(1) A licence in Form C.L. may be granted by the Collector on an application to a bona fide dealer who holds a licence in Form 20 in operate a Pharmacy or Form 20-B of the Drugs and Cosmetics Rules, 1945 or to a manufacturer of drugs containing chloral hydrate who holds a licence in Form 25, 25-A, 28 or 28-A of the Drugs and Cosmetics Rules, 1945.
(2) Every application for the grant of a licence shall contain particulars regarding the name and address of the applicant, the address of the premises where it is proposed to conduct the business, the number date and description of the licence or licences held under the Drugs and Cosmetics Rules, 1945, the quantity of chloral hydrate required for possession at a time and my other particulars relevant to the same of the licence. The applicant shall be affixed with a court fee label of the value of one rupee and shall be accompanied by a treasury receipt for rupees five only a in token of payment of the annual licence for under the head „0.39 g. State Excise Duties – f. Hemp and other Drugs – (ii) Licence Fees – Licence fees for possession and use of intoxicating drugs for medical etc. purposes”. The application shall be submitted through the Tahsildar concerned.,
(3) (a) An applicant shall not be eligible for a licence if he has been convicted of an offence under the Tamil Nadu Prohibition Act, 1937, or the Drugs and Cosmetics Act, 1940, or the rules made there under, or of any cognizable or non-bailable offence.,
(b) The Collector may, by an order in writing, refuse to grant the licence is, after due-enquiry, he is satisfied that the applicant‟s personal circumstances, previous experience in the field, and the local needs do not justify the grant of a licence or that the privilege is likely to be abused. In that case the licence fee paid by the applicant shall be refunded to him.
(4) Every application for the renewal of a licence shall be made to the Collector concerned so as to reach him atleast one month before the date of expiry of the licence.
The collector may also entertain the application for renewal of licence after the last date specified above but before the date of expiry of licence if he is satisfied that the licensee has sufficient cause for not filing the application in time. All the provisions relating to the grant of a licence shall, as far as may be apply to renewal also. The Collector shall in respect of the application received in time as aforesaid, either renew or reject the renewal of the licence on or before the beginning of the next licensing period. Any application received after the date of expiry of the licence shall be treated as an application for a fresh licence. The person who applied for renewal after the date of expiry of the licence shall stop his business on the date of expiry of the licence and resume it,only after he gets a fresh licence. Where an application for the renewal of the licence has been made after the last date specified above but before the date of expiry of licence and admitted by the Collector, the licensee shall pay an additional fee of 25 per cent of the prescribed licence fee and the treasury receipt in proof of the payment of the said additional fee shall vbe enclosed to the application for renewal. Where the licensee applies for renewal, the period of interval, if any, between the date of expiry of the licence and the date of receipt of orders of the Collector either renewing or rejecting the renewal of the licence shall be deemed to be period during which such licensee has held a valid licence.,
(5) The licence shall be valid for the financial year commencing from the 1st April, or the date of issue and ending with the 331st March immediately following unless otherwise stated in the licence.,
(6) The Collector may, after giving the licensee an opportunity to show cause within a reasonable time, but ordinarily exceeding fourteen days against the order proposed to be made, by an order in writing, stating the reasons therefor, cancel a licence or suspend it for such period as he thinks fit, either wholly or in part. If in his opinion the licensee has failed to comply with or committed a breach of any of the conditions of the licence or provisions of the Act or these rules. Where a licence is cancelled or suspended as aforesaid, or is not renewed after its expiry, or its renewal is refused, the licensee shall not sell, use or otherwise dispose of any of the such of chloral hydrate or stocks containing chloral hydrate held by him at the time of such cancellation, suspension, expiry or refusal but shall abide by the orders of the Government regarding disposal of such stock by sale in auction or otherwise among the licensee or by my other method so as to enable the licensee to get the price for such stocks. Where a licence is cancelled, the balance stock of chloral hydrate shall be transferred to any Government Veterinary Hospital. If the stock of chloral hydrate or stock containing chloral hydrate is found to be unfit, the Collector may, with the prior approval of the Commissioner of Prohibition and Excise, order its destruction. The licensee shall not be entitled to claim any compensation on account of such cancellation, suspension or refusal of the licence, or destruction of stock containing chloral hydrate.,
(7) The licence shall not be sold, transferred or sub-rented or the premises changed without the previous permission of the Collector in writing. Possession and sale of chloral hydrate outside the premises mentioned in the licence and forbidden.,
(8) The licensee shall maintain correct accounts in Form C.Ac. and an inspection book in Form C.I.B. which shall be open for insptection at all times by any officer authorized by the Collector in this behalf.,
(9) the licensee shall be bound by the Act and these rules and by any additional general rules or conditions that may be prescribed and shall, if so required by the Collector or any officer authorized by him, deliver the licence for amendment or issue of a fresh licence.,
(10) Officers of the Police Department not below the rank of a Sub-Inspector, officers of the Revenue Administration Department not below the rank of a Revenue Inspector and Officers of the Drugs Control Administrations not below the rank of a Drugs Inspector are authorized to inspect the licences and licences premises, check the stock accounts and other records maintained under the licence, and carry out the duties and perform the functions appertaining to them under the Act and these rules. The licensee is prohibited from having any pecuniary dealings with such officers. Any shortage or excess of stock not accounted for to the satisfaction of the Collector shall render the licence liable as cancellation under these rules and the licensee liable to prosecution under the Act.