) -A dealer (incl~~djmq a certified goldsmith) may accept any ornament having gold of any purity for the purposc of malting, manufacturing or prepsring new ornament or ornaments having gold of a purity ngt exceeding fourteen carats: Provided that a certified goldsmith may, in aceordance.-with; the nro;risjons `d` section `13,` accept any ornament having gold of a purity exceerlinr~ fnurtcx?~.~ carats for the purpose of making, manufacturing . .. , ., 6r preparing new ornaments having gold of a . purity . exceeding . . fci-u?t.een. cqrats, OF 19651 Gold (Control) 4. (I) Save `as` provided in section `13,-` Pyst.ric- (a) no dealer, whether licensed under this Act or not, shall- :&:$kg (i) make, manufacture or prepare, or e k , men s and (ii) sell or otherwise transfer, agree to sell or otherwise other* articles of trqnsfer, or expose or offer for sale or transfer, and gold. (b) no person shall place any order with any dealer, whether licensed under this Act or not, for the making, manufacture or preparation of, any ornament having gold of a purity exceeding fourteen carats. (2) No person shall make or manufacture any article of gold of a purity exceeding fourteeh carats: e k , p??c$ Provided that- (i) agy refiner may, if authoriged by the Administrator to do so by general or special order, make, manufacture or have in his possession, custody or control any primary gold containing gold of a purity exceeding fourteen carats, and (ii) any refiner or dealer who as such refiner or dealer acquires or cornes into the possession of any primary gold, or ornament or other article of gold, of a purity exceeding fourteen carats under any provision of this Act shall convert that gold, ornament or article into gold of a purity not exceeding fourteen carats within-such period as the Administrator may by general or special order grant. (3) Notwithstanding anything contained in sub-section (1) or sub-section (2), the Adminiqttrgtor may by general or special order pe#rmit any person to make, manufacture or prepare any ornament, or other article of gold. of a purity exceeding fourteen carats subject to s,uch conditions (including conditions as to the payment of any fee or charges for supervision) and restrictions as may be specified in the order. (4) Every person who makes, manufactures or sells any primary gold shall, unless the Administrator by notification in the Offlcial Gazette otherwise directs, put a stamp on each piece of primary gold,-(i) certifying the purity of gold contained in such primary gold and the date of making or manufacturing thereof; and (ii) containing such descriptive and other particulars which may enable the identification of the maker or manufacturer of such prijmary gold, as may be prescribed. (5) No stamp referred to in sub-section (4) shall be used in &amping any primary gold unless such stamp has been appraved and registered by the Administrator. 118 M of Law--26 Gold (Control) [ACT 18 Restrictions 5. (1) Except in the case of any quantity of gold acquired after onpossession the date of making any return under this Act, no dales, and no reandsaleLtrlf gold. finer, who is licensed under this Act, shall have in his possession or under his control any gold which has not been included in such return: Provided that any gold acquired after the date of making such return shall be included in the next succeeding return. gord, not being ornament, only to a dealer, or refiner, licensed ,a.--.~-xnd.er this Act bzrt not- to any other person: Provided that a dealer licensed under this Act may sell gold, not being ornament, to any person on production by that person of a permit granted by the Administrator in this behalf; ( d ) a person other than a dealer licensed under this Act shall not buy or agree to buy or otherwise acquire or agree to acquire gold, not being ornament, except in accordance with a permit granted by the Administrator or in accordailce with such authorisation as the Administrator may, by general or special order, make in this behalf, nor shall he otherwise acquire or agree to acquire such gold except by su:cessiors, intestate or testalmentary: Provided that a refiner may buy or accept gold f ~ ~ i r i a dealer licensed under this Act; . . ( e ) a person acquiring gold in accordance with sny general or special authorisation made by the Administrator shall not- (i) sell or otherwise transfer, or agree to sell or otherwise transfer, or (ii) expose or offer for sale or transfer, such gold to any person other than a person authorised, by the Administrator by general or special ordcr in this behalf. (3) Any gold (other than ornament) which is not required to be declared under this Act may be sold or otherwise transferred or hypothecated, pledged, mortgaged or charged but the person to or with whom such gold is sold or oth'erwide transferred or hypothecated, pledged, mortgaged or charged shall give to such officer as may be authorised by the Administrator in this behalf, intimation thereof in such form and manner and within such period as may be prescribed. 6. (1) No person shall make, advance or grant any loan to ally Proh~bition of loans on other person on the hypothecation, pledge, mortgage or charge of hypothecam any gold other than ornament uhless the'person making, advancing tion of gold or granting the loan gives intimation thereof in accordance with sub-section (3) of section 5 or unless such gold has been in\cluded, if so required, in a declaration or a further declaration made under Part XIIA of the Defence of India Rules, 1962, or under section 16. (2) No person who is a dealer, whether licensed or not, shall- (a) carry on business as a dealer in the same premises in which he or any other person carries on business as a moneylender ox banker involving the hypothecation, pledge, mortgage or charge of any gold, --f b").fi). sell-OP ot-herw$se- transfer -to a-ny pers6nZdany gold lea the hypothecation, pledge, mcrtgage or charge of which he has advanced any loan, whether before or after the 10th day 03 January, 1963, or `-,I` (ii) return such gold to the borrower, whether before cr after the repayment of the loan, except under and in accordance with such conditions, limitatioizs o b restrictions, if any, as may be imposed by the Administrator in this behalf. [AFT f8 Gold (Cont+o1l) (3) No pdwriee who i$ riot `'3` d&AleF $hall dell any gold pledged with him, on the 'failure of the pawnm to tedeem such gold, except in accordance with such conditions as may be prescribed. CHAPTER `IIT` LICENSIMG OF OF DEALERS A$TD REFINERS AND CERTIFICATION `OP` GOLbSM1THS Licensing 7. (1) Save als otherwise provided in this Act, no dealer who is Of registered under any law with respect to sales tax shall carry on business as such dealer unless he holds a valid licence issued in this behalf by the Administrator. Licensing (2) A licence issued under sub-section (1) may contain such conditions and restrictions as the Administrator may think fit to impose and different conditions and restrictions may be imposed for different classes of deale~s. (3) Every dealer who is registered under any law with respect to sales tax shall, as soon as possible after such registration and in any case before the expiry of sixty days thereafter, make to the Administrator an application in such form and on payment of such fee as may be prescribed, for the issue of a licence under this section. (2) A licence issued under sub-section (I) may contain such conditions and restrictions as the Administrator may think fit to impose and different conditions and restriotions may be imposed for different classes of refiners. (3) Every person who intends to carry on business as a r e h e r \nay, if he had a refinery in existence immediately before the 10bh day of January, 1963, make to the Administrator an application in such form and on payment of such fee as may be prescribed, for the issue of a licence under sub-section (1).