(1) If, at any time, after any clinical establishment has been registered, the Authority or the Council is satisfied that,—
(a) the conditions of the registration are not complied with; or
(b) the clinical establishment has knowingly or negligently carried out an act that is harmful to the health of the person seeking care from the clinical establishment, it may issue notice to the clinical establishment to show cause why its registration should not be cancelled for the reasons to be mentioned in the notice.
(2) Where the Authority or Council is satisfied, ‘after giving a reasonable opportunity to the clinical establishment to be heard, that there has been a breach of any of the provisions of this Act or the rules made thereunder, it may, without prejudice to any other action that may be taken against such clinical establishment, by order cancel its registration. ‘ 49
(3) Every order made under sub-section (2) shall take effect,—
(i) where no appeal has been preferred against such order immediately on the expiry of the period prescribed for such appeal; and
(ii) where such appeal has been preferred and it has been dismissed, from the date of the order of such dismissal:
Provided that the Authority, after cancellation of registration, for reasons to be recorded in writing, shall restrain immediately the clinical establishment from functioning, if there is imminent a to the health and safety of patients.
CHAPTER V PENALTIES