The question turns on what happens when a plaintiff, having been directed to pay court fee or postal charges for serving summons on the defendant, fails to do so within the time fixed by the court. This is squarely governed by Order IX Rule 2 of the Code of Civil Procedure, 1908, which deals with the consequence of non-service of summons caused by the plaintiff's own default in paying the required fee or charges. Examining each option against that rule shows which one the Code actually prescribes.
Only dismissal of the suit corresponds to the scheme laid down in Order IX Rule 2 CPC for a plaintiff's failure to pay court fee or postal charges for service of summons within the time allowed.
Hence, the correct answer is dismiss the suit.