(a) Determination of Validity of Claims. Persons claiming ownership of property in the possession of a permittee or the permittee’s agent shall file a verified report with the Board setting forth their ownership therein and the fact that such property was stolen. The Board may, after a hearing upon notice to all parties, determine the validity of such claim, and the ownership of such property.
1. Hearing Examiners. The Board may designate a hearing examiner or any member of the Police Department to hear the evidence at the hearing provided above. The hearing examiner shall report their findings on the evidence to the Board.
2. Order of Board. If the Board determines that the property was stolen, that the claimant is the owner thereof, and that there was no collusion between the thief and the claimant, the Board may direct that such property be returned forthwith to the claimant without payment of compensation. The Board shall take no summary action to recover property on behalf of a claimant who, in the course of the claimant’s business, parted voluntarily with the possession thereof on a conditional sale, lease contract, deferred payment or rental basis.
3. Failure to Comply with Order. The Board may suspend or revoke without further hearing, the permit of a permittee who fails to comply with an order of the Board made pursuant to Subdivision 2 hereof.
4. Effect of Suit to Determine Ownership. If an action at law is brought by or against the person in possession of the alleged stolen property to establish the ownership of said property prior to a determination of the question by the Board, the Board shall suspend proceedings upon the claim when notified of such suit.