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    Question

    A Certifying Authority fails to display its licence at

    its premises. Under the IT Act, 2000, such failure:
    A Has no consequence under the Act. Correct Answer Incorrect Answer
    B Is a ground for automatic cancellation of licence. Correct Answer Incorrect Answer
    C May attract punishment, including fine, for non-surrender of licence only. Correct Answer Incorrect Answer
    D May indicate non-compliance with statutory requirements relating to display.g emails to a neighbour. Correct Answer Incorrect Answer
    E Automatically makes all certificates issued invalid from inception. Correct Answer Incorrect Answer

    Solution

    Under the Information Technology Act, 2000, a Certifying Authority (CA) is required to comply with various statutory conditions attached to its licence, including transparency obligations such as displaying its licence at its premises. Failure to do so does not automatically invalidate certificates issued by it, nor does it lead to automatic cancellation of the licence. However, such failure clearly amounts to non-compliance with statutory and regulatory requirements governing the conduct of a CA. The Act empowers the Controller to monitor compliance and take appropriate action where conditions of licence are breached. Option A is incorrect because the Act does contemplate consequences for non-compliance. Option B is incorrect because cancellation is not automatic and follows due process. Option C wrongly limits consequences only to non-surrender of licence. Option E is incorrect because certificates are not rendered void ab initio merely due to such procedural non-compliance. Hence, Option D correctly reflects the legalĀ position.

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