A. The city council prior to the issuance of a license requested by this chapter, and after review of the submitted application, may undertake further investigation if it has reasonable cause to believe that the applicant has or is attempting to perpetrate a fraud or material misrepresentation on the city. Such further investigation may be completed and written findings issued at or prior to the next regular meeting following the meeting at which such application was initially considered.
B. Upon a finding by the council that the material misrepresentation or fraud has been perpetrated either in the application or in connection with the investigation by city officials or other governmental agencies, said application may be denied by the city council. Nothing in this section shall be construed to permit any investigation into the substantive content of the publications or films to be displayed or sold by the applicant. (Ord. 1207 § 1, 2001)