I'm with Flintstone on this one, outrageous behaviour, seriously unimpressed. As if they havn't had enough cash from him already. Perhaps if they gave him his licence he could then maybe find work and have an income from which to pay this bill. No licence means no job which means no cash for the bill.............
Surely the deal is that the CAA issue the licence to the chap who's name is on it, not some school? My advice is to pester the CAA.
This situation is clearly bad form.