(1)Subject to such restrictions as the State Government may prescribe, the authority granting any licence, permit or pass under this Act may cancel or suspend it-(a)if any duty or fee payable by the holder thereof be not duty paid; or(b)in the event of any breach by the holder thereof or by any of his servants, or by any one action on his behalf with his express or implied permission, of any of the terms or conditions thereof; or(c)if the holder thereof, or any of his servants, or any one action on his behalf with his express or implied permission, is convicted of any offence under this Act or any other law for the time being in force relating to revenue, or of any offence (under the [Dangerous Drugs Act, 1930 (II of 1930)] [Inserted by M.P. Act No. 23 of 1979, now Omitted by N.D.P.S. Act, 1985.], or under the Indian Merchandise Marks Act, 1889 (IV of 1889), or under any section which has been introduced into the Indian Penal Code (XLV of 1860), Section 3 of that Act; or(d)if the holder thereof is convicted of any cognizable and non-bailable offence; or(e)if the holder thereof is punished for any offence referred to in clause (8) of Section 167 of the Sea Customs Act, 1878 (VIII of 1878); or(f)where a licence, permit or pass been granted on the application of the holder of any lease granted under Section 18, on the requisition in writing of such lessee; or(g)if the conditions of the licence, permit or pass provide for such cancellation or suspension at will.[(1-A) Before making an order cancelling or suspending a licence permit or pass under sub-section (1), the authority aforesaid shall record in writing the reasons for the proposed action, furnish to the holder thereof a brief statement of the same and afford him a reasonable opportunity of being heard.] [Inserted by M.P. Act No. 23 of 1979.]
