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40.—(1) Where a person has applied for and been refused a certificate on three separate occasions and it appears to the Area Director to whom such person applies that his conduct may amount to an abuse of the facilities provided by the Act, then the Area Director may report the matter to the appropriate area committee.
(2) If a report under paragraph (1) has been made, the area committee may–
(a)enquire whether any other area office has received an application from the person named in the report;
(b)call for a report as to the circumstances of any other such application; and
(c)if it considers that the person named in the report has abused the facilities provided by the Act, report thereon to the Board, making such recommendations as seem to the area committee to be just.
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