Page 86 - The Motor Vehicles Act, 1988

72 THE MOTOR VEHICLES ACT, 1988 SECTION 86

86. Cancellation and suspension of permits
(1) The transport authority which granted a permit may cancel the permit or may
suspend it for such period as it thinks fit—
(a) on the breach of any condition specified in section 84 or of any condition
contained in the permit, or
(b) if the holder of the permit uses or causes or allows a vehicle to be used in
any manner not authorised by the permit, or
(c) if the holder of the permit ceases to own the vehicle covered by the permit,
or
(d) if the holder of the permit has obtained the permit by fraud or
misrepresentation, or
(e) if the holder of the goods carriage permit, fails without reasonable cause,
to use the vehicle for the purposes for which the permit was granted, or
(f) if the holder of the permit acquires the citizenship of any foreign country:
PROVIDED that no permit shall be suspended or cancelled unless an opportunity
has been given to the holder of the permit to furnish his explanation.
(2) The transport authority may exercise the power conferred on it under sub-
section (1) in relation to a permit granted by any authority or person to whom power in
this behalf has been delegated under sub-section (5) of section 68 as if the said permit
was a permit granted by the Transport Authority.
(3) Where a transport authority cancels or suspends a permit, it shall give to the
holder in writing its reasons for the action taken.
(4) The powers exercisable under sub-section (1) (other than the power to cancel a
permit) by the transport authority which granted the permit may be exercised by any
authority or person to whom such powers have been delegated under sub-section (5) of
section 68.
(5) Where a permit is liable to be cancelled or suspended under clause (a) or clause
(b) or clause (e) of sub-section (1) and the transport authority is of opinion that having
regard to the circumstances of the case, it would not be necessary or expedient so to
cancel or suspend the permit if the holder of the permit agrees to pay a certain sum of
money, notwithstanding anything contained in sub-section (1) the transport authority
may, instead of cancelling or suspending the permit, as the case may be, recover from
the holder of the permit the sum of money agreed upon.
(6) The powers exercisable by the transport authority under sub-section (5) may,
where an appeal has been preferred under section 89, be exercised also by the appellate
authority.
(7) In relation to a permit referred to in sub-section (9) of section 88, the powers
exercisable under sub-section (1) (other than the power to cancel a permit) by the
transport authority which granted the permit, may be exercised by any transport
authority and any authority or persons to whom power in this behalf has been delegated
under sub-section (5) of section 68, as if the said permit was a permit granted by any
such authority or persons.