(1) A pledge may be disposed of by the Pawn Broker by public auction and not otherwise and the sale shall be conducted in such manner as may be prescribed.
(2) A Pawn Broker shall not bid for and purchase at a sale by public auction conducted under sub-section (1), a pledge pawned with him.
(3) Where in a public auction, the pledge has been sold for more than the amount of the loan and interest thereon and charges due at the time of sale, the Pawn Broker shall pay to the Pawner or his agent, the surplus amount within one month from the date of sale after deducting there from the necessary costs and charges of the sale and the Pawner or his agent may inspect the entry relating to the sale either in the Pawn Broker’s book or in such catalogue of the auction, as may be prescribed, at any time within one month from such payment.
(4) Where the surplus amount is not paid to the pawner within one month of the sale under sub-section (3), the same shall be deposited with the licensing authority, within seven days thereafter.