(1)Where at a general annual licensing meeting objection to the continuance of a licence that is for the time being in suspense is made on grounds relating to the conduct of the holder of the licence or his fitness to hold it, then if, had the licence been in force for all purposes, the licensing justices would have had jurisdiction to refuse its renewal on those grounds and would have done so had the licence holder applied for its renewal at that meeting, they may order the licence to be extinguished.
(2)Notwithstanding the making of such an order, licensing justices may grant a transfer of the licence to which the order relates on an application made at the same general annual licensing meeting or at the first transfer sessions thereafter; and if a transfer of the licence is so granted the order for extinguishment shall not have effect.