(1) Where a licensee, having obtained a temporary residence licence had resided continuously for one year, or, a non-mulki prostitute or a non-mulki dancing girl, who had resided in the City of Hyderabad or any district of [the area to which this Act extend] for one year before the commencement of this Act and her conduct had not been otherwise objectionable, desires to reside permanently or continue her occupation, the Commissioner of City Police in the City of Hyderabad and in any district of [the area to which this Act extends] the Superintendent of Police, may, on her application in writing, grant her a permanent residence licence.
(2) When a licensee under sub-section (1) leaves [the area to which this Act extends] for a period of more than fifteen days, she shall, before her departure and immediately after her return, inform the authority competent to grant licence, of the dates of her departure and return.
(3) When a licensee under sub-section (1) does not furnish the requisite information in accordance with sub-section (2) or resides outside [the area to which this Act extends] continuously for six months, her permanent residence licence shall expire and such woman shall revert to her original status.