(1) Where any Trustee Bank which has been granted a certificate of registration under these regulations–
(a) fails to comply with any conditions subject to which a certificate of registration has been granted to it;
(b) contravenes any of the provisions of the Act or the rules or the regulations made or guidelines or notifications, directions, instructions or circulars issued by the Authority there under;
(c) contravenes any of the provisions of the agreements entered into with other intermediaries;
(d) indulges in unfair trade practices or conducts its business in a manner prejudicial to the interests of the subscribers;
(e) fails to furnish any information as required by the Authority relating to its area of operations;
(f) does not submit periodical returns as required under the Act or by the Authority;
(g) does not co-operate in an inquiry conducted by the Authority;
(h) commits any acts of defaults as mentioned under Section 28 of the Act;
(i) any other reason which in the opinion of the Authority warrants for suspension, cancellation or withdrawal of the certificate of registration granted;
The Authority may, without prejudice to any other action under the Act, regulations, directions, instructions or circulars issued there under, by order take such action in the manner provided under these regulations including cancellation or suspension of the registration of such Trustee Bank and such other action, as may be deemed appropriate.
26 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC. 4]
(2) The Authority may without prejudice to the powers under sub-regulation (1) instead of cancelling or suspending the certificate of registration, direct for varying or modifying the terms and conditions of the certificate of registration, as it may deem fit or pass any other order, as may be deemed beneficial in the interest of the subscribers.
(3) Trustee Bank once registered shall have to ensure that the eligibility conditions as mentioned in this regulation are strictly adhered to during the entire currency of the registration period and any extension thereto, failing which the registration certificate may be cancelled. A certificate evidencing compliance with the eligibility conditions shall have to be furnished by the registered Trustee Bank to the Authority on annual basis within thirty days of closure of accounts for the financial year.