Bare ActsThe KARNATAKA PAWNBROKERS ACT, 1961

Section 16

Certain other acts of pawnbrokers to be punishable

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Certain other acts of pawnbrokers to be punishable.—A pawnbroker who,- (1) takes an article in pawn from any person appearing to be under the age of fourteen years or to be intoxicated; or (2) purchases or takes in pawn or exchange a pawn-ticket issued by another pawnbroker; or (3) employs any person under the age of sixteen years to take pledges in pawn; or (4) under any pretence purchases, except at a public auction, any pledge while in pawn with him; or (5) suffers any pledge while in pawn with him to be redeemed with a view to his purchasing it; or 19 (6) makes any contract or agreement with any person pawning or offering to pawn any article, or with the owner thereof, for the purchase, sale, or disposition thereof within the time of redemption; or (7) sells 1 [hypothecates, pawns]1 or otherwise disposes of any pledge pawned with him except at such time and in such manner as is authorised by or under the Act; 2[(8) shall not use any coercive action either by himself or by his agents or family member for recovery of money from the pawner and any form of coercive recovery shall be liable for punishment under the provisions of this Act and empower the Registering Authority to suspend or cancel the Registration of such pawn broker as provided under the provisions of this Act. Explanation: For the purposes of this section, "coercive Action" by a pawn broker against the pawner include the following, namely:- (i) exerting pressure or obstructing or using violence to or insulting or intimidating the pawner or his/her family members, or (ii) persistently following the pawner, his/her family member from place to place or interfering with any property owned or used by him/her or depriving him/her of, or hindering him/her in the use of any such property, or (iii) frequenting the house or other place where the pawner resides or works, or carries on business, or happens to be, with an intension of taking coercive action, or (iv) using the service of private or outsource or external agencies, criminal background to negotiate/urging the pawner to make payment using coercive and undue influence, or (v) Seeking to take forcibly any document from the pawner which entitles the pawner to a benefit under any Government programme.]2 -shall on conviction be punished with imprisonment for a term which may extend to 3[ten years]3 or with fine which may extend to 3[five lakh rupees]3 or with both. 1[4[XXX]4]1 20

Section 16 – The KARNATAKA PAWNBROKERS ACT, 1961 | DailyLaw.ai