(1) Any person who –
(a) offers to a scrap merchant or dealer in second-hand property or an owner of an automobile workshop or tinker shop any article by way of sale, or otherwise, being unable or refusing to give a satisfactory account of the means by which he became possessed of the article ;
or
(b) willfully gives false information to such merchant, dealer or owner as to whether an article offered by him by way of sale or otherwise in his own property or not, or as to his name and address, or as to the name and address of the owner of the article;
shall be punished with imprisonment for a term which may extend to six months or with fine which may extend to one thousand rupees or with both.
(2) In every case falling under sub-section (1) and also in any case where, on an article 5 being offered by way of sale or otherwise to such merchant, dealer or owner, he reasonably suspects that it has been stolen or otherwise illegally or clandestinely obtained, such merchant, dealer or owner shall, in the absence of reasonable excuse, inquire into the name and address of the person concerned, and forthwith communicate to the nearest police station the facts of the case.
(3) A list of articles believed to have been stolen may be delivered by the police to any such merchant, dealer or owner licenced under this Act and thereupon it shall be the duty of such merchant, dealer or owner –
(a) if any article answering the description of any of the articles set forth in any such list is offered to him by any person by way of sale or otherwise, to proceed in accordance with the provisions of sub-section (2) ; and
(b) if any such article is already in his possession, forthwith to communicate to the nearest police station the facts of the case (including full particulars as to the name and address of the person concerned in the delivery of the article to the merchant, dealer or owner) and also, if so required by the police, to deliver the article to them.
(4) Every scrap merchant, dealer in second-hand property or owner of an automobile workshop or tinker shop buying any article knowing or having reason to believe the same to be stolen property shall be punished with imprisonment of either description for a term which may extend to three years and with fine.