(1) Omitted w.e.f. 1st December, 2011

(2) Where a dealer is required to furnish security or additional security under section 28 or, as the case may be, a person or a dealer required to furnish security under proviso to sub-section (4) of section 73 or under the second proviso to sub-rule (5) of rule 45, shall,-

(i) furnish a bond executed by himself in Form 105 with one surety acceptable to the authority who passes the order under the provisions referred to above for such sum as the authority may specify in the order, or

(ii) deposit the cash in the Government Treasury, Government securities in the form of stock certificates or Government Promissory Notes of a market value of not less than the sum as may be specified in the order or National Savings Certificate or Treasury Savings Certificate of the face value of not less than the said sum, duly endorsed in favour of the Commissioner, or

(iii) furnish the guarantee of a Bank approved by the Commissioner in this behalf, agreeing to pay to the Commissioner on demand, such sum not exceeding the amount as may be specified in the order:

Provided that for the purpose of furnishing security other than the security under sub-section (4) of section 73, dealer may furnish security in any of the mode prescribed in clause (ii) or (iii):

(3) Where, by reason of an order made under sub-section (6) of section 28, the security furnished by any dealer is rendered insufficient, he shall make up the deficiency by furnishing security or, as the case may be, additional security in the manner specified in sub-rule (2), within thirty days from the date of such order.

(4) Where the bank guarantee furnished by the dealer is for a specified period, the dealer shall furnish a fresh bank guarantee or any other security specified in sub-rule (2) before the expiry of the said bank guarantee.

(5) The provisions contained in sub-rules (1) to (4) above shall not apply in case of Tatkaal Registration under rule 6A.