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Section 86: Alteration or substitution of licence

M and TP Excise Duties Rules 1956Union territory Rules of Delhi · 1955

The licensing authority may, at any time, call for any licence and may amend or alter it or may tender to the licensee a anew licence in accordance with any further conditions which may be prescribed. No correction in the licence shall be valid unless ordered and attested by the licensing authority.

87. Revocation and suspension of licence. (1) Any licence granted under these rules may be revoked or suspended by the licensing authority if the holder, or any person in his employ, is found to have committed a breach of the conditions thereof or of any of the provisions of the Act or these rules or has been convicted of an offence under Sec.161, read with Sec.139 or with Sec.116 of the Indian Penal Code (45 of 1860):

Provided that such revocation or suspension shall be made until the holder of the licence has been given a reasonable opportunity of showing cause against the action proposed to be taken.

(2) Every such order shall be in writing and shall specify the reasons for the suspension or revocation and shall be communicated to the licensee.

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(3) Where a licence is revoked or suspended under this rule the holder of the licence shall not be entitled to claim from the Central of State Government any compensation or refund of licence-fee for such cancellation or suspension.

Comment Reasonable opportunity-Meaning of.- In Messrs. Falca (P) Ltd, V.S.R.Gibrani Pvt.Ltd., Das Gupta. J., of the Supreme Court observed as follows:

“The requirement that a reasonable opportunity of being heard must be given has two elements. The first is that an opportunity to be heard must be given; and second is that this opportunity be reasonable. Both these matters are justiciable and it is for the Court to decide whether an opportunity has been given and whether that opportunity has been reasonable.

“There can be no invariable standard for reasonableness in such matter except that the Court’s conscience must be satisfied, that the person against whom an action is proposed has had a fair chance of convincing the authority who proposes to take action against him that eh grounds on which the action is proposed are either non-existent or even if they exist they do not justify the proposed action. The decision of this question will necessarily depend upon the peculiar facts and circumstances of each case, including the nature of the action proposed, the grounds on which the action is proposed, the material on which the allegations are based, the attitude of the party against whom the action is proposed in showing cause against such proposed action, the nature of the plea raised by him in reply, the requests for further opportunity that may be made, his admissions by conduct or otherwise of some or all the allegations and all other matters which help the mind in coming to a fair conclusion of the question”.

Where this provision sits

ActM and TP Excise Duties Rules 1956
Section86
Marginal noteAlteration or substitution of licence
JurisdictionUnion territory of Delhi
StatusIn force as published by the source

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