Local Self Notes-Final

RENAISSANCE UNIVERSITY
SCHOOL OF LAW
UNIT I
CONCEPT OF LOCAL SELF-GOVERNANCE
• Federalism in India.
• The Sarkariya Commission Report, 1988.
• Concept of Local Self Government in India.
• Gram Swaraj: The Gandhian Concept.
• Concept of Sarvodaya
FEDERALISM IN INDIA
A federal government is a system of government that separates the power between central government and
state government of the country. It delegates certain responsibilities to each sector so that the central
government has its own task to do and state government has its own.
A Quasi-Federal government is a system of government that separates the power between central
government and state government of the country but in quasi-federal government, the central government
assigned more power than the state government. In a quasi-central government system, the central
government can interfere in the decision which is made by the state government.
Federalism is compound mode of two governments. That is, in one system there will be a mixture of two
governments – state government with central government. In India, we can describe federalism as a
distribution of authority around local, national, and state governments. This is similar to Canadian model of
political organization.
Federalism is at its core a system where the dual machinery of government functions. Generally, under
federalism, there are two levels of government. One is a central authority which looks after the major affairs
of the country. The other is more of a local government which looks after the day to day functioning and
activities of their particular region.
For example, our Indian Constitution says that India too is a federal country. As you know we have two
levels of parliament, the at center the Union government and at State level, we have the individual State
governments.
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Features Of Federalism
The best way to comprehensively understand the federal system is to learn about its features. These
characteristics combined to reflect the true essence of federalism. Let us study them.
1. The essential feature, which is the definition of federalism is that there are two levels of
governance in the country at least. There can even be more. But the entire power is not
concentrated with one government.
2. All levels of governance will govern the same citizens, but their jurisdiction will be different.
This means that each level of government will have a specific power to form laws, legislate
and execute these laws. Both of the governments will have clearly marked jurisdiction. It will
not be that one of the government is just a figurehead government.
3. Another important feature is that the constitution must guarantee this federal system of
government. Which means the powers and duties of both or all governments must be listed
down in the constitution of that country hence guaranteeing a federal system of governance.
4. As stated above the federalism of a country must be prescribed by the constitution. But it is
also important that just one level of government cannot make unilateral changes or
amendments to the important and essential provisions of the constitution. Such changes must
be approved by all the levels of the government to be carried through.
5. Now there are two levels of government with separate jurisdictions and separate duties. Yet
there is still a possibility that a conflict may arise between the two. Well in a federal state, it
will fall upon the courts or rather the judiciary to resolve this conflict. The courts must have
the power to interfere in such a situation and reach a resolution.
6. While there is power sharing between the two levels of government, there should also be a
system in place for revenue sharing. Both levels of government should have their own
autonomous revenue streams. Because if one such government depends on the other for funds
to carry out its functions, it really is not autonomous in its true nature.
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India – A Federal State
India is a federal country. But not once in the constitution is the word “federation” ever mentioned. Instead
what is said is that India is a “Union of States’.Actually many historians believe that India is a quasi-federal
country. It means it is a federal state with some features of a unitary government. Let us see the reasons.
The constitution of India has essentially prescribed a federal state of government. As you already know we
have several levels of government, The Government at the center, which id the Lok Sabha and the Rajya
Sabha. Then the various state governments, the Vidhan Sabhas, and the Vidhan Parishad. And finally, we
have the Municipal Corporations and the Panchayats, which are forms of local governance.
Our constitution makes a clear demarcation about legislative powers and jurisdictions. It is done through the
three lists.
• Union List: This includes subjects that carry national importance, like defense, finance,
railways, banking etc. So such subjects only the Central Government is allowed to make laws.
• State List: Includes all matters important to the functioning of a particular trade like transport,
Trade, Commerce, agriculture etc. The state government is the deciding authority for framing
laws on these subjects
• Concurrent List: This list includes topics on which both the Union and the state government
can make laws. These are related to education, forests, trade unions etc. One point to be noted
is if the two governments are in conflict with these laws, the decision of the Union
Government will prevail, It is the final authority,
Nature of Indian Federalism
The constitution of India has not described India as a federation. However, Article 1 of Indian constitution
describes India as a ‘’Union of States.’’ This means India is a union comprising of various states which
are an integral part of it. Here, the states cannot break away from the union. They do not have the power
to secede from the union. In a true federation, the constituting units or the states have the freedom to come
out of the union.
Federal Features of Indian Constitution
1. Two sets of Government
There are 2 sets of government in India and that is union government and central government. Central
government looks after the whole country and state government mainly works for the states. Working of
both governments are different.
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2. Division of Powers
Powers between central government and state government have been divided by Constitution of India. The
seventh schedule of the Indian constitution provides how the division of powers is made between state and
central government. Both central and state governments have separate power and responsibilities.
3. Written Constitution
India has the one of the largest constitution in the world which consist of 395 articles 22 parts and 12
schedules. Every article of Indian constitution is clearly written down and has been discussed in full detail.
4. Supremacy of the Constitution
The Constitution of India is regarded as supreme law of land. No law can be made or passed against the
constitution of India. The Constitution of India is above all citizens and organizations of the country.
5. Supreme judiciary
The Supreme Court of India is regarded as the superior court of the country. The decision of the Supreme
Court is binding upon all courts and it has the power to interpret the articles of the constitution.
6. Bicameral-legislation
In India, the legislature is bicameral. It has two houses and that are Lok Sabha and Rajya Sabha. The upper
house of the parliament which represents the states is Rajya Sabha and the lower house of the parliament
which represents the people in general is Lok Sabha.
The constitution of India consists of federalism features such as division of power, supreme judiciary, two
set of government, bicameral-legislation etc which clearly shows its Federal nature. The division of power
between state and central government shows the federal nature of the India and supremacy of judiciary
shows the absolute power of the supreme court that its decision is supreme and binding upon all courts.
However, the powers given to the central government have more weight in comparison to the state
government.
THE SARKARIYA COMMISSION REPORT, 1988
Sarkaria Commission
The Sarkaria Commission was formed by the Indian government in 1983 to examine several
relationships of portfolios and generate frame changes in the Indian constitution.
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The Indian government constituted the Sarkaria commission to investigate different issues under the
constitution of India in 1983. It was mainly created to explore the relationship between the states and the
central government. Recommendation of the Sarkaria commission about the establishment of an inter
state council and this was generated under article 263.
The Indian governance and polity syllabus includes the Sarkaria commission’s recommendations that
were described under article 263.
The Sarkaria Commission was formed by the central government of India and appointed a three-member
commission on centre state relations. This commission was asked to review and examine the working of
existing arrangements between the state and centre in all spheres and recommended appropriate changes
and measures. It was initially given one year to complete its work; however, its term was extended four
times. It submitted its report in the year of 1988.
From the Sarkaria Commission, the politician belonging to any ruling party cannot become a governor in
India. The person must be nominated after consultation with the state chief minister and he should be an
eminent member in his entire life.
Another necessary condition for becoming governor is that the elected person has no political
background and it was necessary to give a logical reason after the termination of any person under the
government sector. The Sarkaria Commission declared some conditions on the process of selection of the
chief minister by the governor. Any party with huge support in the legislative assembly has a chance to
become a government in India.
Background of Sarkaria Commission
The Sarkaria Commission has a historical background directly in Indian politics. “The Ministry of Home
Affairs constituted the Sarkaria Commission under the Chairmanship of R.S Sarkaria,B. Sivaraman, S.R
Sen in 1983, 9th June. This Commission focuses on economic and social developments by making
different constitution frameworks and schemes to protect the independence of India. It is to ensure the
integrity and unity of India that is promoting the importance of the welfare of the Indian people.
The commission examines the jurisdiction, role and responsibility of the state and centre in the
implementation and planning of different projects with the support of the states while making
recommendations. The Indian government made a decision to implement only 180 recommendations
from the Sarkaria commission and the advantages of this recommendation were developed in the year of
1990 in the internal state council.
Purpose of Sarkaria Committee
The Sarkaria Commission is made for review and examines the existing relationships between the states
and unions under the Indian constitution for the healthy future of India. The Sarkaria commission did not
favour structural changes and regarded the existing constitutional principles and arrangements relating to
the instructions as sound. However, it emphasised the need for changes in the functional or operational
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aspects. It observed that federalism is more a functional arrangement for cooperative action than a static
governmental concept. It rejected the command to decrease the power of the state and centre to make the
strongest Indian central government. The government proclamation includes several reasons for the state
government to use this article in their state. With the help of the Sarkaria Commission, the central
government provides essential protection for the country’s integrity and national unity. That has been
threatened by fissiparous tendencies in Indian politics.
The main purpose of making this commission is to link different kinds of central assistance with state
performance. The impact of the Sarkaria Commission in fiscal relations that discuss the relations
between the states and centre by “8th to 12th finance commissions” to maintain the dependence on
several funds from the centre. It helps in making the relevance of various taxes on the sale of services
and goods from the central government.
Features of Sarkaria commission
Sarkaria Commission submitted their report to Rajiv Gandhi, the prime minister of India in 1987, in
October. This report is mainly based on 247 several types of recommendations that are classified into 19
chapters. This commission mentioned the details of the relationship between the states and the centre.
This report is not obligatory, however the court relied on these recommendations several times. The
Sarkaria Commission discusses briefly the utilisation of Article 356 and the importance of the Governor
in legislative areas of the constitution.
Sarkaria Commission describes the advantages of article 252 and describes the prohibition of the power
of the Indian government. Another important suggestion given by this commission was the organisation
of a stable council in all states under article 263 and it gives the power to investigate and advise any
disputes across the states of India.
Recommendation of Sarkaria commission
Recommendations in Sarkaria Commission discuss 247 recommendations that are maintaining national
integrity and unity and it was identified as the preventable problems in India. From this commission, the
posting of judges of the High court before their permission. By this commission, article 263 stated that
the performed duties of councils through the president. The Sarkaria commission suggested the following
jurisdiction on the concurrent menu among the state governments before applying the legislation to them.
This commission suggested federalism arrangements as a cooperative activity in administrative manners

in the states of India. Some of the recommendations of the Sarkaria commission are mentioned below:
• The zonal councils should be constituted, reactivated and afresh to promote the atmosphere of
federalism.
• The central government should have the strength to deploy its armed forces even without the
consent of different states while it is desirable that the states should be consulted.
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• The governor has no power to dismiss the council of ministers and it commands a majority in the
assembly.
• The present division of operation between planning and economic commission is rational.
Sarkaria Commission Recommendations
The chief recommendations of the Sarkaria Commission are mentioned in this section:
• The Commission recommended the appointment of individuals with considerable years of

experience in public service and who have non-partisan attitudes.
• The states must be empowered to look into the development of the people and effective
implementation of the welfare schemes.
• It supported the idea of cooperative federalism and put forth an observation that federalism is
more a functional arrangement for cooperative action, than a static institutional concept.
• The state governments should be equipped with sufficient financial resources to reduce their
dependency on the central government.
• A permanent Inter-State council must be set up to resolve any issue of dispute among the states.
• It suggested the empowerment of All-India Services.
• In matters related to state bills, the states must be communicated while they are vetoed by the
President.
• The commission advocates a consultative process between the centre and states whenever there is
a necessity to deploy the armed forces in the states.
• It also recommended that the residuary powers to formulate laws in matters related to taxation
must remain with the Parliament. Other than the matters of taxation, the residuary field must be
categorised under the concurrent list.
• According to the report, the President’s rule under Article 356 shall be imposed only under
extreme circumstances as a measure of last resort and when it becomes absolutely essential to
avert the breakdown of constitutional machinery in the state.
Recommendations with respect to Appointment of the Governor:
• There should be a procedure of consulting the Chief Minister of the State, the Vice-President of
India and the Speaker of Lok Sabha in the process of appointing a Governor.
• The State governments must be involved in the appointment of the governor with the formation
of panels.
• Governors must be allowed to complete five years of their term in the office.
• The individual is required to be an eminent person.
• It is recommended that an individual appointed as the Governor must be from outside the state of
appointment.
• A detached person who has never indulged in active or local politics will be eligible for the post
of governor.
• The governor, after demitting the office, shall not be considered eligible for any other
appointment or Office of Profit under the government.
• Post-retirement benefits must be ensured to the person who held the position of governor.
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Maharashtra: A Case Study
• In 2019, the Maharashtra governor requested for the revocation of the President’s rule followed
by the administration of oath by the Chief Minister as no political party was in a position to form
the government.
• This act invited huge criticism and was declared unconstitutional.
• In accordance with the Sarkaria Commission report on Centre-State relations, it was asserted that
the governor, while going through the process of appointment of the Chief Minister, should select
a leader who is most likely to command a majority in the assembly.
The Emerging Significance of Sarkaria Commission
• The Sarkaria Commission often gathers prominence whenever the office of the governor is called
into question because of several political instabilities dominant within the states.
• In many instances, the Supreme Court has upheld the recommendations of the Commission and
emphasised the urgent functioning of those recommendations to restore harmony between the
Centre and State.
• With the recent tension in the states of Maharashtra (that experienced the unusual dissolution of
the government), West Bengal and Karnataka, the credibility of the office of Governor has been
questioned.
• Many experts believe that the country is in dire need to reform the governor’s office by bringing
into force the recommendations of the Sarkaria Commission.
• The Sarkaria Commission report has proven to be a futuristic document that can be applied in
many instances that took an attempt to disturb the federalism of the country.
• Therefore, the report of this commission is spelt out often to prevent the highhandedness of the
centre over the doctrine of federalism. It remains a document of enormous essence to safeguard
the democratic principles of this country and awaits its effective implementation.
GRAM SWARAJ: THE GANDHIAN CONCEPT.
Concept of Swaraj
Mahatma Gandhi was a unique freedom fighter. The anti-colonial freedom struggle launched by Gandhi
for the liberation of India was unique from many points of views. That it was predominantly a non-
violent and his struggle for the liberation of India was based on non-violence. Gandhijis role in freedom
movement was multidimensional. He was not limited with one aim only to end the British rule in India.
Of course, ending of British domination was his important agenda. His goals were greater and more
ambitious. One of his important goals was to achieve Swaraj, Purna Swaraj or complete independence.
The word Swaraj means self-rule. However, for Gandhi, Swaraj is the content of an integral revolution
that encompasses all spheres of life. At the individual level Swaraj is vitally connected with the capacity
for dispassionate selfassessment, ceaseless self-purification and growing swadeshi or self-reliance´.
From political point of view Swaraj is self-government and not good government . For Gandhi, good
government is no substitute for self-government. Swaraj means continuous effort to be independent of
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government control, whether it is foreign government or whether it is national. Furthermore, it is

sovereignty of the people based on pure moral authority. From economic point of view Purna Swaraj is
full economic freedom for the toiling millions. According to Gandhi, "Swaraj of the people meant the
sum total of the Swaraj (self-rule) of individuals and so he clarified that for him Swaraj meant freedom
for the meanest of his countrymen. And in its fullest sense, Swaraj is much more than freedom from all
restraints, it is self-rule, self-restraint and could be equated with moksha or salvation.´
Gandhiji had serious attention on how to realise Swaraj. He has pointed out that ³Swaraj will not drop
from the cloud and it would be the fruit of patience, perseverance, ceaseless toil, courage and intelligent
appreciation of the environment´. He also observed that ³Swaraj means vast organising ability,
penetration into the villages solely for the services of the villagers, in other words, it means national
education i.e., education of the masses´.
In the Gandhian discourse, mass education is conscientisation, mobilisation and empowerment, which
makes people capable and determines their power to stand up. He pointed out that, Real Swaraj will
come, not by the acquisition of authority but by the acquisition of the capacity by all to resist authority
when it is abused. In other words, Swaraj is to be attained by educating the masses to a sense of their
capacity to regulate and control authority
Gram swaraj and Panchayati Raj:

