s 68 Default powers
(1) This section applies to NHS bodies other than NHS foundation trusts. (2) If the Secretary of State considers that a body to which this section applies— (a) has failed to carry out any functions conferred or imposed on it by or under this Act, or (b) has in carrying out those functions failed to comply with any regulations or directions relating to those functions, he may after such inquiry as he considers appropriate make an order declaring it to be in default. (3) The members of the body in default must immediately vacate their office, and the order— (a) must provide for the appointment, in accordance with the provisions of this Act, of new members of the body, and (b) may contain such provisions as seem to the Secretary of State expedient for authorising any person to act in the place of the body pending the appointment of new members. (4) An order under this section may contain such supplementary and incidental provisions as appear to the Secretary of State to be necessary or expedient, including— (a) provision for the transfer to the Secretary of State of property and liabilities of the body in default, and (b) where any such order is varied or revoked by a subsequent order, provision in the subsequent order for the transfer to the body in default of any property or liabilities acquired or incurred by the Secretary of State in discharging any of the functions transferred to him.