Upon receipt of an application for a permit to conduct a public auction as described in Section 6.12.080, the city clerk shall refer the same to the chief of police for investigation and report. Thereupon, the chief of police shall cause an investigation to be made of the moral character and reputation of the applicant and the person who is to conduct the sale. If the investigation by the chief of police discloses that neither applicant nor any of its officers, directors or members have violated the provisions of this chapter, he shall report to the city clerk that such an application should be issued; otherwise he shall report that the application be revoked. (Ord. 353 NCS §7.0; prior code §5.9.)