The main idea of village Swaraj is that every village should be its own republic. Gandhi proposed work
from below. He said, freedom must definitely start at the bottom. So every village will have a republic or
full capacity, it will be Panchayat. The Gandhian thought of rural Swaraj and Panchayat Raj system can
drive vehicles to bring many social and political changes, including all partners, in the process of
decision-making and public policy formulation. Gandhi said, “Panchayat Raj represents true democracy
realized. We would regard the humblest and the lowest Indian as being equally the ruler of India with the
tallest in the land”. For the empowerment of the people and for the participatory democracy, Grameen
Swaraj has become an uninterrupted dream, for which it needs a logical, systematic and very strong
effort.
Political participation in a strong platform of Panchayat state and no doubt, this marginalized and socially
divided group created political awareness of the people of all division. Confirmation of participation of
PRI women in the local voluntary organization. Now they are improving their financial and social
conditions through the PRIs. They are making their own decisions and play an important role in
increasing the efficacy of PRI in democratic society. Article 24G empowers the generation, power and
responsibility to participate in economic development and social justice plans. The implementation of the
plan for economic development and social justice can be handed over to them, as well as related to issues
recorded in the Eleventh Schedule. According to this article, rural population has a realistic view of the
ambition, but in practice, they are always busy with the planned funds and cannot make their own
decisions about the plans at the local level. Swaraj is not the renewal of the Panchayat of the village of
the village, but in the context of today’s universe, the new structure of Swaraj independent village.
Gandhi believed that liberty must start at the bottom. So each village will have a republic or full power
will be Panchayat. Every village should be self sufficient and able to handle its activities, even in
protecting itself against the whole world. It is trained and will be destroyed in an attempt to defend itself
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against an attack against the destruction. Thus, in the end it is a person who is single.During the non-
cooperation movement, the Panchayat adopted the system more prominently, because it offered an
alternative to the English judicial system. It represents the positive aspect of the court boycotting
program. The goal of the panchayet was to transfer the court to settle disputes instead of a person. Unlike
British courts in India, these panchayats used to act as arbitrators for quick disposal of the parties. As a
result, during the Non-Cooperation Movement, thousands of panchayats were established throughout the
country and Gandhiji said, “So I will strongly advise the Panchayats to carry out the very useful work of
providing cheap, quick and effective justice to the people.” Real democracy can be realized through the
panchayat raj in India.
Gandhi insisted that panchayats may be a very effective tool for the development of the village.
Panchayat is expected to attend to
(a) The education of boys and girls in its village,
(b) Its sanitation,
(c) Its medical needs,
(d) the upkeep and cleanliness of village wells or ponds,
(e) The uplift of and the daily wants of the so-called untouchables.
New panchayati Raj system after Independence

The new panchayati raj system aims to decentralize governance at the grassroots level and to empower
rural men and women. Referring to the activities of Panchayat Gandhi, emphasizing the administration of
justice, education, rural environment and the development of the poor. It is important to educate the
leaders and leaders of the panchayet raj laws and the expectations of the people, especially in the grass
root level, the foundation for democracy is well equipped. The credit goes to Rajiv Gandhi to revive this
dense core democratic institution, which started 73rd Amendment in the Indian Constitution, which
makes Panchayat elections compulsory, and in particular recognizes rural society as a fundamental
institution of the new Panchayati Raj system. In 1959, when the Panchayati Raj was being introduced in
the country, the then Prime Minister Nehru said that it was the country's greatest revolution and till 1964
the system was good. Three-stage Panchayati Raj system has been introduced to ensure the participation
of people in the democratic decentralization at the grassroots level to implement dream of the dream of
the dream of rural Swaraj. On 25th October 2000 in Nagaur, Rajasthan, the first Panchayat Raj was
established to the then Prime Minister Pandit Jawaharlal Nehru. The Panchayats of the 73rd Amendment
2001 have got constitutional status of third party of Indian political system including the panchayat,
block panchayat and the district panchayat. In the Article 40 of the Constitution, their panchayats have
been organized so that they can work like a separate government unit. The new system has been given a
constitutional status and by which it has become a third government in the Indian political system. This
is a three-level structural system, namely, zilla panchayat, middle panchayat and gram panchayat. The
new system has been acquired with the power of taking decision on twenty –nine subjects in the 11th
schedule. According to the new law, intensive vulnerabilities in the past panchayet raj system have been
removed in respect of money by this provision. Uninterrupted rehabilitation has been used for the
welfare of society. Likewise, all the attention to the reservation for SC/ST is to draw attention. Seat
Storage SC/ST Population Proposal 73rd Amendment has always been reserved for one-third of the
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panchayat's women. After this, the Constitutional amendment was confirmed in 2010 that the increase in
seats from 33 percent to 50 percent for women among panchayats and the total seats of voters will be
reserved for women through direct election of each panchayat. An organization consisting of the
Panchayat voters in the Gram Sabha in the Indian Constitution, takes necessary measures to take required
action, for which a village panchayat can account for its steps and inertia. There is also a forum for
village level planning in rural and social audit Gandhiji wanted the village panchayats to function
differently in all the ways in the welfare of the people of the village. The Panchayats of his viewpoint
make a good deal of democracy and it becomes an effective tool for the expansion and decentralization
of power and authority.
CONCEPT OF SARVODAYA
Sarvodaya means ‘progress of all’ or ‘Universal uplift’. Gandhi started this Sarvodaya movement, and
people consider it an addition to his efforts in his non-violence movement. The main objective of this
event was to establish a new India based on non-violence and love. It is an intellectual and powerful
movement to develop India’s socio, economic and moral independence.
Sarvodaya is a Sanskrit word derived from two words, namely, sarva and udaya. Sarva means ‘all’ which
includes every kind of living beings. Udaya means ‘rise,’ ‘uplift,’ ‘prosperity,’ ‘affluence,’ etc. So
Sarvodaya literally means ‘the welfare of all’ or ‘the upliftment of all.’ The ultimate objective of
Sarvodaya is the total well-being of all or the greatest good of all. By ‘welfare of all’ Gandhi means the
sum total of conditions – religious, moral, political, social and economic – for the all round growth of the
total individual and of every individual in the context of the overall development of society. By the
concept Sarvodaya Gandhi really means universal uplift or the welfare of all men and women and not
just the welfare, or greatest happiness, of the greatest number. Sarvodaya is the name Gandhi gives to the
new society embracing the betterment of the entire humankind and the world at large. It is a society
directed towards the integral welfare of all living beings based on age and on the old spiritual and moral
values of Indian and those found elsewhere.
Sarvodaya movement aims at creating a society that uses politics of co-operation instead of politics of
power. The leading preachers of this movement are Jayaprakash Narayan and Acharya Vinoba Bhave
Objectives of the Movement
Gandhi’s Sarvodaya focused not only on the welfare of the individual citizens but also on the welfare of
society as a whole. Here’s why-
• Peace as a weapon- Sarvodaya promotes peace and has no place for non-violence. It believes in
self-discipline and self-reliance. This movement also believes in a government that lets people be
free and does not approve the use of the state’s power, even if it is meant for the state’s welfare.
• Democratic nation- This movement did not believe in political parties ruling the state. Instead, it
suggested that there would be chosen Panchayat heads who take up the final decision. The
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panchayat heads would be honest people selected by the agreement of the village and not on a
political basis.
• Economic equality- Gandhi believed in economic equality and thought it could give financial
independence to a nation. For this, equal pay according to labour should be implemented. A non-
violent government functions best when there is no vast gulf between the rich and poor.
• Moral and ethical values- Sarvodaya attempts to control the craze for power using manipulative
and non-violent ways. As a result, people give up their morals and ethics while achieving power
and wealth. Thus, this movement attempts to stop it.
• Spiritualism- This movement believes that spiritual power is above any materialistic philosophy.
Thus, it tries to shape people’s ideologies, be it feudal or capitalists. It asks people to focus more
on higher and nobler ideas of spiritualism instead of concentrating on shallow thoughts.
• Village council (Gramrajyam) – Sarvodaya believes in a self-sufficient village system. This
meant that every village would have a village council composed of one member from each
family. It is the overall well-being of the village as a whole.
• Bhoodan movement- Gandhian follower Vinoba Bhave started the Bhoodan movement, also
known as Bloodless Revolution, in 1951 while he visited the Ponchampolly village. The objective
of this movement was to convince rich people who had a large area of land to give up a part of
their land area to the poor.
Significance of Sarvodaya Movement
The Sarvodaya movement focused on the welfare of all people. It focuses on the upliftment of both
classes in society that is rich and poor. It did not discriminate among humans based on religion, caste,
creed, colour, gender or economic and societal status. This movement wanted each human to be treated
equally. It wanted to establish a community based on non-violence where freedom and equality
prevailed. However, such a society is not ideal in the modern world. Although the thoughts and beliefs
are noble, they cannot develop a nation.
main features of Sarvodaya
The main features of Sarvodaya are trusteeship, economic equality and networking.
Trusteeship -The theory of trusteeship, elimination of exploitation in every shape or form; a classless
society which offers no privileges by the birth or wealth or talent; mutual cooperation being the driving
force of motivation and behaviour; and above all, securing the welfare of all without any distinction of
race, religion, sex, political affiliation: these may be said to be the highlights of the Sarvodaya society
envisioned by the Mahatma. Sarvodaya is the application of the principle of non-violence in the
transformation of societies: from their present forms which are mostly exploitative of and unfavourable
to the disadvantaged, toward more balanced, inclusive and egalitarian forms in which can be enshrined
the principle of social justice for all.
Economic equality- According to Gandhi economic equality is the master key to non-violent
transformationary independence. Working for economic equality means abolishing the eternal conflict
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between capital and labour. A non-violent system of government is clearly and impossibly so long as the
wide gulf between the rich and the hungry millions persists. The most disadvantaged sections of the
community being the economically, the physically and the mentally poor, it is obvious that no egalitarian
society could evolve without the poor taking part in the evolutionary process. And for this sector to take
part, focus must be put on raising their status to an acceptably decent level. However, as it should be for
all the other sectors of society, if an acceptable level of existence is to be reached and maintained for the
disadvantaged sector, it is imperative that it should be self sustainable through their participation in their
own management.
Sarvodaya Network -During his lifetime, Gandhi never allowed Sarvodaya organisations to be formally
instituted. His thinking was that once you served people, as ‘sevakas,’ within the Sarvodaya philosophy
there was no need for institutionalization. But since his demise Sarvodaya organisations have been
established world-wide genuinely helping people towards building new societies from the ‘grassroots’
up. At the operational field level, the most successful Sarvodaya programmes have most often been those
which, apart from being self-created and self-managed, have employed practical hands-on-learning-by-
doing methods, including a lot of income generation, skills training and conscientisation; rather than the
theoretical ‘talk-shop’ or workshop approach.
Mahatma Gandhi’s Conception of Sarvodaya:
‘Sarvodaya’ etymologically means ‘the betterment of all’, and that precisely it is. Usually Sarvodaya is
compared and contrasted with Utilitarianism. Sarvodaya is based on ‘love’, it proceeds on the faith that a
sarvodayi will also be prepared for maximum possible self-sacrifice for the good of others. The end of all
activities, social or political, has to be nothing else but the upliftment of everybody. This can be possible
only when no individual is neglected or overlooked, and this, in its turn, will be possible only in the
panchayat system, which, through its small village units will be able to pay attention to every individual
of the village .
The word ‘Sarvodaya’ is a combination of two words, namely, ‘Sarba’ and ‘Udaya’ which taken together
mean the uplift or welfare or good of all. The inventor of this principle of universal uplift without the
distinction of caste, colour or creed or without the distinction of high or low is the Indian who is more or
less known throughout the world as Mahatma Gandhi. During the first quarter of this century, while in
South Africa fighting against colour prejudice, he read John Ruskin’s book ‘Unto This Lust’ and was
profoundly influenced by the doctrine inculcated in this book. He not only accepted the principle
contained in this book but confirmed his daily life to the norms laid down in this book.
Gandhiji wanted to have an ideal society of his imagination in which he wanted to have complete
decentralization of authority by strengthening Panchayat Raj system. He wanted to have a society in
which there was all love and no hatred and persuasion for the rich to give their surplus to the needy.
The movement started in April, 1951 when at a Sarvodaya Sammelan held at Shiva Rampali where some
landless untouchables approached Vinoba Bhabe for land and the Acharya appealed to the landlords of
the area to donate him some land. Sri Ram Chandra Reddy of the area responded to the appeal and
donated a hundred acres of land to Vinobaji and thus, the movement got a start. It gradually spread to
other parts of the country but its most real impact was felt in Talengana where the relations between the
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owners and cultivators were strained due to the refusal of land owners to distribute their land to the
landless tillers. This philosophy created a sort of revolution in the minds of the people of that area.
Sarvodaya today has assumed the dimension of power of a movement and is a social force of great
potentialities and power. It has been regarded as a dynamic philosophy which can make possible the
advent of a radical transformed humanity. Sarvodaya, as an ideal, seeks to build a new society on the
foundations of the old spiritual and moral values of India. Its philosophy is integral and synthetic in
character. It takes up the Gandhian synthesis of the ideas of Vedanta, Buddhism, Christianity, Ruskin,
Tolstoy, Thoreau and tries to incorporate his ideas at more critical and analytical levels. Besides
Gandhism, It has also taken some of its ideas from the socialist philosophy. Thus, Sorvodaya represents a
synthesis of Gandhian and socialist philosophy, a synthesis of theoretical abstractions and political and
economic generalizations.
Vinoba, a true Gandhian, and J.P. Narayan, a true socialist are the two main leaders associated with
Sarvodaya movement. Sarvodaya is another Indian philosophy which aims at attaining social, moral and
economic independence. This philosophy is very close to Gandhian philosophy. In fact, it is a part of that
philosophy. Whereas the followers of political philosophy of Mahatma Gandhi were satisfied with
achieving political independence those who were the true followers of Gandhiji were ready to struggle
for achieving social, economic and spiritual independence. Mahatma Gandhi, in his lifetime, himself
wanted to work in this direction and he wanted to express his ideas by convening a small conference of
his spiritual followers at Wardha but the object could not be achieved due to his assassination. Gandhi’s
Sarvodaya has its roots in the Vedantic concept of the spiritual unity of existence and the Gita-
Buddhistic concept of sarvabhutahita or the good of all living beings. Its wide comprehensive idealism,
thus, is opposed to the Lockean theory of majoritarianism, the Marx-Gumplowicz concept to class and
racial struggle and the Benthamite formula of the greatest good of the greatest number. Just as in Plato’s
writings, his ethereal idealism is brought out in the Republic, while the Statesman and the Laws show
concessions of the realistic demands of human nature and the social structure, so also in Gandhi there is a
realistic theory which was meant for immediate application for winning the freedom of India and for
possible application in the near future as well as a more transcendent theory which postulates a radical
transformation of human nature and a more perfect incorporation of the moral techniques in the corporate
life of mankind. Gandhi considered the state as an organization of violence and force. Being an apostle of
non-violence he was repelled by the coercive character of the state. He postulated that in the ideal state of
Ramarajya or the Kingdom of God upon Earth there will be the sovereignty of the moral authority of the
people, and the state as a structure of violence would be extinct. But he was not for immediate ending of
the state power. The increasing perfection of the state should be the immediate goal although the ultimate
aim is philosophical and moral anarchism. In an article in the Young India (9th March, 1922), Gandhi
draws a distinction between the ideal society and Swaraj. In the ideal society there will be no railways,
no hospitals, no machinery, no army and navy, and no laws and law courts. But he emphatically states
that under Swaraj these five categories will function.
Under Swaraj laws and law courts will, however, be the custodians of people’s liberty and not the
bureaucratic instruments of oppression. It is possible to note down certain events and factors which
might have generated hostility towards the state in Gandhi’s mind:
(a) Brutalities perpetrated by the South African Government upon the poor defenceless Zulus,
(b) Betrayal by Smuts during the South African Satyagraha movement,
(c) Atrocities perpetrated by the British imperialistic power in India.
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It could be legitimately inferred that from these experiences Gandhi came to regard not a particular
government as such but the entire structure of the state with hostility. He, however, did not contemplate
the deliberate destruction of the state machine, but visualized the final end of the coercive state by
increasing observance of nonviolence in political action. He visualized that in the future independent
Indian State soldiers will form a national militia and would be used not for offensive but defensive and
protective purposes.
Gandhian Sarvodaya conceives of a society in which everybody works not only for his own good but for
the good of all. In such a society, the principle of equality reigns supreme. Violence, exploitation,
chicanery and fraud are conspicuously absent in such a society. The positive aspect of such a society is
the duty to voluntarily work and to respect the equal rights of others and the negative aspect is not to
practice violence in relation to other members of the society. Gandhian Sarvodaya lays great importance
to self- abnegation for collective good. In such a society, each person, to whatever station of life he may
belong, is required to do his duty with a religious zeal. Sarvodaya society is established through moral
means and continues in existence on a moral basis. A Sarvodaya Economic Conference was then held in
December, 1949 which aimed at establishing a Sarvodaya society. The new society found leadership and
exposition of its philosophy in the writings of Acharya Vinoba Bhave.
The followers wish to establish a new society which will modify the existing one. In their ideal society:
1. There will be social economic equality and none will stand in the path of progress of others.
2. There will be full freedom for the development of personality of all.
3. The society will provide equal opportunities for work and progress.
4. The Society will work on this basis of mutual co-operation and there will be love for all.
5. Efforts will be made to raise moral standard of the people because a moral man along can make
the society moral.
6. There should be decentralisation of authority because centralization is bound to result in tyranny
and corruption.
7. In the economic field they want to have a cottage and village industry set-up.
8. The authority of the state will be reduced to the barest minimum and there will be no distinction
between the ruler and the ruled. All will be treated as human beings and have equal status in the
society.
9. Rural and urban small communities will manage the society
In the ideal society there will be no place for coercion because it brings hatred. If at all there will be any
coercion that will be that of love. It will be a moral force which will bind all to each other. There will be
no distinction between mental and manual labour and all labour will be properly rewarded. Socially
useful labour in all forms, and by all means, shall be honoured. Gandhiji’s Sarvodaya is mainly intended
for the uplift of the rural-folk who constitute the bulk of the population and who have been the object of
oppression, repression and exploitation for a long time. He wanted to improve the lot of these toiling and
starving masses through the establishment of a system of society in which the people rule themselves
through village Panchayets elected freely and not on party basis. It will be a rule of all by all—a rule
analogous to Rousseau’s rule by the General Will, Sarvodaya in the last analysis, implies a society in
which the guiding principles are duty to work, service to the people, equality and above all self-sacrifice.
Such a society is free from of all sorts of meanness like hatred, sectionalism and fanaticism.
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Sarvodaya is to be sharply distinguished from the utilitarian doctrine of the greatest good of the greatest
number. But Gandhian Sarvodaya aims at the good of all and not of the numerical majority. Sarvodaya
also differs from utilitarianism in this that it rests whole on a moral basis.
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UNIT II
EVOLUTION OF LOCAL SELF GOVERNMENT AND
CONSTITUTIONALISATION
Evolution of Local Self Government through Committee

recommendations:
- Balwant Rai Mehta Committee, 1957
- Ashok Mehta Committee, 1978.
- G.V.K. Rao Committee, 1985.
- L.M. Singhvi Committee, 1986.
- Gadgil Committee, 1988.
- Thungon Committee, 1989.
73rd and 74th Constitutional Amendments.
Subject matters of 11th and 12th Schedule of Constitution of India
1. Balwant Rai Mehta Committee, 1957
Originally appointed by the Government of India to examine the working of two of its earlier
programs, the committee submitted its report in November 1957, in which the term ‘democratic
decentralization‘ first appears.
The important recommendations are:

Establishment of a 3-tier Panchayati Raj system - Gram Panchayat at the village level,
Panchayat Samiti at the block level, and Zilla Parishad at the district level. These tiers should
be organically linked through a device of indirect elections. The main purpose of this division
is to simplify and to decrease the work load of the state and central government[MSD].
• District Collector to be the chairman of Zila Parishad.
• Transfer of resources and power to these bodies to be ensured.
The village Panchayat should be constituted with directly elected representatives, whereas
the Panchayat Samiti and Zilla Parishad should be constituted with indirectly elected
members. This is because Panchyat is similar to that of state assembly where there is place
for politics where as Samiti and Zilla Parishad members should be more educated and
knowledgeable and may not need the majority support.
All planning and developmental activities should be entrusted to these bodies.
The Panchayat Samiti should be the executive body while the Zilla Parishadshould be
the advisory, coordinating and supervisory body.
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The District Collector should be the Chairman of the Zilla Parishad.

