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2012 (8) TMI 877 - GAUHATI HIGH COURTEligibility to sales tax exemption for seven years - whether eligibility certificate once granted on formation of a bona fide opinion on a debatable issue can be cancelled by changing the opinion? Held that:- Eligibility certificate once granted can be cancelled only if there is violation of any condition or information furnished was found to be false or if certificate was obtained by fraud or misstatement or suppression. The impugned order does not show either the allegation of fraud, misrepresentation or suppression on the part of the petitioner nor violation of any of the condition of the eligibility. Only ground on which eligibility certificate has been terminated is the change of opinion as to the eligibility of the petitioner to get the benefit. This course is clearly ultra vires the power conferred under clause 12 of the 2005 Order. The issue is debatable and as per opinion earlier formed by the Department, the petitioner was eligible. No subsequent development or suppression or misrepresentation by the petitioner has been pointed out. In these circumstances, the impugned orders cannot be sustained. W.P. allowed.
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