(1) The License may be issued to any person or entity upon due compliance of the terms and conditions prescribed in this Act and the rules made thereunder to the satisfaction of the Licensing authority.
(2) A License under this Act shall be issued only to an Indian citizen or legal entity incorporated in India.
(3) The State Government may, by notification prescribe the manner and format for the applications for License, including the terms and conditions of the License to be issued under this Act.
(4) Any person desiring to obtain a License shall make an application in writing to the State Government, in such form and manner as may be prescribed. On receipt of such application, the State Government may, after making such inquiry as it considers necessary, by order in writing, either grant the License or refuse to grant the License:
Provided that, where the State Government refuses to grant a License, it shall put on its record a brief statement of the reasons for such refusal.