There should be a genuine transfer of power and responsibility to thesedemocratic bodies.
Sufficient resources should be transferred to these bodies to enable them todischarge
their functions and fulfil their responsibilities.
A system should be evolved to effect further devolution of authority in future.
Irrespective of political parties, Elections has to be constituted for every 5years in a
genuine way.
The existent National Development Council accepted the recommendations. However, it did not
insist on a single, definite pattern to be followed in the establishment of these institutions. Rather, it
allowed the states to devise their own patterns, while the broad fundamentals were to be the same
throughout the country.
Rajasthan (1959) adopted the system first, followed by Andhra Pradesh in the same year. Some
states even went ahead to create four-tier systems and Nyaya panchayats, which served as judicial
bodies.
2. Ashok Mehta Committee (1977-1978)

The committee was constituted by the Janata government of the time to study Panchayati Raj
institutions. Out of a total of 132 recommendations made by it, the most important ones are:
Three-tier system to be replaced by a two-tier system.

Political parties should participate at all levels in the elections.
Compulsory powers of taxation to be given to these institutions.
Zila Parishad to be made responsible for planning at the state level.
A minister for Panchayati Raj to be appointed by the state council of ministers.
Constitutional recognition to be given to Panchayati Raj institutions.
Unfortunately, the Janata government collapsed before action could be taken on these
recommendations.
3. G V K Rao Commitee (1985)

Appointed by the Planning Commission, the committee concluded that the developmental
procedures were gradually being taken away from the local self- government institutions, resulting
in a system comparable to ‘grass without roots’.
Zila Parishad to be given prime importance and all developmental programs atthat level
to be handed to it.
Post of DDC (District Development Commissioner) to be created acting as thechief
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executive officer of the Zila Parishad.

Regular elections to be held
4. L M Singhvi Commitee (1986)

Constituted by the Rajiv Gandhi government on ‘Revitalisation of Panchayati Raj institutions for
Democracy and Development’, its important recommendations are:
Constitutional recognition for PRI institutions.

Nyaya Panchayats to be established for clusters of villages
Though the 64th Constitutional Amendment bill was introduced in the Lok Sabha in 1989 itself,
Rajya Sabha opposed it. It was only during the Narasimha Rao government’s term that the idea
finally became a reality in the form of the 73rd and 74th Constitutional Amendment acts,
1992.
Panchayati Raj System under 73rd and 74th Constitutional Amendment acts, 1992
The acts of 1992 added two new parts IX and IX-A to the constitution. It also added two new
schedules – 11 and 12 which contains the lists of functional itemsof Panchayats and
Municipalities. It provides for a three-tier system of PanchayatiRaj in every state – at the
village, intermediate and district levels.
73RD AND 74TH CONSTITUTIONAL AMENDMENTS

The 73rd and the 74th Constitutional Amendment Acts, 1992 enjoin upon the states to establish a three-
tier system of Panchayats at the village, intermediate and district levels and Municipalities in the urban
areas respectively. States are expected to devolve adequate powers, responsibilities and finances upon
these bodies so as to enable them to prepare plans and implement schemes for economic development
and social justice. These Acts provide a basic framework of decentralisation of powers and authorities to
the Panchayati Raj/Municipal bodies at different levels. However, responsibility for giving it a practical
shape rests with the States. States are expected to act in accordance with the spirit of the Acts for
establishing a strong and viable system of Local Self-Government. The 73rd and 74th Amendments to
the Constitution of India constitute a new chapter in the process of democratic decentralisation in India.
In terms of these Amendments, the responsibility for taking decisions regarding activities at the grass-
root level which affect people's lives directly would rest upon the elected members of the people
themselves. By making regular elections to Panchayati Raj/Municipal bodies mandatory, these
institutions have been given their due place in the democratic setup of our country. Local Self-
Governments in India, both Rural and Urban, has seen many ups and downs. But after the 73rd and 74th
Constitutional Amendments, 1992, Local Self Government in India got a new life, as it is enshrined in
the Constitution of India like the two upper levels of governments i.e., Central and State Governments.
Local Self-Government is the third stratum of Government, the first two being the Central and the State
Governments.Presently, Rural Self Government i.e., Panchayati Raj system is working in accordance
with the 73rd Constitutional Amendment Act and Urban Self Government i.e., Municipal Bodies is
working in accordance with the 74th Constitutional Amendment Act. Following the enactment of the
73rd Amendment Act, 1992, almost all the States in India passed legislation in conformity with the
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provisions of the 73rd Amendment Act. There are some States which have two tier Panchayats – one at
the village level and second at the district level. And there are also other States where Panchayati Raj
Institution is a three tier system- Gram/ Gaon Panchayat as first level, Samiti, Mandal or Anchalik or
Taluk or Block or Janapad or Union or Kshetra as second level and Zilla or District as the third level. At
the rural level the Gaon Sabha constitutes the foundation of the Panchayati Raj system. Gaon Sabha
performs the functions and powers entrusted to it by the state legislatures.
73rd AMENDMENT ACT 1992 IN INDIA.
The 73rd Amendment Act aims to provide three tier system in the Local Self Government constituted
through elections held regularly every five years. The Act also provides reservation of seats for
Scheduled Castes, Scheduled Tribes and Women. Moreover, the Act provides for a State Finance
Commission to make recommendations regarding the financial powers of the Panchayats and to
constitute District Planning Committee to prepare draft development plan for the district. Provision has
also been made to constitute a State Election Commission in every state to supervise, direct and control
the regular and smooth elections to Panchayat bodies. The 74th Constitutional Amendment Act, 1992,
proposes to constitute a uniform structure of Municipal Corporations, Municipal Councils and Nagar
Panchayats in transitional areas. This Act granted the Urban Local Government a constitutional status.
Presently, the Urban Local Government has three categories-(a) Nagar Panchayat for a transitional area,
i.e., an area in transition from a rural to an urban area, (b) Municipal Council for smaller urban area and
(c) Municipal Corporation for a large urban area. An area is designated as ‘a transitional area’ or a
smaller urban area’ or ‘a larger urban area’ on the basis of size and density of population of that area, the
revenue generated for local administration, the percentage of employment in non-agricultural activities,
the economic importance or such other factors. The Governor of a state can provide, by a notification
that a Municipality may not be created in an industrial township if the municipal services are provided by
an industrial establishment. Another type of town which does not come within the scope of above
categories is the army cantonment. If any towns have come up around the army stations, the management
boards for these towns are established and these are controlled by the Defence Department. These are
known as Cantonment Boards. The seats in the Municipalities are filled by persons who are elected
directly by the people from the territorial constituencies within the municipal area. These territorial
constituencies are known as wards.
SAILENT FEATURES OF 73rd AMMENDMENT
(A)Establishment of ‘Gram Sabha’ at the village level comprising of persons registered in the electoral rolls
relating to a village comprised within the area of Panchayat(Article 243(b)). The State, where Gram Sabha does
not exist, will have to make such provision.
(B)Establishment of a three-tier system of Panchayat, at the village, intermediate and district levels, in all the
States and Union Territories (UTs) except in those having a population of less than twenty lakhs where Panchayats
at intermediate level need not be constituted. The States which will fall under this category as per 1991 census are
Goa, Sikkim, all the North Eastern States and UTs.
(C)All levels of Panchayats will consist of persons elected directly from the territorial constituencies in the
Panchayat area. The territorial constituencies shall be carved out in such manner that the ratio between the
population of each constituency and the number of seats allotted to it should be uniform throughout the Panchayat
area as far as practicable.
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(D)All m,embers of the Panchayat whether or not directly elected shall have the right to vote in the meetings of
the Panchayats.
(E) The chairperson of a Panchayat at the intermediate and district level shall bre elected from among the directly
elected members representing the territorial constituencies.
(F) Reservation of seats for SCs/STs in proportion to their population in the Panchayat area and seats may be
allotted by rotation.
(G)One-third of the total number of seats, both in reserved and unreserved categories shall be apart for women in
every Panchayat and seats may be allotted by rotation.
(H)The chairperson of each level of Panchayats shall be reserved for SCs/STs in proportion to their population on
rotation basis. Similarly, one-third post of chairpersons of each level of Panchayats shall be reserved for women on
rotation basis.
(I) A fixed tenure of five years for Panchayats from the data appointed for its first meeting and the tenure cannot be
extended.
However, if a Panchayat is dissolved before the expiry of its term, election is to conducted within a period of six
months of the dissolution to reconstitute the Panchayat for the remainder of the terms of the term provided the
remainder of the period is not less than six months. The Panchayats shall be constituted before the expiry of its
tenure of five years.
(J) Amendment of law to dissolve the Panchayats at any level is also prohibited.
(K)A person who has attained twenty one years of age is eligible for a membership of a Panchayat.
(L)Constitution of a Finance Commissiom in the State within one year from the commencement of the
Constitution Amendment Act initially and thereafter every five years to review the finances of the Panchayats and
recommended the principles on the basis of which the taxes to be appropriated by, or assigned to the Panchayats as
also grant-in-aid to the Panchayats from the consolidated fund of the State. The action taken on the
recommendation of the Commission shall be laid before the Legislature of the State.
(M) Audit of the accounts of the Panchayats to be done.
(N)A State Election Commission has to be constituted for the superintendence, direction and control of the
Panchayats at all levels. The State Election Commissioner, however, shall be removed in the manner and on the
like grounds as a Judge of a High Court.
(O)The Act is applicable to all States and Union Territories. Exemption is being ranted to certain states and tribal
areas and other territories from the application of the provisions of part IX of the Constitution and powers to the
President and the Governor to modify the provisions of the IX in their application to Union Territories and
Scheduled areas, respectively.
(P) The existing laws relating to Panchyats which are inconsistent with the provision of the Act shall continue to
be inforced until it is amended or repealed within one year. The existing Panchayats shall continue till the
expiration of their terms unless they are dissolved by the competent authority.
(Q)Courts are not to interface in the electoral matters such as delimitation of constituencies, allotment of seats and
election to any Panchayat. Petition challenging the election of any Panchayat can be presented to Besides these
mandatory provisions the State Legislature has been empowered to have legislation in respect of a wide range of
subjects, including on such matters as functions of the Panchayats and so on.
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74TH AMENDMENT ACT 1992 IN INDIA.

The constitution 74th Amendment Act 1992, relating to Municipalities (Urban local Government) was passed by
the parliament in 1992. It received the assent of the president of India on 20th April 1993. The Act seeks to provide
a common framework for the structure and mandate of urban local bodies to enable them to function as effective
democratic units of local Self Government.
Government of India notified 1st June 1993 as the date from which the 74th Amendment Act came into force. The
Act provided for a period of one year from the date of its commencement, within which the then existing
municipal laws (which were in force at that time In states/union territories) were required to be
changed/amended/modified in order to bring them in conformity with the provisions of the constitution (74th
Amendment) Act—1992.
THE SALIENT FEATURES OF THE CONSTITUTION (74TH AMENDMENT) ACT, 1992:
(a) Constitution of Municipalities.
(b) Composition of Municipalities.
(c) Constitution of wards committees.
(d) Reservation of seats.
(e) Fixed duration of Municipalities.
(f) Power, Authority and responsibilities of Municipalities.
(g) Appointment of State Election Commission.
(h) Appointment of State Finance Commission.
(i) Constitution of Metropolitan and District Planning Committees.
Action has been taken by the State/Union Territory Governments to set up State Finance Commission/State
Election Commissions. All states set up their Finance Commissions. Most of the State Finance Commissions
submitted their report to the concerned State Government. The concerned states accepted nearly all the
recommendations made by their respective finance commissions. All State Governments/Union Territories set up
their Election Commissions for conducting elections to urban Local Bodies.
The main provisions introduced by the above Act were as follows:-
Constitution of Municipalities
The Act provides for the constitution of 3 types of municipalities, depending upon the size and area in
every state.
1. Nagar Panchayat (for an area in transition from rural to the urban area);
2. Municipal Council for the smaller urban area; and
3. Municipal Corporation for a larger urban area.
Composition of Municipalities
• The seats shall be filled by direct elections. For this purpose, each municipal area shall be divided
into territorial constituencies to be known as wards.
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• The state legislature may provide the manner of election of the chairperson of a municipality.
• It may also provide for the representation of the following persons in a municipality.
• Persons having special knowledge and experience in municipal administration without the
right to vote in the meetings of the municipality.
• The members of the Lok Sabha and the state legislative assembly representing
constituencies that comprise wholly or partly the municipal area.
• The members of the Rajya Sabha and the State Legislative Council registered as electors
within the municipal area.
• The chairpersons of committees (other than ward committees).
Constitution of Wards Committees
• This provides for the constitution of Ward Committees in all municipalities with a population of 3
lakhs or more.
Reservation of seats
• The Act provides for the reservation of seats for the scheduled castes and the scheduled tribes in
every municipality in the proportion of their population to the total population in the municipal
area.
• Further, it provides for the reservation of not less than one-third of the total number of seats for
women (including the number of seats reserved for women belonging to the SCs and the STs).
• The state legislature may provide for the manner of reservation of offices of chairpersons in the
municipalities for SCs, STs and women.
• It may also make any provision for the reservation of seats in any Municipality or offices of
chairpersons in municipalities in favour of backward classes.
Duration of Municipalities
• The municipality has a fixed term of 5 years from the date appointed for its first meeting.
• Elections to constitute a municipality are required to be completed before the expiration of the
duration of the municipality.
• If the municipality is dissolved before the expiry of 5 years, the elections for constituting a new
municipality are required to be completed within a period of 6 months from the date of its
dissolution.
Powers and Functions of the Municipalities
• All municipalities would be empowered with such powers and responsibilities as may be
necessary to enable them to function as effective institutions of self-government.
• The State Legislature may, by law, specify what powers and responsibilities would be given to the
municipalities in respect of preparation of plans for economic development and social justice and
for implementation of schemes as may be entrusted to them.
• An illustrative list of functions that may be entrusted to the municipalities has been incorporated
as the Twelfth Schedule of the Constitution.
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Finances of Municipalities
It has been left to the Legislature of a State to specify by law matters relating to imposition of taxes. Such
law may specify:
• Taxes, duties, fees, etc. which could be levied and collected by the Municipalities, as per the
procedure to be laid down in the State law.
• Taxes, duties, fees, etc. which would be levied and collected by the State Government and a share
passed on to the Municipalities.
• Grant-in-aid that would be given to the Municipalities from the State.
• Constitution of funds for crediting and withdrawal of money by the Municipality.
Finance Commission
The Finance Commission, constituted under Article 243-I to review the financial positions of Panchayati
Raj Institutions, shall also review the financial position of the municipalities and will make
recommendations to the Governor.
The recommendations of the Finance Commission will cover the following:
• The distribution between the State Government and Municipalities of the net proceeds of the
taxes, duties, tolls and fees leviable by the State.
• Allocation of share of such proceeds between the Municipalities at all levels in the State.
• Determination of taxes, duties, tolls and fees to be assigned or appropriated by the
Municipalities.
• Grants-in-aid to Municipalities from the Consolidated Fund of the State.
• Measures needed to improve the financial position of the Municipalities.
The governor shall place the recommendations of the commission along with the action taken report
before the state legislature.
Elections to Municipalities
The superintendence, direction and control of the preparation of the electoral rolls for, and the conduct
of, all elections to the panchayats and municipalities shall be vested in the State Election Commissions.
Audit and Accounts
The maintenance of the accounts of the municipalities and other audits shall be done in accordance with
the provisions in the State law. The State Legislatures will be free to make appropriate provisions in this
regard, depending upon the local needs and institutional framework available for this purpose.
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Committee for District Planning
• Every state shall constitute, at the district level, a district planning committee to consolidate the
plans prepared by panchayats and municipalities in the district, and to prepare a draft
development plan for the district as a whole.
• Planning and allocation of resources at the district level for the Panchayati Raj institutions are
normally to be done by the Zila Parishad.
Metropolitan Planning Committees
Every metropolitan area shall have a metropolitan planning committee to prepare a draft development
plan.
Continuance of Existing Laws and Municipalities
• All the state laws relating to municipalities shall continue to be in force until the expiry of one
year from the commencement of this act.
• In other words, the states have to adopt the new system of municipalities based on this act within
the maximum period of one year from 1 June 1993, which is the date of commencement of this
act.
• However, all municipalities existing immediately before the commencement of this act shall
continue till the expiry of their term, unless dissolved by the state legislature sooner.
Bar to Interference by Courts in Electoral Matters
• The act bars the interference by courts in the electoral matters of municipalities.
• It declares that the validity of any law relating to the delimitation of constituencies or the
allotment of seats to such constituencies cannot be questioned in any court.
• It further lays down that no election to any municipality is to be questioned except by an election
petition presented to such authority and in such a manner as provided by the state legislature.
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UNIT III
RURAL LOCAL SELF GOVERNMENT
• Organization and Importance of Rural local Self Government.

