Section 5: Investigation by local authorities of proposed corporation or corporations seeking change of location or name
Section 5. Before making and issuing a certificate of incorporation to or approving a change of location of the principal office of a corporation formed for any of the purposes described in section four or approving the change of name of any corporation formed as aforesaid which is subject to section twenty-six, the state secretary may forward a statement to the aldermen of any city, except Boston, or to the selectmen of any town, where such corporation occupies or uses or is to occupy or use any premises for the transaction of any of its corporate activities, and, if such premises are or are to be in Boston, to the police commissioner, giving a list of the applicants for incorporation or the officers of the corporation seeking to change its name or location, the purposes of such proposed incorporation or change of name as stated by them, the location of the premises occupied or used or proposed to be occupied or used, which shall include the street and number, if any, and all other facts which may be stated in the application for incorporation or the petition for approval of change of name or location. The mayor and aldermen, selectmen or police commissioner, upon the receipt of such statement, shall immediately make investigation for the purpose of ascertaining whether any of the proposed incorporators, or officers of the petitioning corporation, or any other persons known to be, or apparently, identified with the said proposed or petitioning corporation as members, employees or otherwise, and actually participating or to participate in the management of its affairs, or in the direction of its business, have been engaged in the illegal selling of alcoholic beverages, as defined in section one of chapter one hundred and thirty-eight, or in keeping places or tenements used for illegal gaming, or any other business or vocation prohibited by law, or are persons of ill repute, or whether any location to be occupied is unsuitable, and shall forthwith report to the state secretary all the facts ascertained. If, in his opinion, it appears from said report or otherwise that a probable purpose or probable result of the formation of the proposed corporation or of the proposed change of name or location is or will be to cover or shield any illegal business or practices, or any business not within the scope of the expressed corporate purposes, he shall refuse to issue a certificate of incorporation or approve the change of name or location, as the case may be.