7.—(1) The Secretary of State may cancel a member’s membership of the Scheme in any of the circumstances specified in paragraphs (2) to (5).
(2) The circumstances specified in this paragraph are where the member is liable to make a payment to the Secretary of State under regulation 12 (duty of members to make contributions to the Scheme) and that payment remains unpaid for a period of 28 days or more which starts with the date on which the payment becomes due.
(3) The circumstances specified in this paragraph are where the member has failed to provide any information required under regulation 20 (duty of members to provide information)—
(a)before the end of the period of 28 days which starts with the date on which the Secretary of State requests the information; or
(b)if the Secretary of State in writing allows a further period for providing such information, before the end of that further period.
(4) The circumstances specified in this paragraph are where the Secretary of State considers that it would be detrimental to the efficient administration of the Scheme or the interests of other members for the member to remain a member of the Scheme.
(5) The circumstances specified in this paragraph are where a member providing relevant health services in circumstances specified in regulation 4(2), (3) or (4) (arrangements by means of which a body may be eligible to be a member of the Scheme) either—
(a)enters into insolvency; or
(b)ceases to be an eligible body.
(6) The Secretary of State must inform the member by notice in writing that its membership of the Scheme is to cease with effect from a date specified in the notice and—
(a)where the cancellation is in circumstances specified in paragraph (2), (3) or (4)—
(i)the date to be specified must not be less than 28 days after the date on which the notice is given; but
(ii)the Secretary of State may determine not to cancel the membership by giving the member a further notice in writing to that effect;
(b)where the cancellation is in circumstances specified in paragraph (5), the date to be specified is the date on which the notice is given.