• Powers and functions of rural local Self Government
• Financial administration of Panchayat
• Gram Nyayalaya Act, 2008.
• Madhya Pradesh Panchayati Raj Act, 1994.
• Madhya Pradesh Panchayati Raj (General) Rules, 1997
Organization and Importance of Rural local Self Government

The Local Self Government is the body that provides services to the citizens of India to address their
concerns at the grassroots level. To look after the administration of a town, village, or city, the Local Self
Government was created. If you look at the governing structure of India, then you will find out that it is
made up of three tiers – central government, state government, and Local Government in India.
In this article, we will discuss the history, objectives, and functions of Local Self Government. In
addition, we have also covered how the local government system is structured. The article will help you
understand the meaning of Local Government and how it works at the grassroots level.
Local self-government involves the devolution of governing authority to those at the bottom of the
political food order. Here, participation at the grass-root level of society is included in the administration
process.
• In rural areas of India, block samiti, Panchayats, and Zila Parishad are established to carry out
their functions as local self-government bodies. However, in urban areas, bodies like
municipalities and corporations are established for local self-governance.
• Local Self Government in India has been a topic of debate even before independence. Where few,
like Gandhi, wanted village republics and the principle of subsidiarity, Nehru and Ambedkar
favored a strong center.
• Panchayati Raj System is a significant landmark in the evolution of grass root democratic
institutions like Panchayats and Municipalities in the country.
Rural Development
The term 'development’ refers to "the process of (1) a general improvement in the levels of living,
together with, (2) decreasing inequalities of income distribution, and (3) the capacity to sustain
continuous improvements overtime. A great deal of literature is available on rural development, and
strategy for rural development. But the basic theme of all such studies pertains to the question of
development of India's rural community. The magnitude of the task of rural development with a view to
alleviating poverty, eliminating unemployment, reducing inequalities and increasing productivity as well
as consumption and literacy level, etc. demands organisational and institutional efforts on the widest
possible scale. A location specific planning and intensive utilisation of local resources are required for a
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more efficient implementation of development programmes in rural areas. In all these respects
Panchayati Raj institutions have a significant role to play.
The three primary goals of rural development are raising agricultural and rural productivity, raising
community solidarity and institutionalization of equality
Rural development primarily implies generalised increases in (1) rural labour productivity resulting in
growing income, and (2) rural employment opportunities sufficient to absorb large number of new
entrants into the rural local labour force. Agricultural development is required for the simple reason that
in most developing countries practically all the rural population depends on agriculture for employment,
education, health and nutrition, consumption including food, housing, and such services as water supply,
electricity, transportation, entertainment, police and fire protection, and so forth”. Rural development is a
strategy, designed to improve the economic and social life of people in villages. It calls for the extension
of the benefits of development to the poorest among those who seek livelihood in the rural areas: the
small and marginal farmers, tenants and the landless. It also involves optimum utilization of the natural
and human resources of a given area for the enrichment of the quality of life of its population. Rural
development constitutes a basic campaign for faster economic development.
The concept of rural development encompasses wider government initiative and rural development
spectrum today. It is a process of modernization and mobilization of rural societies and its transition from
traditional isolation to integration with national economy for faster economic development and welfare
of common masses. Viewed thus, the objectives of rural development consist of (a) improved
productivity, increased employment and higher income for weaker sections as well as the minimum
acceptable levels of food, shelter, education, health, etc., (b) a decreasing inequality in the distribution of
rural income and in ruralurban imbalances in income and economic opportunities, and (c) the capacity of
rural sector to sustain and accelerate the pace of improvements overtime. Thus, the main aim of rural
development is to break the vicious circle of poverty through economically better and improved
production, reasonable distribution and better living standards and balanced development among the
various sections of rural population.
It is not to be defined merely in terms of economic outputs, or indicators like increase in agricultural
income as social indicators of development cannot be ignored. Real rural development should always
reflect improvement in the standards of living of the poor. Indian experience and experiment of rural
development reveals the utilization of a number of changing strategies. Realizing the utmost need for
extension and development services in rural areas, in the postindependence period, the government of
India has initiated a number of programmes so as to solve the chronic problems of the villages.
Guy Hunter (1977) has rightly remarked that there may not be any other developing country in the world
which over the past 33 years has invented and, put into practice various measures in the field of rural
development plans which spread over different fields like agriculture, industry, trade, commerce,
education both general and technical, social welfare, transport, communications, etc.
The basic objective behind all programmes implemented by the government of India was an integrated
development of the farmers, the agricultural labourers and the rural artisans and to improve their standard
of living by means of reducing poverty, raising productivity and increasing employment opportunities.
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Evolution of Local Self Government in India
India's local self government has a rich history. During the ancient and medieval periods, village
panchayats played a key role in local administration. The British era saw a shift, with the introduction of
municipalities and district boards. However, true decentralization was realized post-independence.
The 73rd and 74th Amendments to the Constitution of India in 1992 marked a significant shift in Indian
local self government. These amendments established panchayats in rural areas and municipalities in
urban areas as units of local government, ensuring their constitutional status.
Here's a timeline showing key milestones in the evolution of local self government in India:
Year Event
Ancient & Medieval Era Role of village panchayats
British Era Introduction of municipalities and district boards
Post-Independence Gradual decentralization
1992 73rd and 74th Amendments to the Constitution
The Significance of Local Bodies can be better understood by Analyzing its Functions
1. Economic Development And Social Justice

First and foremost, the concept of self-governance or decentralization has been an important principle
of democracy. The idea behind decentralization was the wide scope of economic development and
social justice from ground zero. The local institutions, people of the region, and private sector
cooperatively work towards improving the local economy
2. Better Solutions To Multidimensional Problems
It is a well-known fact that people of a region are more aware of the problems faced by them. These
people, therefore, may find better solutions to break away from the socio-economic, cultural, and
political problems they face. Judicious and efficient use of available resources is the first step towards
solving the existing problems.
3. Increasing The Prospects of Community Development

A high level of community participation improves the overall community development of different
regions. Community development is a prerequisite for removing obstacles in the implementation of
policies and renewing democracy.
4. Better Civic Amenities
A sort of cooperation between the locals and the local government helps in providing better services to
the citizens. National development depends upon the development fragmented at local levels. Thus, an
improvement in the civic amenities available to people at the local level results in the overall
development of a nation.
5. More Participatory
Local bodies help citizens to directly participate in democratic decision-making by allowing the
constituent representatives elected at the local level. It encourages the idea of a strong democratic
society consisting of vigilant and vibrant citizens. It is important to note that different marginalized
groups should be given equal opportunities to express their political opinions or dissent.
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6. Shaping Future Leaders

Local self-governance serves as a training ground for shaping future leaders. It provides a practical
experience for aspiring politicians on how decision-making takes place in a democracy.
7. Women Politicians And Leaders
Local governments have the potential to promote women participants as political actors and candidates
through the reservation of seats. Some proportion of seats is also reserved for Scheduled Castes and
Scheduled Tribes. This way, the third tier of our system can safeguard the interest of minorities.
8. More Transparent Working of the Centre
Local governments are often considered as an intermediary between different communities and the
central government. The institution serves as a link between the two ends. Ordinary citizens are made
aware of the policies and programs of the government. The Union government, on the other hand, are
made aware of the demands of citizens
9. Better Infrastructural Facilities
Local governments are not only a subsidiary to the central government, but also provide a space to
articulate the political demands on the society. Existing at grassroot level, it is also responsible for
looking after the day-to-day needs of people such as adequate water supply, sanitation, and
electricity.
10. Greater Accountability
Delayed responsiveness and poor accountability on the part of state governments often make the local
people feel politically alienated. Devolution of power to regional and district levels encourages
inclusiveness and greater accountability to the government authorities.
11. Safeguarding Individual Identity
The local bodies are empowered to preserve the individual as well as the cultural identity of various
marginalized groups. It promotes the principle on which lies the foundation of democracy, that is,
pluralism.
As subjects concerning an individual’s political aspirations and quality of life are safeguarded by the
local government, the central government can divert its focus on key issues such as national defense
and security. Apart from the political communication that exists between local governments and the
people they administer, the small local units are also responsible for tax collection, administration of
justice, and management of legal affairs.
The idea behind extending administrative powers at the local level was to ensure effective
administrative setup and working of the government machinery. The constitution obligations
such as
• conducting regular elections to local bodies
• Establishment of State Finance Commission to regulate the financial health affairs of local
bodies under article 243(Y)
• channelizing shares of state funds to finance local level governments
• reservation of seats for lower castes as well as women indicate that the Union government
under article 243D has an intention to strengthen the working of local level institutions
Local bodies are not necessarily confined to rural areas. The depth of participation in the local
government is largely contingent on how the citizens take part in the process of decision-making. An
increase in the amount of funds received may even make these institutions more impactful. The joint
working of local and state governments may result in better execution of policies and programmes. For
instance, state governments can encourage local bodies to create political awareness of the policies
benefiting the citizens. The lack of coordination among the various authorities can be an obstruction in
the implementation of policies and programmes. The fundamental purpose of establishing grassroot
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level institutions is to reduce the concentration of excessive power at the hands of the Centre,
thereby, operationalizing democracy.
Functions of Local Self-Government

The primary objective of these local bodies is to promote local economic development, social justice, and
infrastructure development. The various functions of the local government include:
• To build basic infrastructure like transport, roads, power lines, schools, hospitals, etc
• To construct and maintain community assets
• To promote the development of agriculture by proper management of irrigation and water

schemes, land improvement, and soil conservation
• To promote education
• To enhance health facilities and promote awareness about health
• To promote small-scale industries of the village
• To develop social forestry, dairy, poultry, and animal husbandry
The local government bodies are also responsible for implementing a wide variety of schemes that the
state government comes up with to develop rural and urban areas.
In order to help local bodies understand how best to govern, the India Institute of Local Self Government
was established in 1926. The institute acts as the perfect guide to all the urban local bodies and spreads
awareness about urban education, capacity building, and governance. All India Institute of Local Self
Government helps the local government bodies upgrade their skills and knowledge for carrying out
effective administration. They also ensure the proper implementation of various development
programmes.
Legislative Powers
As already discussed, one of the key roles of local self governments is the creation and implementation
of local laws. These legislative powers allow them to manage community affairs efficiently. From traffic
regulations to zoning laws, the legislative powers of local self governments impact our lives daily.
Executive Powers
In terms of executive powers, local self governments are responsible for implementing and enforcing the
laws and policies they create. The executive branch of a local self government might oversee various
departments, such as public health, education, transportation, and public works, ensuring these services
run smoothly for the community.
Financial Powers
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Local self governments also possess financial powers that allow them to manage their resources. They
can levy local taxes, fees, and charges, which contribute to their revenues. With this financial autonomy,
they can decide how to allocate resources to various sectors based on local needs and priorities.
Powers of Local Self Government in India
In the context of India, the powers of local self government are extensive. As per the 73rd and 74th
Constitutional Amendments, panchayats and municipalities have been entrusted with the power and
authority to function as institutions of self-government. The amendments also outlined the 11th and 12th
schedules listing 29 and 18 functions, respectively, that the panchayats and municipalities are expected to
perform.
These range from agriculture, health, and education to urban poverty alleviation and promotion of
cultural activities, effectively covering a wide spectrum of areas directly related to community welfare.
However, the devolution of powers to the local self governments in India is a state subject, and the extent
of actual power varies across different states.
Functions of Local Self Government
The functions of local self government can be broadly classified into the following categories:
1. Legislative Functions: Local self-governments create local laws, regulations, and policies that
align with the needs and aspirations of their communities.
2. Executive Functions: They are responsible for executing and implementing the laws and policies
created at the local level.
3. Administrative Functions: Local self governments manage administrative tasks such as staff
management, public utility services, and public health.
4. Financial Functions: They manage local finances, including budget preparation, taxation, and
expenditures.
5. Judicial Functions: In some cases, local self governments may also handle minor judicial cases.
Advantages of Local Self Government
The concept of local self government, despite varying in form and function across jurisdictions, brings a
host of benefits. These advantages are vital for the development of democratic societies and fostering
grassroots participation.
Enhances Democracy
Local self governments allow for the active participation of citizens in the governance process, which
leads to enhanced democracy. By voting for local representatives or participating directly in decision-
making, citizens play an active role in shaping their communities. This participation not only reinforces
democratic values but also promotes a sense of civic responsibility.
Promotes Efficiency
Being closer to the people, local self governments are more adept at understanding local needs,
problems, and aspirations. This intimate knowledge of the community leads to more efficient and
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effective governance. Policies and programs can be tailored to the specific needs of the community,
ensuring a better fit and greater chances of success.
Fosters Development
With their power to manage local resources and initiate development projects, local self governments are
well-positioned to drive local socio-economic development. From infrastructure development to
promoting local industries and welfare schemes, local self governments play a key role in fostering
holistic community development.
Ensures Accountability
Given their proximity to the people, local self governments are more directly accountable to the public.
This proximity fosters transparency and makes it easier for citizens to hold their representatives
accountable, ensuring a more responsible and responsive governance system.
Advantages of Local Self Government in India
In the context of India, the benefits of local self government are manifold. By bringing governance closer
to the masses, it ensures greater participation, efficiency, and accountability. It also plays a pivotal role in
the decentralization of power, thereby bolstering the democratic fabric of the nation. Furthermore, local
self governments in India are instrumental in empowering marginalized groups, including women and
scheduled castes and tribes, through reservation policies.
THE GRAM NYAYALAYAS ACT, 2008

THE GRAM NYAYALAYAS ACT, 2008 ACT NO. 4 OF 2009
[7th January, 2009.]
An Act to provide for the establishment of Gram Nyayalayas at the grass roots level for the purpose of
providing access to justice to the citizens at their doorsteps and to ensure that opportunities for securing
justice are not denied to any citizen by reason of social, economic or other disabilities and for matters
connected therewith or incidental thereto.
BE it enacted by Parliament in the Fifty-ninth Year of the Republic of India asfollows:—

