(1) (i) On the day, the application for grant of registration certificate under section 16 is received, the registering authority shall grant to the applicant a provisional registration certificate in form 10-A.

(ii) On the day the application for grant of registration certificate under section 18 is received, the registering authority shall grant a registration certificate in form 15.

Provided that when the application under section-16 for grant of registration certificate by a dealer eligible for composition is received, the registering authority shall grant to the applicant a registration certificate in Form-11 within 3 days from the date of application, for which no verification shall be done at business place of the dealer.'

(2) (a) After the issue of the provisional registration certificate, the registering authority shall, with a view to verify the correctness of the particulars given in the application, call for the applicant's accounts and require him to produce evidence in support of the particulars given in the application. On verification of the accounts and the documents furnished to him if the registering authority is satisfied about the correctness of the particulars, it shall issue to the applicant a permanent registration certificate in Form 11 within the period specified in clause (b) of sub-section (4) of Section 16 as the case may be.

(b) If on such verification, the registering authority is satisfied that the particulars given in the application are incorrect, it shall reject the application and cancel the provisional registration certificate in accordance with the provision of clause (c) of sub section (4) of section 16 as the case may be.

(3) The requirement to furnish the evidence and documents under sub-rule (2) shall be limited to the particulars given in the application in form 10 for grant of a registration certificate.