Section 127 in The M.P. Motor Vehicles Rules, 1994
127. Suspension or cancellation of Agent's Licence and forfeiture of Security.
(a)Without prejudice to any action which may be taken against a licensee, the Licensing Authority may, by order in writing cancel the licence or suspend it for such period, as it thinks fit, if in its opinion any of the conditions under which the licence has been granted, have been contravened.(b)Before making any order of suspension or cancellation under clause (a), the Licensing Authority shall give the licensee an opportunity of being heard and shall, record reasons in writing for such cancellation or suspension.(c)The Licensing Authority may order the forfeiture in whole or in part of the security furnished by the licensee under Rule 123 for contravention of any provision of this rule or Rule 126 for breach of any conditions specified therein :Provided that no such forfeiture shall be made unless the licensee is given, an opportunity of being heard.(d)In the event of a forfeiture of a security deposit or part thereof, by the Licensing Authority, the licence shall be ceased to be valid, if the licensee fails to make payment to bring the security already furnished by him to its original value within thirty days of the receipt of the order of forfeiture.