CHAPTER I
PRELIMINARY
1. Short title, extent and commencement. —
(1) This Act may be called the Gram Nyayalayas Act, 2008.
(2) It extends to the whole of India 1***, the State of Nagaland, the State ofArunachal
Pradesh, the State of Sikkim and to the tribal areas.
Explanation.—In this sub-section, the expression "tribal areas" means
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the areas specified in Parts I, II, IIA and III of the Table below paragraph
20 of the Sixth Schedule to the Constitution within the Stateof Assam, the
State of Meghalaya, the State of Tripura and the State of Mizoram,
respectively.
(3) It shall come into force on such date2 as the Central Government may, by
notification published in the Official Gazette, appoint; and different dates may
be appointed for different States.
2. Definitions.— In this Act, unless the context otherwise requires,—
(a) "Gram Nyayalaya" means a court established under sub-section (1) of section 3;
(b) "Gram Panchayat" means an institution (by whatever name called) of self-
government constituted, at the village level, under article 243B of theConstitution, for
the rural areas;
(c) "High Court" means,—
(i) in relation to any State, the High Court for that State;
(ii) in relation to a Union territory to which the jurisdiction of the High
Court for a State has been extended by law, that High Court;
(iii) in relation to any other Union territory, the highest Court of criminal
appeal for that territory other than the Supreme Court of India;
(d) "notification" means a notification published in the Official Gazette andthe
expression "notified" shall be construed accordingly;
(e) "Nyayadhikari" means the presiding officer of a Gram
Nyayalayaappointed under section 5;
(f) "Panchayat at intermediate level" means an institution (by whatever name
called) of self- government constituted, at the intermediate level, under article 243B of
the Constitution, for the rural areas in accordance with the provisionsof Part IX of the
Constitution;
(g) "prescribed" means prescribed by rules made under this Act;
(h) "Schedule" means the Schedule appended to this Act;
(i) "State Government", in relation to a Union territory, means the administrator

thereof appointed under article 239 of the Constitution;
(j) words and expressions used herein and not defined but defined in theCode
of Civil Procedure, 1908 (5 of 1908) or the Code of Criminal Procedure, 1973 (2
of 1974) shall have the meanings respectively assigned to them in those Codes.
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CHAPTER II
GRAM NYAYALAYA
1. Establishment of Gram Nyayalayas.— (1) For the purpose of exercising the jurisdiction
and powers conferred on a Gram Nyayalaya by this Act, the State Government, after
consultation with the High Court, may, by notification, establishone or more Gram Nyayalayas
for every Panchayat at intermediate level or a groupof contiguous Panchayats at intermediate
level in a district or where there is no Panchayat at intermediate level in any State, for a group
of contiguous Gram Panchayats.
(2) The State Government shall, after consultation with the High Court, specify, by
notification, the local limits of the area to which the jurisdiction of a Gram Nyayalaya shall
extend and may, at any time, increase, reduce or alter such limits.
(3) The Gram Nyayalayas established under sub-section (1) shall be in addition to the
courts established under any other law for the time being in force.
2. Headquarters of Gram Nyayalaya.— The headquarters of every Gram Nyayalaya shall be
located at the headquarters of the intermediate Panchayat in which the Gram Nyayalaya is
established or such other place as may be notified bythe State Government.
3. Appointment of Nyayadhikari.— The State Government shall, in consultation with the High
Court, appoint a Nyayadhikari for every Gram Nyayalaya.
4. Qualifications for appointment of Nyayadhikari.— (1) A person shall not be qualified to
be appointed as a Nyayadhikari unless he is eligible to be appointed as a Judicial Magistrate
of the first class.
(2) While appointing a Nyayadhikari, representation shall be given to the
members of the Scheduled Castes, the Scheduled Tribes, women and such
other classes or communities as may be specified by notification, by the
State Government from time to time.
5. Salary, allowances and other terms and conditions of service of Nyayadhikari.— The
salary and other allowances payable to, and the other terms and conditions of service of, a
Nyayadhikari shall be such as may be applicable to the Judicial Magistrate of the first class.
6. Nyayadhikari not to preside over proceedings in which he is interested.—
The Nyayadhikari shall not preside over the proceedings of a Gram Nyayalaya in which
he has any interest or is otherwise involved in the subject matter of the dispute or is related
to any party to such proceedings and in such a case, the Nyayadhikari shall refer the matter
to the District Court or the Court of Session, as the case may be, for transferring it to any
other Nyayadhikari.
7. Nyayadhikari to hold mobile courts and conduct proceedings in villages.— (1) The
Nyayadhikari shall periodically visit the villages falling under his jurisdiction and conduct
trial or proceedings at any place which he considers is in close proximity to the place where
the parties ordinarily reside or where the whole or part of the cause of action had arisen:
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Provided that where the Gram Nyayalaya decides to hold mobile court
outside its headquarters, it shall give wide publicity as to the date and place
where it proposes to hold mobile court.
(2) The State Government shall extend all facilities to the Gram Nyayalaya
including the provision of vehicles for holding mobile court by the
Nyayadhikari while conducting trial or proceedings outside its
headquarters.
8. Seal of Gram Nyayalaya.— Every Gram Nyayalaya established under this Act shall use a
seal of the court in such form and dimensions as may be prescribed by the High Court with
the approval of the State Government.
CHAPTER III
JURISDICTION, POWERS AND AUTHORITY OF GRAM NYAYALAYA
9. Jurisdiction of Gram Nyayalaya.— Notwithstanding anything containedin the

Code of Criminal Procedure, 1973 (2 of 1974) or the Code of Civil Procedure, 1908
(5 of 1908) or any other law for the time being in force, the Gram Nyayalaya shall
exercise both civil and criminal jurisdiction in the manner and to the extent provided
under this Act.
10. Criminal jurisdiction.— (1) Notwithstanding anything contained in the Code of
Criminal Procedure, 1973 (2 of 1974) or any other law for the time being in force,
the Gram Nyayalaya may take cognizance of an offence on a complaint or on a
police report and shall—
(a) try all offences specified in Part I of the First Schedule; and
(b) try all offences and grant relief, if any, specified under the enactments included
in Part II of that Schedule.
(2) Without prejudice to the provisions of sub-section (1), the Gram
Nyayalaya shall also try all such offences or grant such relief underthe
State Acts which may be notified by the State Government under sub-section
(3) of section 14.
11. Civil jurisdiction.— (1) Notwithstanding anything contained in the Code ofCivil
Procedure, 1908 (5 of 1908) or any other law for the time being in force, and subject
to sub-section (2), the Gram Nyayalaya shall have jurisdiction to—
(a) try all suits or proceedings of a civil nature falling under the classes of disputes
specified in Part I of the Second Schedule;
(b) try all classes of claims and disputes which may be notified by the Central
Government under sub-section (1) of section 14 and by the State Government under
sub-section (3) of the said section.
(2) The pecuniary limits of the Gram Nyayalaya shall be such as may be
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specified by the High Court, in consultation with the State Government, by

notification, from time to time.
12. Power to amend Schedules.— (1) Where the Central Government is satisfied that
it is necessary or expedient so to do, it may, by notification, add to or omit any item
in Part I or Part II of the First Schedule or Part II of the Second Schedule, as the
case may be, and it shall be deemed to have been amended accordingly.
(2) Every notification issued under sub-section (1) shall be laid before eachHouse of
Parliament.
(3) If the State Government is satisfied that it is necessary or expedient so to do,it may,
in consultation with the High Court, by notification, add to any item in Part III of the First
Schedule or Part III of the Second Schedule or omit from it any itemin respect of which
the State Legislature is competent to make laws and thereupon the First Schedule or the
Second Schedule, as the case may be, shall be deemed to have been amended accordingly.
(4) Every notification issued under sub-section (3) shall be laid before the State
Legislature.
13. Limitation.— (1) The provisions of the Limitation Act, 1963 (36 of 1963) shall be
applicable to the suits triable by the Gram Nyayalaya.
(2) The provisions of Chapter XXXVI of the Code of Criminal Procedure,
1973 (2 of 1974) shall be applicable in respect of theoffences triable by the
Gram Nyayalaya.
14. Transfer of pending proceedings.— (1) The District Court or the Court of Session, as the
case may be, with effect from such date as may be notified by the High Court, may transfer
all the civil or criminal cases, pending before the courts subordinate to it, to the Gram
Nyayalaya competent to try or dispose of suchcases.
(2) The Gram Nyayalaya may, in its discretion, either retry the casesor
proceed from the stage at which it was transferred to it.
15. Duties of ministerial officers.— (1) The State Government shall determine the
nature and categories of the officers and other employees required to assist a Gram
Nyayalaya in the discharge of its functions and provide the Gram Nyayalaya with
such officers and other employees as it may think fit.
(2) The salaries and allowances payable to, and other conditions of service of,the
officers and other employees of the Gram Nyayalaya shall be such as may be prescribed
by the State Government.
(3) The officers and other employees of a Gram Nyayalaya shall perform such duties
as may, from time to time, be assigned to them by the Nyayadhikari.
CHAPTER IV
PROCEDURE INCRIMINAL CASES
16. Overriding effect of Act in criminal trial.— The provisions of this Act shall have
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effect notwithstanding anything contained in the Code of CriminalProcedure, 1973

(2 of 1974) or any other law, but save as expressly provided in this Act, the
provisions of the Code shall, in so far as they are not inconsistent with the provisions
of this Act, apply to the proceedings before a Gram Nyayalaya; and for the purpose
of the said provisions of the Code, the Gram Nyayalaya shall be deemed to be a
Court of Judicial Magistrate of the first class.
17. Gram Nyayalaya to follow summary trial procedure.— (1) Notwithstanding
anything contained in sub-section (1) of section 260 or sub- section (2) of section
262 of the Code of Criminal Procedure, 1973 (2 of 1974) the Gram Nyayalaya shall
try the offences in a summary way in accordance with the procedure specified in
Chapter XXI of the said Code and the provisions of sub- section (1) of section 262
and sections 263 to 265 of the said Code, shall, so far as may be, apply to such trial.
(2) When, in the course of a summary trial, it appears to the
Nyayadhikari that the nature of the case is such that it is undesirable totry it
summarily, the Nyayadhikari shall recall any witness who may have been
examined and proceed to re-hear the case in the manner provided under the
Code of Criminal Procedure, 1973 (2 of 1974).
18. Plea bargaining before Gram Nyayalaya.— A person accused of an offence may
file an application for plea bargaining in Gram Nyayalaya in which such offence is
pending trial and the Gram Nyayalaya shall dispose of the case in accordance with
the provisions of Chapter XXIA of the Code of Criminal Procedure, 1973 (2 of
1974).
19. Conduct of cases in Gram Nyayalaya and legal aid to parties.— (1) For the
purpose of conducting criminal cases in the Gram Nyayalaya on behalf of the
Government, the provisions of section 25 of the Code of Criminal Procedure, 1973
(2 of 1974) shall apply.
(2) Notwithstanding anything contained in sub-section (1), in a criminal proceeding
before the Gram Nyayalaya, the complainant may engage an advocate of his choice at his
expense to present the case of prosecution with the leave of the Gram Nyayalaya.
(3) The State Legal Services Authority, constituted under section 6 of the Legal
Services Authorities Act, 1987 (39 of 1987) shall prepare a panel of advocates and assign
at least two of them to be attached to each Gram Nyayalaya so that their services may be
provided by the Gram Nyayalaya to the accused unable to engage an advocate.
20. Pronouncement of judgment.— (1) The judgment in every trial shall be
pronounced by the Nyayadhikari in open court immediately after the termination of
the trial or at any subsequent time, not exceeding fifteen days, of which notice shall
be given to the parties.
(2) The Gram Nyayalaya shall deliver a copy of its judgment immediately to
both the parties free of cost.
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CHAPTER V
PROCEDURE INCIVIL CASES
21. Overriding effect of Act in civil proceedings.— The provisions of this Act shall have
effect notwithstanding anything contained in the Code of Civil Procedure, 1908 (5 of 1908)
or any other law, but save as expressly provided in this Act, the provisions of the Code
shall, in so faras they are not inconsistent with the provisions of this Act, apply to the
proceedings before a Gram Nyayalaya; and for the purpose of the said provisions of the
Code,the Gram Nyayalaya shall be deemed to be a civil court.
22. Special procedure in civil disputes.— (1) Notwithstanding anything contained in any
other law for the time being in force, every suit, claim or dispute under this Act shall be
instituted by making an application to the Gram Nyayalaya in such form, in such manner,
and accompanied by such fee, not exceeding rupees one hundred, as may be prescribed by
the High Court, from time to time, in consultation with the State Government.
(2) Where a suit, claim or dispute has been duly instituted, a summons shall be issued
by the Gram Nyayalaya, accompanied by a copy of the application made under sub-section
(1), to the opposite party to appear and answer the claim by such date as may be specified
therein and the same shall be served in such manner as may be prescribed by the High
Court.
(3) After the opposite party files his written statement, the Gram Nyayalayashall
fix a date for hearing and inform all the parties to be present in person or through their
advocates.
(4) On the date fixed for hearing, the Gram Nyayalaya shall hear both the partiesin
regard to their respective contentions and where the dispute does not require recording of
any evidence, pronounce the judgment; and in case where it requires recording of evidence,
the Gram Nyayalaya shall proceed further.
(a) The Gram Nyayalaya shall also have the power—to dismiss any case for default
or to proceed ex parte; and
(b) to set aside any such order of dismissal for default or any order passed by it for
hearing the case ex parte.
(5) In regard to any incidental matter that may arise during the course of the
proceedings, the Gram Nyayalaya shall adopt such procedure as it may deem just and
reasonable in the interest of justice.
(6) The proceedings shall, as far as practicable, be consistent with the interests of
justice and the hearing shall be continued on a day-to-day basis until its conclusion, unless
the Gram Nyayalaya finds the adjournment of the hearing beyond the following day to be
necessary for reasons to be recorded in writing.
(7) The Gram Nyayalaya shall dispose of the application made under sub-section
(1) within a period of six months from the date of its institution.
(8) The judgment in every suit, claim or dispute shall be pronounced in open court by
the Gram Nyayalaya immediately after conclusion of hearing or at any subsequent time,
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not exceeding fifteen days, of which notice shall be given to the parties.
(9) The judgment shall contain a concise statement of the case, the point for
determination, the decision thereon and the reasons for such decision.
(10) A copy of the judgment shall be delivered free of cost to both the parties within
three days from the date of pronouncement of the judgment.
23. Execution of decrees and orders of Gram Nyayalaya.— (1) Notwithstanding
anything contained in the Code of Civil Procedure, 1908 (5 of 1908) the judgment passed
by a Gram Nyayalaya shall be deemed to be a decree and it shall be executed by a Gram
Nyayalaya as a decree of the civil court and for this purpose, the Gram Nyayalaya shall
have all the powers of a civil court.
(2) The Gram Nyayalaya shall not be bound by the procedure in respect of execution
of a decree as provided in the Code of Civil Procedure, 1908 (5 of 1908) and it shall be
guided by the principles of natural justice.
(3) A decree may be executed either by the Gram Nyayalaya which passed it or by the
other Gram Nyayalaya to which it is sent for execution.
24. Duty of Gram Nyayalaya to make efforts for conciliation and settlement of civil
disputes.—
(1) In every suit or proceeding, endeavour shall be made by the Gram Nyayalaya in the
first instance, where it is possible to do so, consistent with the nature and circumstances
of the case, to assist, persuade and conciliate the parties in arriving at a settlement in
respect of the subject matter of the suit, claim or
dispute and for this purpose, a Gram Nyayalaya shall follow such procedure as may be
prescribed by the High Court.
(2) Where in any suit or proceeding, it appears to the Gram Nyayalaya at any stage
that there is a reasonable possibility of a settlement between the parties, the Gram
Nyayalaya may adjourn the proceeding for such period as it thinks fit to enable them to
make attempts to effect such a settlement.
(3) Where any proceeding is adjourned under sub-section (2), the Gram Nyayalaya
may, in its discretion, refer the matter to one or more Conciliators for effecting a settlement
between the parties.
(4) The power conferred by sub-section (2) shall be in addition to, and not in derogation
of, any other power of the Gram Nyayalaya to adjourn the proceeding.
25. Appointment of Conciliators.— (1) For the purposes of section 26, the District Court
shall, in consultation with the District Magistrate, prepare a panel consisting of the
names of social workers at the village level having integrity for appointment as
Conciliators who possess such qualifications and experience asmay be prescribed by
the High Court.
(2) The sitting fee and other allowances payable to, and the other
terms and conditions for engagement of, Conciliators shall be such as may
be prescribed by the State Government.
26. Transfer of civil disputes.— The District Court having jurisdiction may, on an
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application made by any party or when there is considerable pendency of cases in

