(A) An escort bureau license is a privilege. A separate license is required for each fictitious or other name under which a person conducts business. All business expenses are made at the applicant's risk, as the license may terminate prior to amortization thereof.
(B) All persons desiring to obtain a business license to engage in an escort bureau business within Metro Louisville shall first file an application with the Director on a form provided by that office. All persons who furnish property or services to a licensee under any arrangement pursuant to which the person receives payments based on earnings, profits or receipts from the escort bureau must file an application pursuant to this section and meet the qualifications set forth herein.
(C) All applicants shall provide the following information under oath:
(1) Whether the applicant has ever been convicted by any state or federal court within the past ten years of any misdemeanor or felony other than minor traffic offenses;
(2) A list of convictions for all specified criminal activities or any criminal convictions involving the use of force or violence upon the person of another, or adverse civil action judgments involving allegations pertaining to fraudulent advertising, sales or trade practices and a detailed explanation of the circumstances;
(3) The complete address (including suite number) of the proposed business location in Metro Louisville, with a copy of the deed, lease or other document pursuant to which applicant occupies such premises;
(4) The person or persons who will have custody of the business records at the business location;
(5) Agent for service of process;
(6) Applicant's name and any aliases, residential address and phone number, a complete set of fingerprints and date of birth;
(7) Applicant's residential, education, military and criminal history background, covering at least a ten-year period immediately preceding the date of filing of the application;
(8) A complete description of the exact nature of the business to be conducted, including office organization, advertising theme and method, employee qualifications and copies of contracts to be used with escorts and escort patrons;
(9) Applicant's business and employment history, stating whether or not the applicant, or applicant's manager, director, officer, or principal have had any business license revoked and stating the details thereof, including the reasons therefore; and
(10) Applicant's financial statement and current and previous business activities and associates, covering at least a five-year period immediately preceding the date of filing of the application.
(D) If an applicant is a limited liability company, partnership or a limited partnership, all application information listed in subsection (C) of this section shall be provided for all of the principals, as if each were a sole proprietor and applicant. If applicant is limited liability company, partnership or limited partnership, it shall also provide a copy of an operating agreement or articles of incorporation, partnership or limited partnership and certificate.
(E) If an applicant is a corporation, all application information listed in subsection (C) of this section shall be provided for each of the directors, officers and principals, the same as if each were a sole proprietor and applicant. A corporate application shall be accompanied by:
(1) A certified copy of the articles of incorporation of such corporation and, if incorporated under the laws of another state, a certificate of qualification to do business in the State of Kentucky; and
(2) A current annual list of officers, directors and resident agent of such corporation.
(F) If the escort bureau is to be operated under a name other than the legal name of the applicant, the application must be accompanied by a copy of the fictitious name certificate on file with the County Clerk of Jefferson County, Kentucky.
(G) In addition to the application, the applicant shall submit a written plan setting forth the method of operation of the escort bureau, which shall include:
(1) The hours that the escort bureau will be open to the public, which hours shall include all hours any escorts are with a patron; and
(2) The methods of supervision of employees to prevent the escort from charging the patron any fee which is in addition to the fee paid to the escort bureau by the patron; and
(3) The methods of supervision which will prevent the escorts from soliciting acts of prostitution or engaging in sexual conduct; and
(4) The applicant's Federal Employer's Identification number; and
(5) The name and the address of the person who will certify the gross receipts upon application for renewal license; and
(6) The applicant shall submit a statement disclosing the names of all principals of the proposed escort bureau; and
(7) The method of compensating escorts.
(H) The failure to truthfully disclose any of the information required by this section or the failure to make a full disclosure of all facts required shall result in denial of the license, or if subsequent to issuance of a license it is discovered that any applicant or person required to be investigated falsely answered any question on the application or has withheld any facts required to be disclosed hereunder, such failure shall result in revocation of the license and subject such applicant or person to the penalties provided in § 125.99.
(I) After the filing of a completed application and payment of all fees, the applicant shall be fingerprinted and referred to the Police Department for investigation and reporting as required by this chapter. The result of said investigation shall be given to the Director within 60 days, or as soon thereafter as possible.
(J) The Director shall deny any application:
(1) If the license application is incomplete; or
(2) If all license and investigation fees are not paid; or
(3) If the applicant or any of its principals has been convicted of a crime listed in subsection (C)(2) of this section or has been enjoined in an adjudicated civil action from engaging in fraudulent advertising or sales or trade practices; or
(4) If the applicant has an associate or principal who has operated a sexually oriented escort bureau; or
(5) If the applicant, its principals, partners, officers, or directors do not qualify for or have not obtained work identification cards as required in § 125.04; or
(6) If the applicant's financial statements, business activities, background or associates disclose the persons who could not otherwise be licensed pursuant to this chapter or obtain work identification cards are or will be involved in the management or conduct of the day-to-day business affairs of the escort bureau; or
(7) If the applicant's financial statements, business activities, background or associates disclose that principals who otherwise could not obtain a license or a work identification card under this chapter have or will have an interest in the ownership of or have an equitable or beneficial right to the profit of the escort bureau; or
(1994 Jeff. Code, § 125.05) (Jeff. Ord. 8-1996, adopted and effective 2-27-1996; Lou. Metro Am. Ord. No. 92-2004, approved 7-1-2004) Penalty, see § 125.99