(1) The Board shall not issue a licence to an applicant unless the applicant enters into a bond in the form set out in the Second Schedule.

(2) The Board shall prescribe the value of the bond.

(3) Where it appears to the Board that the security of any auctioneer is or has become insufficient, it shall call upon the auctioneer to give sufficient security and if the auctioneer fails to do so within one month, the Board may suspend the licence of that auctioneer until sufficient security is given.