one Gram Nyayalaya or whenever it considers necessary in the interests of justice,
transfer any case pending before a Gram Nyayalaya to any other Gram Nyayalaya
within its jurisdiction
.
CHAPTER VI
PROCEDURE GENERALLY
27. Proceedings to be in the official language of the State.— The proceedings before
the Gram Nyayalaya and its judgment shall, as far as practicable, be in one of the
official languages of the State other than the English language.
28. Application of Indian Evidence Act, 1872.— A Gram Nyayalaya may receive as
evidence any report, statement, document, information or matterthat may, in its
opinion, assist it to deal effectually with a dispute, whether or not the same would
be otherwise relevant or admissible under the Indian Evidence Act,1872 (1 of 1872).
29. Record of oral evidence.— In suits or proceedings before a Gram Nyayalaya, it
shall not be necessary to record the evidence of witnesses at length, but the
Nyayadhikari, as the examination of each witness proceeds, shall, record or cause
to be recorded, a memorandum of substance of what the witness deposes, and such
memorandum shall be signed by the witness and the Nyayadhikari and it shall form
part of the record.
30. Evidence of formal character on affidavit.— (1) The evidence of any person
where such evidence is of a formal character, may be given by affidavit andmay,
subject to all just exceptions, be read in evidence in any suit or proceeding before a
Gram Nyayalaya.
(2) The Gram Nyayalaya may, if it thinks fit, and shall, on the application
of any of the parties to the suit or proceeding, summon andexamine any
such person as to the facts contained in his affidavit.
CHAPTER VII
APPEALS
31. Appeal in criminal cases.— (1) Notwithstanding anything contained in the Code
of Criminal Procedure, 1973 (2 of 1974) or any other law, no appeal shall lie from
any judgment, sentence or order of a Gram Nyayalaya except as provided hereunder.
(2) No appeal shall lie where—
(a) an accused person has pleaded guilty and has been convicted on such plea;
(b) the Gram Nyayalaya has passed only a sentence of fine not exceeding one
thousand rupees.
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(3) Subject to sub-section (2), an appeal shall lie from any other judgment, sentence or
order of a Gram Nyayalaya to the Court of Session.
(4) Every appeal under this section shall be preferred within a period of thirty days
from the date of judgment, sentence or order of a Gram Nyayalaya:
Provided that the Court of Session may entertain an appeal after the expiry
of the said period of thirty days if it is satisfied that the appellant had
sufficient cause for not preferring the appeal within the said period.
(5) An appeal preferred under sub-section (3) shall be heard and disposed of bythe
Court of Session within six months from the date of filing of such appeal.
(6) The Court of Session may, pending disposal of the appeal, direct thesuspension
of the sentence or order appealed against.
(7) The decision of the Court of Session under sub-section (5) shall be final andno
appeal or revision shall lie from the decision of the Court of Session:
Provided that nothing in this sub-section shall preclude any person from availing ofthe
judicial remedies available under Articles 32 and 226 of the Constitution
32. Appeal in civil cases.— (1) Notwithstanding anything contained in theCode of
Civil Procedure, 1908 (5 of 1908) or any other law, and subject to sub- section (2),
an appeal shall lie from every judgment or order, not being an interlocutory order,
of a Gram Nyayalaya to the District Court.
(2) No appeal shall lie from any judgment or order passed by the Gram Nyayalaya—
(a) with the consent of the parties;
(b) where the amount or value of the subject matter of a suit, claim or disputedoes
not exceed rupees one thousand;
(c) except on a question of law, where the amount or value of the subject
matter of such suit, claim or dispute does not exceed rupees five thousand.
(3) Every appeal under this section shall be preferred within a period of thirtydays
from the date of the judgment or order of a Gram Nyayalaya:
Provided that the District Court may entertain an appeal after the expiry of the said period
of thirty days if it is satisfied that the appellant had sufficient cause for not preferring the
appeal within the said period.
(4) An appeal preferred under sub-section (1) shall be heard and disposed of by the District
Court within six months from the date of filing of the appeal.
(5) The District Court may, pending disposal of the appeal, stay execution of the
judgment or order appealed against.
(6) The decision of the District Court under sub-section (4) shall be final and no
appeal or revision shall lie from the decision of the District Court:
Provided that nothing in this sub-section shall preclude any person from availing ofthe
judicial remedies available under Articles 32 and 226 of the Constitution
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CHAPTER VII
APPEALS
33. Assistance of police to Gram Nyayalayas.— (1) Every police officer functioning
within the local limits of jurisdiction of a Gram Nyayalaya shall be bound to assist
the Gram Nyayalaya in the exercise of its lawful authority.
(2) Whenever the Gram Nyayalaya, in the discharge of its functions, directs
a revenue officer or police officer or Government servant to provide
assistance to the Gram Nyayalaya, he shall be bound to provide such
assistance.
34. Nyayadhikaris and employees, etc., to be public servants.— The Nyayadhikaris
and the officers and other employees of the Gram Nyayalayas shall be deemed,
when acting or purporting to act in pursuance of any of the provisions of this Act,
to be public servants within the meaning of section 21 of the Indian Penal Code (45
of 1860).
35. Inspection of Gram Nyayalayas.— The High Court may authorise any judicial
officer superior in rank to the Nyayadhikari to inspect the Gram Nyayalayas within
his jurisdiction once in every six months or such other period asthe High Court may
prescribe and issue such instructions, as he considers necessary and submit a report
to the High Court.
36. Power to remove difficulties.— (1) If any difficulty arises in giving effect to the
provisions of this Act, the Central Government may, by order published in the
Official Gazette, make such provisions not inconsistent with the provisions of this
Act, as may appear to it to be necessary or expedient for removing the difficulty:
Provided that no order shall be made under this section after the expiryof a
period of three years from the date of commencement of this Act.
42
(2) Every order made under this section shall be laid, as soon as may beafter
it is made, before each House of Parliament.
37. Power of High Court to make rules.— (1) The High Court may, by notification, make
rules for carrying out the provisions of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such
rules may provide for all or any of the following matters, namely:—
(a) the form and dimensions of the seal of the Gram Nyayalaya under section 10;
(b) the form, the manner and the fee for institution of suit, claim or proceeding
under sub-section
(1) of section 24;
(c) manner of service on opposite party under sub-section (2) of section 24;
(d) procedure for conciliation under sub-section (1) of section 26;
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(e) qualifications and experience of Conciliators under sub-section (1) of section 27;
(f) the period for inspection of Gram Nyayalayas under section 37.
(3) Every notification issued by the High Court shall be published in the Official
Gazette.
38. Power of State Government to make rules.— (1) The State Government may, by
notification, make rules for carrying out the provisions of thisAct.
(2) In particular, and without prejudice to the generality of the foregoing power, such
rules may provide for all or any of the following matters, namely:—
(a) the salaries and allowances payable to, and the other terms and conditionsof
service of, the officers and other employees of the Gram Nyayalayas under sub-section
(2) of section 17;
(b) the sitting fee and other allowances payable to, and the other terms and
conditions for engagement of, Conciliators under sub-section (2) of section 27.
(3) Every rule made by the State Government under this Act shall be laid assoon as
may be after it is made, before the State Legislature.
39. Power of High Court to make rules.—
(1) The High Court may, by notification, make rules for carrying out the provisionsof
this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, suchrules
may provide for all or any of the following matters, namely:—
(a) the form and dimensions of the seal of the Gram Nyayalaya under section 10;
(b) the form, the manner and the fee for institution of suit, claim or proceeding undersub-
section (1) of section 24;
(c) manner of service on opposite party under sub-section (2) of section 24;
(d) procedure for conciliation under sub-section (1) of section 26;
(e) qualifications and experience of Conciliators under sub-section (1) of section 27;
(f) the period for inspection of Gram Nyayalayas under section 37.
(3) Every notification issued by the High Court shall be published in the Official Gazette
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40. Power of State Government to make rules.—
(1) The State Government may, by notification, make rules for carrying out the provisions
of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, suchrules
may provide for all or any of the following matters, namely:— (a) the salaries and allowances
payable to, and the other terms and conditions of service of, the officers and other employees
of the Gram Nyayalayas under sub-section (2) ofsection 17; (b) the sitting fee and other
allowances payable to, and the other termsand conditions for engagement of, Conciliators
under sub-section (2) of section 27.
(3) Every rule made by the State Government under this Act shall be laid as soon as may
be after it is made, before the State Legislature.
Evolution of Panchayati Raj in Madhya Pradesh
o In January 1957, the Indian Government appointed the Balwant Rai Mehta Committee.
o It was constituted to examine the working of the Community Development Programme of
1952 and the National Extension Service Program of 1953.
o The Mehta committee submitted its report in November 1957 and recommended
democratic decentralization establishing the three-tier Panchayati Raj System.
o Later, the Madhya Pradesh government formed a 15-member Pandey Committee to
examine the applicability of the Mehta committee’s recommendations on Madhya
Pradesh.
o Panday Committee concurred with the recommendations of the Mehta Committee.
o Based on the Pandey Committee recommendations Madhya Pradesh legislative assembly
passed the Madhya Pradesh Panchayat Raj Act 1962.
o The 73rd constitutional amendment Act 1993 was passed by the parliament of India to
improve the Panchayati Raj System in India.
o Subsequently Madhya Pradesh Panchayati Raj Act 1993 was passed by the Madhya
Pradesh legislative assembly.
o Madhya Pradesh became the first state in the country to implement the
73rd constitutional amendment Act.
o Madhya Pradesh also became the first state to establish ‘Gram Swaraj’ on 26th January
2000.
Madhya Pradesh Panchayati Raj Act of 1993
o The Madhya Pradesh Panchayati Raj bill was introduced in the Madhya Pradesh
legislative assembly on 29th December 1993.
o The Madhya Pradesh Panchayati Raj bill 1993 was passed by the Madhya Pradesh
legislative assembly on 30th December 1993.
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o The Governor of Madhya Pradesh gave assent to the act on 24th January 1994.
o The Madhya Pradesh Panchayati Raj Act 1993 was published in the Gazette of Madhya
Pradesh on 25th January 1994.
Gram Panchayat in Madhya Pradesh
o There shall be a Gram Panchayat for every village specified as a village for the purposes
of the Madhya Pradesh Panchayati Raj Act under Section 3.
o Each Gram Panchayat area is divided into 10-20 wards. It is determined by the Collector.
Each ward elects one member called Panch.
o Each Gram Panchayat elects one Sarpanch as its head.
o The election of Sarpanch and Panch is based on a universal adult franchise in a secret
ballot.
o The first meeting of the Gram Panchayat shall be held within 30 days of the election
result.
o The office-bearers of the Gram Panchayat shall hold office for five years from the date of
the first meeting.
o No-confidence motion against Sarpanch and Up-Sarpanch requires a resolution passed by
the majority of not less than three-fourths of Panchas present and voting, and the majority
is more than two-thirds of the total number of Panchas.
o Recalling office bearers of Gram Panchayat needs a secret ballot by a majority of more
than half of the total number of the members constituting the Gram Sabha.
o Janpad Panchayat in Madhya Pradesh The Governor Of Madhya Pradesh divides a

district into blocks by notification.
o The notification mentions the name of every such block, its headquarters and the area
comprising it.
o For every block, there shall be a Janpad Panchayat. It is an intermediate-level Panchayati
Raj Body in Madhya Pradesh.
o After every election of Panchayats, the State Election Commission shall immediately
hold the elections for the President and Vice-President of Janpad Panchayats.
o The first meeting of the Janpad Panchayat shall be held within 30 days of the date of
publication.
o The President and Vice-President of the Janpad Panchayat shall be elected by and from
amongst the elected members.
o No-confidence motion against the President or Vice-President requires the passing of a
motion of no-confidence by Janpad Panchayat by a majority of not less than three-fourths
of the elected members present and voting, and such a majority is more than two-thirds of
the total number of elected members.
District Panchayat in Madhya Pradesh
o There shall be a Zila Panchayat for every district.

o The election of the President and Vice-President of Zila Panchayat is held after every
election of Panchayats by the State Election Commission.
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o The President and the Vice-President of the Zila Panchayat shall be elected by and from
amongst the elected members of Zila Panchayat.
Gram Sabha in Madhya Pradesh
o Article 243-A has a provision for the constitution of Gram Sabha in every village of
Madhya Pradesh.
o Gram Sabha is a democratic body comprised of all the registered voters of a village
comprised within the area of Panchayat
o Gram Sabhas provide a local platform for people to meet and discuss local development
problems and analyze the development and administrative actions of elected
representatives, thereby ensuring transparency and accountability.
o Gram Sabha provides an opportunity for the participation of all sections of the village -
women, Dalits, tribals and other marginalized groups in the planning and implementation
of local development programmes.
Power of Gram Sabha in Madhya Pradesh
o The Gram Sabha can monitor and question the functioning of the Gram Panchayats.
o It can make annual plans for the villages to be passed onto higher levels of PRIs for
integration.
o It can also implement its own decisions without depending on the Gram Panchayat for
projects valued at less than Rs 3 lakhs.
Meetings of Gram Sabha in Madhya Pradesh
o In Madhya Pradesh, at least four meetings of the Gram Sabha are to be held every year.
o These meetings are held on 26th January, 30th January, 15th August, and 2nd October.
o From 2013 onwards, one additional sitting on 14th April at Ambedkar’s Birth anniversary
is also initiated.
o 5 Additional meetings of the Gram Sabha can also be organized depending upon people’s
needs.
o The Secretary of the Gram Sabha convenes these meetings.
o The Gram Sabha meeting is presided over by the Sarpanch and, in his or her absence, by
the Up-Sarpanch.
o The quorum of every meeting of the Gram Sabha shall not be less than one-tenth of the
total voters of the Gram Sabha or five hundred members of the Gram Sabha, whichever is
less.
Reservation of Panchayat Seats in Madhya Pradesh

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o The Madhya Pradesh Panchayati Raj Act 1993 provides for the reservation of seats for
scheduled castes and scheduled tribes at all three levels in the proportion of their
population in the panchayat area.
o Such reservation also extended to the offices of the chairperson in the panchayat at all
levels.
o Madhya Pradesh provides 50% reservation for women. It includes a number of seats
reserved for women belonging to the SCs and STs.
o Such reservations also extended to the offices of the chairperson in the panchayat at all
levels.
Duration of Panchayati Raj Institutions in MP
o The term of Panchayati Raj offices is five-year for all levels.

o A panchayat reconstituted after premature dissolution does not enjoy the full period of
five years but remains in office only for the remainder of the period.
Resignation from Panchayati Raj Institutions in MP
o A Panch of a Gram Panchayat or a member of Janpad Panchayat, or a member of Zila

Panchayat may resign his office by giving notice in writing to that effect to the Sarpanch
or President.
o The Sarpanch and Up-Sarpanch of a Gram Panchayat or the President and Vice-President
of a Janpad Panchayat or Zila Panchayat tender their resignation by writing to the
prescribed authority.
State Election Commission of Madhya Pradesh
o The primary responsibility of the state election commission is to supervise, direct and
control the preparation of electoral rolls and the conduct of all elections to the panchayats
in Madhya Pradesh.
o The governor of Madhya Pradesh appoints the state election commissioner.
o He has a tenure of 6 years or 65 years of age.
o He is removed from office in the manner and on the grounds prescribed for the removal
of a judge of the state high court.
Functions of Panchayati Raj Institutions in MP
The Eleventh Schedule has 29 functions listed for Pannchayati Raj institutions. These items are
listed below.
o Agriculture, Land improvement, land consolidation and soil conservation.

o implementation of land reforms
o Minor irrigation, water management and watershed development.
o Animal husbandry, dairy, poultry, Fisheries.
o Social forestry, farm forestry, Minor forest produce.
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o Small-scale industries, Khadi, village and cottage industries.

o Rural Housing, Drinking water, Fuel and fodder for households
o Roads, culverts, bridges, ferries, waterways and other means of communication.
o Rural electrification and distribution of electricity, Non-conventional energy sources.
o Poverty alleviation programme,
o Education, Technical vocational education, Adult and non-formal education, Libraries.
o Cultural activities, Markets and fairs.
o Health and sanitation, primary health centers, dispensaries, Family welfare, Women and
child development.
o Social welfare, The welfare of the weaker sections, scheduled castes and the scheduled
tribes.
o Public distribution system and Maintenance of community assets of Panchayati Raj in
MP.
Finances of Panchayati Raj in MP
The sources of finance of Panchayati Raj in MP are mentioned below.
o Grants from the Union Government based on recommendations of the Central Finance
Commission as Article 280 of the Constitution.
o Devolution from the State Government based on recommendations of the State Finance
Commission as per Article 243-I.
o Loans or grants from the State Government.
o Funds from Centrally Sponsored Schemes and Additional Central Assistance.
o Internal Resource Generation, such as tax and non-tax avenues.
Finance Commission in MP
o The governor of Madhya Pradesh constitutes a finance commission after every five years
to review the financial position of the panchayats.
o Article 243-I provides for the formation of the State Finance Commission.
o It makes recommendations to the Governor of Madhya Pradesh.
o The recommendations are advisory in nature and non-binding.
o The governor of M.P. places the recommendations of the commission along with the
action taken report before the state legislature of Madhya Pradesh.
o The Madhya Pradesh legislature provides for the composition of the commission, the
required qualifications of its members and the manner of their selection.
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UNIT IV
URBAN LOCAL SELF GOVERNMENT.
• Urban Local Self Government: Meaning and Significance.

