At the discretion of the Administrator, a certificate need not be denied or revoked pursuant to §§ 530.204 or 530.205 of this subpart if the Administrator finds all of the following:
(a) The certificate holder, despite the exercise of due care, did not know and did not have reason to know of the violations;
(b) All back wages and civil money penalties found by the Administrator to be owing by the certificate holder have been paid; and
(c) The certificate holder has taken appropriate steps to prevent recurrence of the violations.