(1) The Director General or the licensing authority may by order in writing, suspend the operation of a licence, certificate, scrip or any instrument bestowing financial or fiscal benefits granted to,-

(a) any person, if an order of detention or conviction has been made against such person under the provisions of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (52 of 1974) or the Prevention of Money Laundering Act, 2002 (15 of 2003) or Foreign Exchange Management Act, 1999 (42 of 1999);" or

(b) a partnership firm (including a limited liability partnership) or a company or a firm or any other entity, if the person referred to in clause (a) is a partner or a whole time director or managing director or a proprietor, as the case may be, of such firm or company:";

(c) in the proviso, for the words "the partnership firm or company", the words and brackets "a partnership firm (including a limited liability partnership) or company or a firm or any other entity-

Provided that the order of suspension shall - case to have effect in respect of the aforesaid person or, as the case may be, the partnership firm or company, when the order erf detention made against such person,-

(i) being an order of detention to which the provisions of section 9 of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (52 of 1974) do not apply, has been revoked on the report of Advisory Board under section 8 of that Act or before receipt of the report of the Advisory Board or before making a reference to the Advisory Board; or

(ii) being an order of detention to which the provisions of section 9 of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (52 of 1974) apply, has been revoked on the report of the Advisory Board under section 8 read with subsection (2) of section 9 of that Act or before receipt of such report;

(iii) has been set aside by a court of competent jurisdiction.

(2) The Director General or the licensing authority may by an order in writing suspend the operation of any licence, certificate, scrip or any instrument bestowing financial or fiscal benefits granted under these rules, where proceedings for cancellation of such licence, certificate, scrip or any instrument bestowing financial or fiscal benefits has been initiated under rule 10.