(1) CASA may suspend or cancel an instrument, by written notice given to its holder, if:
(a) CASA is reasonably satisfied that the holder has made or caused to be made:
(i) a fraudulent or intentionally false statement on the application for the instrument; or
(ii) an intentionally false entry in a record or report that is required to be kept, made, or used to show compliance with any requirement for the issue or the exercise of the privileges of the instrument; or
(iii) a reproduction for a fraudulent purpose of any instrument; or
(iv) an alteration for a fraudulent purpose of any instrument; and
(b) CASA has given the holder a show cause notice under regulation 21.002D in relation to the instrument; and
(c) CASA has taken into account any representations made by or on behalf of the holder within the period stated in the notice.
(2) A notice must set out:
(a) the grounds for the suspension or cancellation; and
(b) in the case of a suspension--when the suspension stops having effect.
(3) An instrument that is suspended under this regulation has no force while it is suspended, but, if it was issued for a fixed term, the suspension period counts as part of the term.
(4) If CASA suspends an instrument under this regulation, the holder cannot use it to meet the requirements for the issue of any other instrument during the period of suspension.
Source FARs section 21.2 modified.