(a) The executive director or commission may deny, suspend, or cancel its approval for a program sponsor to conduct or for an instructor to teach a course offered under this chapter if the applicant, sponsor, or instructor:
(1) does not satisfy the requirements established under this chapter to receive or retain approval;
(2) permits fraud or engages in fraudulent practices with reference to an application to the department;
(3) induces or countenances fraud or fraudulent practices by a person applying for a driver's license or permit;
(4) permits or engages in a fraudulent practice in an action between the applicant or license holder and the public; or
(5) fails to comply with rules of the department.
(b) Before the executive director or commission may deny, suspend, or cancel the approval of a program sponsor or an instructor, notice and opportunity for a hearing must be given as provided by:
(1) Chapter 2001, Government Code; and
(2) Chapter 53, Occupations Code.