diff --git a/api/application/controllers/PD_Controller.php b/api/application/controllers/PD_Controller.php
index cadc7d11..8933269e 100644
--- a/api/application/controllers/PD_Controller.php
+++ b/api/application/controllers/PD_Controller.php
@@ -1063,12 +1063,12 @@ class PD_Controller extends REST_Controller
 			}
 
 			# status cancelled means pd_agency_id set to null if smc vendor officer and manager role only
-			if (isset($pd_details['pd_status']) &&  ($pd_details['pd_status'] == "CANCELLED") && ($role == 28 || $role == 29)) {
+			if (isset($pd_details['pd_status']) &&  $pd_details['pd_status'] == ALLOCATED_TO_FIA && ($pd_details['vendor_status'] == "CANCELLED") && ($role == 28 || $role == 29)) {
 				$pd_details['pd_agency_id'] = null;
 			}
 			
 			# status rejected/bounced means fk_pd_allocated_to set to null if smc vendor officer and manager role only
-			if (isset($pd_details['pd_status']) &&  ($pd_details['pd_status'] == "BOUNCED") && ($role == 28 || $role == 29)) {
+			if (isset($pd_details['pd_status']) && $pd_details['pd_status'] == ALLOCATED_TO_FIA && ($pd_details['vendor_status'] == "BOUNCED") && ($role == 28 || $role == 29)) {
 				$pd_details['fk_pd_allocated_to'] = null;
 			}
 
@@ -9917,7 +9917,13 @@ class PD_Controller extends REST_Controller
 		// {
 		// 	$fields_to_update['start_location'] = $records['link'];
 		// }
+		# status cancelled means pd_agency_id set to null if smc vendor officer and manager role only
+		if (isset($records['vendor_status']) &&  ($records['vendor_status'] == CANCELLED)) {
+			$fields_to_update['pd_agency_id'] = null;
+		}
+		# status rejected/bounced means fk_pd_allocated_to set to null.
 		if (isset($records['vendor_status']) &&  ($records['vendor_status'] == BOUNCED)) {
+			$fields_to_update['fk_pd_allocated_to'] = null;
 			unset($records['bounce_reason']);
 			unset($records['bounce_reason_others']);
 		}