The ACLU filed a lawsuit against the City of Indianapolis last summer over rules for panhandling downtown.
A proposed ordinance that would limit panhandling in Indianapolis was sent back to County Council committee at last night's meeting.
An Indianapolis city councilman says the proposed restrictions do not differentiate between panhandlers and street musicians.
The ACLU says Indianapolis police unlawfully told four individuals to move because they were holding signs asking for money.
The city has lost out on several conventions due to begging in downtown, say some in the business community.
Indianapolis Mayor Greg Ballard called for a ban on panhandling during his State of the City address on Friday.