6.—(1) The Scottish Ministers may withhold the whole or any part of a grant otherwise payable under this Scheme or recover on demand an amount equal to the payment which has been made under this Scheme, or such part as they may specify, where it appears to them–
(a)that any condition subject to which the grant is to be or has been paid is not being or has not been complied with;
(b)that the eligible person gave information on any matter relevant to eligibility for a grant under this Scheme, or the claim for payment, which was false or misleading in a material respect; or
(c)that the eligible person has failed to comply with the undertaking to pursue the objectives of that person’s business plan.
(2) Before withholding the whole or any part of any grant or recovering any amount equal to the payment which has been made or part of the payment which has been specified under the provisions of sub-paragraph (1) above, the Scottish Ministers–
(a)shall give to the person to whom any payment of grant would be payable, or from whom any such amount would be recoverable, notification of the reasons for the action proposed to be taken;
(b)shall afford that person an opportunity of appearing before and being heard by a person appointed for the purpose by the Scottish Ministers; and
(c)shall consider the report of a person so appointed and supply a copy of the report to the person mentioned in sub-paragraph (a) above.