(1) The department shall suspend or revoke a certificate of title if it finds any of the following: (a) The certificate of title was fraudulently procured, erroneously issued or prohibited by law. (b) The vehicle has been scrapped, dismantled or destroyed. (c) A transfer of title is set aside by a court of record by order or judgment. (d) The vehicle’s odometer has been subjected to tampering and return of the certificate of title to the department is considered necessary to make a notation of that information on the certificate. (2) Suspension or revocation of a certificate of title does not, in itself, affect the validity of a security interest noted on it. (3) When the department suspends or revokes a certificate of title, the owner or person in possession of it shall, immediately upon receiving notice of the suspension or revocation, mail or deliver the certificate to the department. (4) The department may seize and impound any certificate of title which has been suspended or revoked.
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