S.C. Code Ann. § 50-23-210 – Suspension or revocation of certificate

(a) The department shall have the authority to suspend or revoke a certificate of title to a watercraft, or to an outboard motor, upon reasonable notice and hearing, when authorized by any other provision of law or if he finds:
1. (1) The certificate of title was fraudulently procured or erroneously issued, or
2. (2) The watercraft, or outboard motor, has been scrapped, dismantled, or destroyed, or transferred and registered in another state.
(b) Suspension or revocation of a certificate of title does not, in itself, affect the validity of a security interest noted on it;
(c) 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; or
(d) The department may seize and impound any certificate of title which has been suspended and revoked.