• Organization of Urban Local Self Government.
• Powers and Functions of Urban Local Self Government.
• Financial administration of Municipalities.
• Madhya Pradesh Municipal Corporation Act, 1994
URBAN LOCAL SELF GOVERNMENT: MEANING AND SIGNIFICANCE
Urbanization has become a common feature of Indian society. With cities being the main
beneficiaries of globalization, along with increasing urban population, millions of people chasing
jobs are migrating to cities.
This signifies the need to position Indian cities as drivers of the structural transformation of the
Indian economy. It requires enhancement and upgradation of infrastructure which calls for active
support by State Governments and also the Central Government.
Our Constitution provides a clear mandate for Democratic Decentralisation not only through
the Directive Principles of State Policy but more specifically through the 73rd and
74th Amendments of the Constitution which seek to create an institutional framework for ushering
in grassroot democracy through the medium of genuinely self-governing local bodies in both
urban and rural areas of the country.
However, despite the constitutional mandate, the growth of self-governing local bodies as the third
tier of governance in the country has been uneven and slow. The transfer of 3F ( funds, functions
and functionaries ) has been nominal (with notable exceptions such as Kerala).
Integrating Institutional reforms in local governance with economic reforms was Gandhiji’s far-
sighted vision of ‘Poorna Swaraj’. But Reserve Bank of India (RBI) in a report State Finances,
Study of Budgets of 2021-22, released in November 2021 stated that, with the third-tier
governments in India playing a frontline role in combating the pandemic by implementing
containment strategies, healthcare, their finances have come under severe strain, forcing them to
cut down expenditures and mobilise funding from various sources
Urban local self-government refers to the system of local governance in urban areas. It empowers local
communities to manage their own affairs, make decisions on local issues, and promote the development
of urban areas. Urban local self-government bodies are typically established by the government to govern
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cities and towns. The specific structure and functions of urban local self-government bodies can vary
from one country to another, but they generally include city or municipal councils, municipal
corporations, and other local authorities.
Key aspects of urban local self-government typically include:
Local Autonomy: Urban local self-government grants a certain degree of autonomy to local authorities,
allowing them to make decisions related to local governance, urban planning, infrastructure development,
and service delivery.
Local Elections: Local representatives, such as mayors, councilors, and commissioners, are usually
elected through democratic processes to represent the interests of the local population.
Urban Planning: Urban local self-government bodies are responsible for urban planning and development
within their jurisdiction. They formulate and implement policies related to land use, zoning, and urban
infrastructure development.
Infrastructure Development: These bodies oversee the development of essential urban infrastructure,
including roads, water supply, sanitation, sewage systems, public transportation, and other public
facilities.
Local Services: Urban local self-government bodies are responsible for providing various services to
citizens, such as healthcare, education, waste management, and recreational facilities.
Resource Mobilization: They have the authority to mobilize resources through local taxes, fees, and
grants from higher levels of government to fund local development projects and services.
Community Participation: Urban local self-government encourages active participation of local
communities in decision-making processes, ensuring that citizens have a say in matters that affect their
lives.
The implementation and effectiveness of urban local self-government systems vary widely across
different countries and regions. Some places have highly decentralized systems, allowing significant
decision-making power at the local level, while others may have more centralized approaches with
limited local autonomy. The goal of urban local self-government is to enhance local governance, promote
local development, and improve the overall quality of life for urban residents.
Local self-government plays a crucial role in the overall governance and development of a country. Its
significance can be understood from various perspectives:
Decentralization of Power: Local self-government decentralizes power and decision-making, allowing
local communities to have a say in matters that directly affect their lives. It promotes participatory
democracy by empowering citizens to participate in local governance processes.
Tailored Solutions: Local governments have a better understanding of the local issues, needs, and
challenges. They can tailor policies and programs to address specific local problems, leading to more
effective and efficient solutions.
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Responsive Governance: Local self-government enables quick and responsive decision-making. Local
authorities can respond promptly to local crises, emergencies, and citizen grievances, ensuring timely and
effective solutions.
Promotion of Civic Engagement: By involving citizens in decision-making processes, local self-
government encourages civic engagement and active participation in community development initiatives.
This engagement strengthens the democratic fabric of society.
Accountability and Transparency: Local self-government bodies are usually more accountable and
transparent to the local population. Citizens can directly observe the functioning of local authorities,
which promotes accountability and reduces corruption.
Fostering Social and Economic Development: Local governments are instrumental in promoting
economic activities, creating job opportunities, and improving living standards within their jurisdiction.
They can implement development projects, attract investments, and stimulate local economic growth.
Effective Service Delivery: Local self-government ensures efficient and equitable delivery of essential
public services such as healthcare, education, sanitation, water supply, and infrastructure. Local
authorities are better positioned to understand local demands and provide services accordingly.
Preservation of Cultural Heritage: Local self-government can play a role in preserving and promoting
local cultural heritage, traditions, and arts. This preservation is essential for maintaining a community's
unique identity in the face of globalization.
Social Justice and Inclusivity: Local self-government can address social disparities and promote
inclusivity by implementing policies that uplift marginalized communities. It can ensure that resources are
allocated equitably, providing equal opportunities to all citizens.
Capacity Building: Local self-government encourages the development of local leadership and
administrative skills. It empowers local officials and citizens, fostering a sense of ownership and
responsibility towards community development.
FINANCIAL ADMINISTRATION OF MUNICIPALITIES.
The financial administration of municipalities involves managing the financial resources and
expenditures of local government bodies responsible for governing cities, towns, or other urban
areas. Proper financial administration is essential for the smooth functioning of municipal
services, infrastructure development, and overall community well-being. Here are the key
aspects of the financial administration of municipalities:
Revenue Generation:
Local Taxes: Municipalities generate revenue through property taxes, business taxes, sales taxes,
and other local levies. Property taxes, in particular, are a significant source of income for
municipalities.
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User Charges: Charges for services such as water supply, sewage, garbage collection, parking,
and licenses contribute to municipal revenue.
Grants: Municipalities receive grants and financial aid from higher levels of government to
support specific projects, programs, or general administration.
Budgeting:
Budget Preparation: Municipalities prepare annual budgets outlining planned expenditures for
various departments and services. The budgeting process involves assessing revenue sources,
estimating expenses, and setting financial priorities.
Public Participation: In some regions, municipalities involve citizens and stakeholders in the
budgeting process to ensure that community needs and preferences are considered.
Expenditure Management:
Infrastructure Development: Municipalities allocate funds for the construction and maintenance
of roads, bridges, public buildings, parks, and other essential infrastructure.
Service Delivery: Funds are allocated to provide municipal services such as water supply,
sanitation, healthcare, education, public safety, and waste management.
Administration Costs: Municipalities budget for administrative expenses, including salaries of
municipal employees, office maintenance, and other operational costs.
Financial Accountability:
Auditing: Municipal financial accounts are audited regularly to ensure transparency, accuracy,
and compliance with financial regulations.
Financial Reporting: Municipalities are required to publish financial reports, detailing income,
expenditures, and budget performance. These reports enhance transparency and accountability.
Debt Management:
Borrowing: Municipalities may borrow funds for long-term projects. Proper debt management is
crucial to ensure that borrowing does not strain the municipal finances excessively.
Debt Repayment: Effective planning and budgeting are essential to manage debt repayment,
including both principal and interest payments.
Financial Sustainability:
Revenue Diversification: Municipalities explore various revenue streams to reduce dependency
on a single source, ensuring financial stability.
Reserve Funds: Building and maintaining reserve funds help municipalities cope with
unexpected expenses and economic fluctuations.
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Compliance and Legal Framework:

Compliance: Municipalities must adhere to financial regulations and legal frameworks set by
higher levels of government, ensuring that financial practices align with the law.
Governance: Effective governance structures and financial management policies are crucial to
prevent corruption and mismanagement of funds.
Proper financial administration is essential for municipalities to provide quality services,
maintain infrastructure, and promote the overall well-being of their communities. Transparent
and accountable financial practices are key to building public trust and ensuring the sustainable
development of urban areas.
MADHYA PRADESH MUNICIPAL CORPORATION ACT, 1994
In exercise of the powers conferred by Section 433 of the Madhya Pradesh Municipal
Corporation Act, 1956 (No. 23 of 1956), the State Government, hereby makes the following rules
to regulate the extent of wards, namely :-
1. Short title and commencement. - (1) These rules may be called the Madhya Pradesh
Municipal Corporation (Extent of Wards) Rules, 1994.
(2) These rules shall come into force with effect from the date of their publication in the
"Madhya Pradesh Gazette."
2. Definitions. - In these rules, unless the context otherwise requires :-
(a) "Act" means the Madhya Pradesh Municipal Corporation Act, 1956 (No. 23 of 1956);
(b) "Section" means section of the Madhya Pradesh Municipal Corporation Act, 1956;
(c) "Municipal Area" means the territorial area of any Municipal Corporation;
(d) "Population" means the population ascertained at the last preceding census of which the
relevant figures have been published;
(e) "Commissioner" means the Commissioner of the Municipal Corporation as defined in thee
Act.
3. Division of Municipal area into wards. - (1) A Municipal area shall be divided into wards in
number equal to the number of wards as determined by the State Government under sub-section
(1) of Section 10.
(2) The population of every Municipal area on dividing by the number of wards as determined
for that municipal area and the quotient so arrived shall be the average population of a ward, in
which a variation upto 15 per cent may be allowed.
(3) The area comprised within every ward shall be compact.
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4. Extent of wards. - The four/dimensional extent of every ward shall be determined as follows
:-
(1) In the North ...................... ............................

(2) In the East ........................ .............................
(3) In the South ...................... .............................
(4) In the West ....................... .............................
5. Number and the name of wards. - Every ward shall be given its number and such numbers
shall be in serial order. Every ward shall be given a name also.
6. Preparation of proposal to determine the extent of wards. - (1) The proposals to determine
the extent of wards shall be prepared by the Collector of the District in which the Municipal
Corporation is situated and for this purpose, any information as called for by the Collector from
the Commissioner for which the Commissioner shall be bound to make available such
information within the specified time, otherwise the Collector may prepare the proposals at the
cost of Municipal Corporation concerned.
(2) The following information regarding extent of wards shall be included in the proposals as
prepared be the Collector :-
(i) Four dimensional extent of the proposed wards.

(ii) Map showing all the four dimensions of every proposed ward in such a way that the
boundaries of each ward may be visible separately.
(iii) Statement regarding population in which the total population of the Municipal area as per
the figures published of the last census, total population of Scheduled Castes and of
Scheduled Tribes, the total number of wards as determined by the State Government for
concerning Municipal area and on that basis the average population of each ward.
(iv) The population of each of the proposed ward and the figures of population of Scheduled
Castes and Scheduled Tribes therein.
7. Preliminary publication of determination of the extent of wards. - A notice regarding the
proposal as prepared under Rule 6 shall be published by the Collector in the local news papers in
the form appended to these rules and the copies of the notice shall be pasted on the notice board
of the office of the Collector and office of the Municipal Corporation and on the conspicuous
places in the wards for the information of the general public.
8. Disposal of the objections/suggestions as received and final publication. - Any citizen may
submit his objection or suggestion in regard to the proposed limits of the wards within seven
days from the date of publication of the notice by the Collector which shall be forwarded to the
State Government by the Collector alongwilh his opinion and the State Government after
considering the opinion of the Collector, shall lake the decision on the objections/suggestions as
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received and shall publish the Notification in the "Madhya Pradesh Gazette" in regard to extent
of the wards as determined. A Notification published in the "Madhya Pradesh Gazette" under
these rules shall be conclusive evidence that the extent of the wards have finally been determined
for the purpose of sub-section (1) of Section 10.
9. Rules to be general. - These rules shall be general for all the Municipal Corporations
10. Repeal. - All rules, by laws and orders, if any, on this subject in force immediately before the
commencement of these rules, shall be repealed.
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UNIT V
LOCAL SELF GOVERNMENT IN TRIBAL AREAS.
• Administration of Tribal Areas (Part X, 5th and 6th Schedule).

• Historical and cultural aspect with respect to local Governance.
• Panchayat Extension to Scheduled Areas Act, 1996.
• Futuristic approach of Municipalities in Tribal Areas.
ADMINISTRATION OF TRIBAL AREAS (PART X, 5TH AND 6TH SCHEDULE).
Article 244 (1) of the Indian Constitution defines Scheduled Areas as the areas defined so by the
President of India and are mentioned in the fifth schedule of the Constitution. In India, there are
10 states having scheduled areas. Article 244 deals with the Scheduled and Tribal Areas.
The Sixth Schedule under Article 244 (2) of the Constitution relates to those areas in the States
of Assam, Meghalaya, Tripura and Mizoram which are declared as “tribal areas” and provides
for District or Regional Autonomous Councils for such areas.
Administration of Scheduled Areas
• Provision regarding administration and control is mentioned in the 5th schedule of

the constitution.
• It deals with scheduled areas as well as scheduled tribes in states other than Assam,
Meghalaya, Tripura, and Mizoram.
• The President of India is empowered to declare any area as a scheduled area.
• President can alter, increase or decrease its boundary lines in consultation with the
Governor of the state.
• The Governor of the state with a ‘Scheduled Area’ submit a report annually to the
President or whenever required by the President regarding the administration of the
area.
• The Governor of a state is authorized to direct that any particular law of parliament
or the state legislature shall not extend to a scheduled area or shall extend with
certain modifications or exceptions.
• Governor is authorized to make regulations that prohibit or restrict the transfer of
land.
• Governor can regulate the allotment of the land regarding Scheduled Areas and the
money lending business.
• Regulations made by the Governor must be implemented after the assent of the
President.
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• Provisions related to the administration of Scheduled areas and tribes can be

amended by Parliament with ordinary legislation. This clearly means it does not
require a constitutional amendment.
• Constitution has a provision for the appointment of a commission to report on the
matter of administration and welfare of the Scheduled Area and Scheduled Tribes
[Article 339(1)].
• The appointment of such a commission is done by the President.
• There is a provision of the constitution for Tribal Advisory Councils in every state
having scheduled areas, to give advice on matters related to the welfare of the
Scheduled Tribe.
• At present, 10 states fall under the 5th schedule i.e, having scheduled areas-
1. Andhra Pradesh
2. Telangana
3. Jharkhand
4. Gujarat
5. Chhattisgarh
6. Himachal Pradesh
7. Maharashtra
8. Madhya Pradesh
9. Rajasthan
10. Odisha
Criteria for declaration of “Scheduled Area” under the Fifth Schedule
• The preponderance of the tribal population,

• Compactness and reasonable size of the area,
• A viable administrative entity such as a district, block, or taluk, and.
• Economic backwardness of the area as compared to the neighboring areas.
Administration of Tribal Areas
• The 6th Schedule of the constitution deals with the administration of the Tribal
Areas of Assam, Meghalaya, Tripura, and Mizoram.
• It has divided the land into 04 parts and 10 areas (originally consisting of 02 parts
only but later amended).
• Part-I (in Assam)
• The North Cachar Hills District
• The Karbi Anglong District
• The Bodoland Territorial Areas District
• Part-II (in Meghalaya)
• The Khasi Hills District
• The Jaintia Hills District
• The Garo Hills District
• Part-IIA (in Tripura)
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• Tripura Tribal Areas District

• Part-III (in Mizoram)
• The Chakma District
• The Mara District
• The Lai District
• These tribal areas are to be administered as autonomous districts but these
autonomous districts are not outside the executive authority of the concerned state.
• The organization and reorganization of the autonomous district can be done by the
Governor of the state concerned including increasing or decreasing the area and
changing the boundary lines.
• In the case of different tribes in an autonomous district, the governor is authorized
to divide the district into several autonomous regions.
• To exercise legislative and judicial functions in such areas, there are provisions for
the creation of District Councils and Regional Councils.
• The district council consists of 30 members out of which 4 are nominated by the
governor and the rest are elected on the basis of adult franchise.
• Elected member of the district council holds office for 5 years and nominated
enjoys the pleasure of the governor.
• Councils hold the law-making power in certain domains such as management of
forests other than reserve forests, marriage and social customs, inheritance of
property, etc.
• The Governor of the state can provide power to the councils to try certain suits or
offenses.
• Councils are empowered to impose certain specified taxes and can collect land
revenue.
• The Governor must approve the law made by the council of the State.
• On the matters over which the council is empowered to make law, the law of state
legislature over such topics can not be extended to such areas without the approval
of councils.
• With regard to other matters, President with respect to the central act, and
Governor with respect to the state act may direct that an act of parliament or state
legislature shall not extend or shall be extended with reasonable exceptions to any
autonomous district.
• Exception: In the case of Assam, the power of direction with respect
to acts of parliament and acts of state legislature lies with Governor.
In the case of Meghalaya, Tripura, and Mizoram, power lies with
President in respect of acts of Parliament and with the Governor in
respect of acts of the legislature of the state.
Why Scheduled Areas and Tribal Areas are treated differently than other areas of the
country?
Scheduled areas are inhabited by people who are socially and economically backward. Though
they constitute a part of the country, it is the responsibility of the government to make special
efforts needed to improve their condition. That is why the normal administration system running
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across the country may not be suitable for these areas as it requires special attention and effort
and that is why the government has greater responsibility for these areas.
In a similar way, the Tribes of Assam, Meghalaya, Tripura, and Mizoram have not absorbed the
way of life of the other people of the state with time. Somehow, the tribal areas of other states
have adopted the culture of other people more or less but tribes from such northeastern states
stand connected to their own traditions, culture, and custom. That is why such areas are treated
differently and our constitution has provided sufficient provisions to provide them a sizable
amount of autonomy to practice their own way of life without hurting the unity of the country.
HISTORICAL AND CULTURAL ASPECT WITH RESPECT TO LOCAL

