Shot of hunted fox from the league's covert filming
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The ban on a Powys hunting pack - criticised as "barbaric" by animal rights campaigners after an undercover investigation - has been lifted.
The Federation of Welsh Packs, the body governing foxhunts in Wales, removed the suspension after studying video footage of the Plas Machynlleth Fox Hounds.
It concluded no rules had been broken.
The League Against Cruel Sports had said a trapped fox had been attacked by terriers before being destroyed.
Emyr Lewis, chairman of the gun pack - one of around 40 in Wales which hunts on foot - said they were certain the claims would be dismissed.
"We're delighted that we have been cleared," he said.
"We knew from the start that we hadn't done anything wrong.
"These hounds have been bred to hunt and kill foxes and that is what they are doing and we in Plas Machynlleth try to do it as humanly as we can.
"We've killed about 170 foxes this year and we are still getting problems."
The activists had released a video it had filmed after infiltrating the gun pack.
Allegations investigated
The league said the film showed evidence of "barbaric practices", including terriers attacking a trapped fox.
The Federation of Welsh Packs said this was against rules but had been assured that the huntsman put the fox down before it was given to hounds.
The federation suspended the hunting pack while it carried out its own investigation into the allegations.
On Sunday, its members met in Builth Wells to study the footage and decided that the pack had not breached any hunting regulations.
The league said that it was not surprised by the decision.
Hunt resumes
Douglas Batchelor, league chief executive said: "As appalling as these activities are, the league never suggested any of them were illegal.
"The result of this bogus enquiry was, therefore, a foregone conclusion.
"The difference is that the public is now aware of the brutality of terrier work in upland Wales.
"In a civilised society nothing can justify this torture of wild animals.
"The only way this hunt - and all the other cruel hunts in England and Wales - can be stopped is to bring back the Hunting Bill and end this barbarism once and for all."
The pack resumed hunting on Monday.