GOVERNANCE
The history of Panchayat Raj in India can be divided into the following periods fromthe
analytical point of view:
Vedic Era
In the old Sanskrit scriptures, word ‘Panchayatan’ has been mentioned which means a
group of five persons, including a spiritual man.Gradually the concept of the inclusion
of a spiritual man in such groups vanished.In the Rigveda, there is a mention of Sabha,
Samiti and Vidatha as local self-units.These were the democratic bodies at the local
level. The king used to get the approval of these bodies regarding certain functions and
decisions.
Epic Era
It indicates the two great epic periods of India, that is, the Ramayana and the
Mahabharata. The study of Ramayana indicates that the administration was divided
into two parts - Pur and Janpad or city and village. In the whole of the state, there
was also a Caste Panchayat and one person elected by the Caste Panchayat was a
member of the king's Council of Ministers. Self-government ofa village finds ample
expression in the ‘Shanti Parva’ of the Mahabharata; in theManu Smriti as well as in
Kautilya’s Arthashastra. As per the Mahabharata,over and above the village, there
were units of 10, 20, 100, and 1,000 village groups.
‘Gramik’ was the chief official of the village, ‘Dashap’ was the chief of ten villages,
Vinshya Adhipati, Shat Gram Adhyaksha and Shat Gram Pati were the chiefs
of 20, 100, and 1,000 villages, respectively. They collected the local taxes and were
responsible for the defense of their villages.
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Ancient Period:
There is a mention of village panchayats in Kautilya’s Arthashastra. The town was
referred to as Pur and its chief was the Nagarik. Local bodies were free from any royal
interference. During the Mauryan and Post-Mauryan periods too, the headman,
assisted by a council of elders, continued to play a prominent role in the village
life. The system continued through the Gupta period, though there were certain
changes in the nomenclature, as the district official was known as the vishya pati and
the village headman was referred to as the grampati. Thus, in ancient India, there
existed a well established system of local government which was run on a set pattern
of traditions and customs. However, it is significant to note that there is no reference
of women heading the panchayat or even participating as a member in the panchayat.
Medieval Period
During the Sultanate period, the Sultans of Delhi divided their kingdom into
provinces called ‘Vilayat’. For the governance of a village, there were three important
officials - Mukkaddam for administration, Patwari for collection of revenues, and
Choudhrie for settling disputes with the help of the Panch. The villages had
sufficient powers as regards self governance in their territory. Casteism and feudalistic
system of governance under the Mughal rule in the medieval period slowly eroded the
self-government in villages. It is again noteworthy to note that even in the medieval
period there is no mention of women participation in the local village administration.
British Period:
Under the British regime, village panchayats lost their autonomy and became weak.
It is only from the year 1870 that India saw the dawn of representative local institutions.
The famous Mayo’s resolution of 1870 gave impetus to the development of local
institutions by enlarging their powers and responsibilities. The year 1870, introduced
the concept of elected representatives, in urban municipalities. The revolt of 1857 had
put the imperial finances under considerable strain and it was found necessary to
finance local service out of local taxation. Therefore it was out of fiscal compulsion
that Lord Mayo’s resolution on decentralization came to be adopted. Following the
footsteps of Mayo, Lord Rippon in 1882 provided the much needed democratic
framework to these institutions. All boards (then existing) were mandated to have a
two-thirds majority of non-officials who had to be elected and the chairman of these
bodies had to be from among the elected non- officials. This is considered to be the
Magna Carta of local democracy in India. Local self-government institutions
received a boost with the appointment of the Royal Commission on centralisation in
1907 under the Chairmanship of C.E.H. Hobhouse. The commission recognized the
importance of panchayatsat the village level. It is in this backdrop that the Montagu
Chelmsford reforms of 1919 transferred the subject of local government to the
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domain of the provinces. The reform also recommended that as far as possible there
shouldbe a complete control in local bodies and complete possible independence for
them from external control.These panchayats covered only a limited number of villages
with limited functions and due to organisational and fiscal constraints they did not
become democratic and vibrant institutions of local selfgovernment at the village level.
However, by 1925, eight provinces had passed
the Panchayat Acts and by 1926, six native States had also passed panchayat laws.
Local bodies were given more powers and functions to impose taxes were reduced.
But, the position of the local self-government institutions remained unaffected.
Post–Independence Period:
After the Constitution came into force, Article 40 made a mention of panchayats and
Article 246 empowers the state legislature to legislate with respect to any subject relating
to local self-government. However, this inclusion of panchayatsinto the Constitution
was not unanimously agreed upon by the then decision-makers, with the major opposition
having come from the framer of the Constitution himself i.e. B.R.Ambedkar. It was after
much discussion among the supporters and opponents of the village panchayat that the
panchayats finally got a place for themselves in the Constitution as Article 40 of the
Directive Principles of State Policy. Since the Directive Principles are not binding
principles, the result was the absence of a uniform structure of these bodies throughout the
country. After independence, as a development initiative, India had implemented the
Community Development Programmes (CDP) on the eve of Gandhi Jayanti, the 2nd
October, 1952 under the major influence of the Etawah Project undertaken by the
Americanexpert, Albert Mayer. It encompassed almost all activities of rural development
which were to be implemented with the help of village panchayats along with the
participation of people. In 1953, the National Extension Service was also introduced as a
prologue to CDP. But the programme did not yield much result. There were various reasons
for the failure of CDP like bureaucracy and excessive politics, lack of people
participation, lack of trained and qualified staff, and lack of local bodies interest in
implementing the CDP especially the village panchayats.
PANCHAYAT EXTENSION TO SCHEDULED AREAS ACT, 1996
The PESA Act was enacted in 1996 to provide for the extension of the provisions of Part IX of
the Constitution relating to the Panchayats to the Scheduled Areas. (Other than Panchayats, Part
IX, comprising Articles 243 - 243 ZT of the Constitution, contains provisions relating to
Municipalities and Cooperative Societies.) Under the PESA Act, Scheduled Areas are those
referred to in Article 244 (1), which says that the provisions of the Fifth Schedule shall apply to
the Scheduled Areas and Scheduled Tribes in states other than Assam, Meghalaya, Tripura, and
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Mizoram.
The Fifth Schedule provides for a range of special provisions for these areas. The PESA Act
gives special powers to the Gram Sabhas in Scheduled Areas, especially for the management of
natural resources. The PESA Act was enacted in 1996 to provide for the extension of the
provisions of Part IX of the Constitution related to the Panchayats to the Scheduled Areas. Part
IX of the Constitution, which consists of Articles 243 - 243 ZT, covers legislation related to
municipalities and cooperative societies in addition to Panchayats. The Panchayats Extension to
Scheduled Areas (PESA) Act, 1996 was intended to guarantee self-governance through Gram
Sabhas (village assemblies) for those residing in Scheduled Areas.
The Provisions of the Panchayats (Extension to Scheduled Areas) Act, 1996 or PESA is a law
enacted by the Government of India for ensuring self-governance through traditional Gram
Sabhas for people living in the Scheduled Areas of India. Scheduled Areas are areas identified by
the Fifth Schedule of the Constitution of India. Scheduled Areas are found in ten states of India
which have predominant population of tribal communities.
The Scheduled Areas, were not covered by the 73rd Constitutional Amendment or Panchayati
Raj Act of the Indian Constitution as provided in the Part IX of the Constitution. PESA was
enacted on 24th December, 1996 to extend the provisions of Part IX of the Constitution to
Scheduled Areas, with certain exceptions and modifications. PESA is an Act to provide for the
extension of the provisions of Part IX of the Constitution relating to the Panchayats and the
Scheduled Areas.
PESA was viewed as a positive development for tribal communities in Scheduled Areas who had
earlier suffered tremendously from engagement with modern development processes and from
the operation of both colonial laws and statutes made in independent India. The loss of access to
forest, land, and other community resources had increased their vulnerability.
Rampant land acquisition and displacement due to development projects had led to large scale
distress in tribal communities living in Scheduled Areas. PESA was seen as a panacea for many
of these vulnerabilities and sought to introduce a new paradigm of development where the tribal
communities in such Scheduled Areas were to decide by themselves the pace and priorities of
their development.
Scheduled Areas mean the Scheduled Areas as referred to in Clause (1) of Article 244 of the
Constitution. The Fifth Schedule of the Constitution of India, which mentions Scheduled Areas,
is termed as a "Constitution within a Constitution". The Act extended the provisions of
Panchayats to the tribal areas of ten states that have Fifth Schedule Areas.
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What is PESA Act?

PESA Act acknowledges the right of tribal communities, who live in Scheduled Areas, to rule
themselves using their own systems of self-government. The Act gives Gram Sabhas the
authority to play an important part in approving development plans and managing all social
sectors. Ten states- Andhra Pradesh, Chhattisgarh, Gujarat, Himachal Pradesh, Jharkhand,
Madhya Pradesh, Maharashtra, Odisha, Rajasthan, and Telangana- have declared Fifth Schedule
areas that include (completely or partially) a number of their districts.
The PESA Act was enacted in 1996 to provide for the extension of the provisions of Part IX of
the Constitution relating to the Panchayats to the Scheduled Areas. Part IX, comprising Articles
243 - 243 ZT of the Constitution, contains provisions relating to municipalities and cooperative
societies.
Provisions:
The PESA act directed the state government to make Gram Sabha and Panchayats function as
Institutions of Local Self Governance, specifically on matters of:
Enforcing the prohibition of sale and consumption of intoxicants
Ownership of minor forest produce
The authority to oversee village markets
Restore unlawfully alienated land, and prevent land alienation
Control over money lending, etc.
The PESA also gave the Scheduled Areas Gram Sabha the authority to approve plans and
programs for:
Social and economic development
Certifying utilization of funds by gram Panchayats
Identification of beneficiaries under poverty alleviation programs
Protect natural resources, including minor forest produce
Gram Sabha is to be consulted before land acquisition
Some other provisions:

Gram Sabha to preserve indigenous traditions, beliefs, and culture
Gram Sabha to resolve the local disputes
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Management and protection of common properties based on their traditional systems is to be

done by Gram Sabha
The administration must consult gram Sabha before land acquisition
Gram Sabha holds the right to control the distillation, prohibition, and manufacture of intoxicants
/ liquor.
Objectives:
To ensure self-governance through Gram Sabhas (village assemblies) for people living in the
Scheduled Areas.
It recognizes the right of tribal communities, who are residents of the Scheduled Areas, to govern
themselves through their own systems of self-government, and also acknowledges their
traditional rights over natural resources.
Empowers Gram Sabhas to play a key role in approving development plans and controlling all
social sectors.
What is the Significance of Implementing the Act?

Democratic Decentralization:
PESA empowers Gram Sabhas to play a key role in approving development plans and controlling
all social sectors.
This includes management of:
Resources over Jal, Jangal, Zameen (water, forest and land)

Minor forest produce
Human resources: Processes and personnel who implement policies:
Managing local markets

Preventing land alienation
Regulating intoxicants among other things
Preserving Identity:
The powers of Gram Sabha's include maintenance of cultural identity and tradition, control over
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schemes affecting the tribals, and control over natural resources within the area of a village.
Conflict Resolution:
The PESA Act thus enables Gram Sabhas to maintain a safety net over their rights and
surroundings against external or internal conflicts.
Public Watchdog:
The Gram Sabha would have the powers to monitor and prohibit the manufacturing, transport,
sale and consumption of intoxicants within their village limits.
What are the Issues Related to PESA?

Partial Implementation:
The state governments are supposed to enact state laws for their Scheduled Areas in consonance
with this national law
This has resulted in the partially implemented PESA.

The partial implementation has worsened self-governance in Adivasi areas, like in Jharkhand.
Administrative Hurdles:
Many experts have asserted that PESA did not deliver due to the lack of clarity, legal infirmity,
bureaucratic apathy, absence of political will, resistance to change in the hierarchy of power, and
so on.
Followed in Letter Rather than Spirit:

Social audits conducted across the state have also pointed out that in reality different
developmental schemes were being approved on paper by Gram Sabha, without actually having
any meeting for discussion and decision making.
PESA Act only applies to areas that are recognized as Scheduled Areas by law. This legislation
does not apply to a sizable portion of tribals who reside outside the areas regarded as the
scheduled areas.
Panchayats have not been given enough authority to levy and collect taxes, fees, or other levies.
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State Finance Commission decisions are only selectively implemented, giving Panchayats no real
power in practice.
Gram Sabha is the primary tool for successfully implementing PESA by empowering the tribal
people to manage their own affairs in a mostly autonomous manner. Though, in reality, they are
subordinate to other state legislatures and extraneous forces like the forest department. It
compromises PESA's primary objectives.
How are Tribals and their Rights Protected in India?
In India, most of the tribes are collectively identified under Article 342 (1&2) as "Scheduled
Tribes".
Their right to self-determination is guaranteed by Part X: The Scheduled and Tribal Areas -
Article 244: Administration of Scheduled Areas and Tribal Areas.
That is, Fifth and Sixth Schedules of the Indian Constitution.
The Provisions of the Panchayats (Extension to Scheduled Areas) Act, 1996 or PESA.
The Tribal Panchsheel Policy (non-imposition by encouraging self-governance)
Scheduled Tribes and Other Traditional Forest Dwellers (Recognition of Forest Rights) Act,
2006 concerns the rights of forest-dwelling communities to land and other resources.
About PESA Act, 1996

To promote local self-governance in rural India, the 73rd constitutional amendment was made in
1992.
Through this amendment, a three-tier Panchayati Raj Institution was made into a law.
However, its application to the scheduled and tribal areas under Article 243 (M) was restricted.
After the Bhuria Committee recommendations in 1995, Panchayat Extension to Scheduled Areas
(PESA) Act 1996 came into existence for ensuring tribal self-rule for people living in scheduled
areas of India.
The PESA conferred the absolute powers to Gram Sabha, whereas State Legislature has given an
advisory role to ensure the proper functioning of Panchayats and Gram Sabhas.
The power delegated to Gram Sabha cannot be curtailed by a higher level, and there shall be
independence throughout.
The PESA is considered to be the backbone of tribal legislation in India.
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PESA recognises the traditional system of the decision-making process and stands for the
peoples' self-governance.
Following powers and functions have been provided to the Gram Sabhas:
Right to mandatory consultation in land acquisition, resettlement and rehabilitation of displaced
persons.
Protection of traditional belief, the culture of the tribal communities
Ownership of minor forest products
Resolution of the local disputes
Prevention of land alienation
Management of village markets
Right to control production, distillation, and prohibition of liquor
Exercise of control over money-lending
Any other rights involving the Scheduled Tribes.
The law does not automatically cover the Scheduled Area, so, on the recommendation of the
Bhuria Committee Report submitted in 1995, PESA Act was enacted. The Act was enacted in
December 1996 for the extension of laws made under the 73rd constitutional amendment to the
scheduled areas, to enable Tribal Self Rule in these areas.
The PESA Act extended the provisions of Panchayats to the tribal areas. The act passed on the
resources, responsibility, and decision-making from the central government to the lowest unit of
governance, the Gram Sabha or the Village Assembly. Most of the North-eastern states under the
6th Schedule where autonomous councils for governance exist are not covered by PESA.

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RENAISSANCE UNIVERSITY

India – A Federal State

Nature of Indian Federalism

Federal Features of Indian Constitution

1. Two sets of Government

4. Supremacy of the Constitution

THE SARKARIYA COMMISSION REPORT, 1988

Background of Sarkaria Commission

Purpose of Sarkaria Committee

Features of Sarkaria commission

Recommendation of Sarkaria commission

This commission suggested federalism arrangements as a cooperative activity in administrative manners

Sarkaria Commission Recommendations

• The Commission recommended the appointment of individuals with considerable years of

Maharashtra: A Case Study

The Emerging Significance of Sarkaria Commission

GRAM SWARAJ: THE GANDHIAN CONCEPT.

government control, whether it is foreign government or whether it is national. Furthermore, it is

Gram swaraj and Panchayati Raj:

New panchayati Raj system after Independence

Objectives of the Movement

Significance of Sarvodaya Movement

main features of Sarvodaya

Mahatma Gandhi’s Conception of Sarvodaya:

Evolution of Local Self Government through Committee

1. Balwant Rai Mehta Committee, 1957

The important recommendations are:

The District Collector should be the Chairman of the Zilla Parishad.

2. Ashok Mehta Committee (1977-1978)

Three-tier system to be replaced by a two-tier system.

3. G V K Rao Commitee (1985)

executive officer of the Zila Parishad.

4. L M Singhvi Commitee (1986)

Constitutional recognition for PRI institutions.

73RD AND 74TH CONSTITUTIONAL AMENDMENTS

73rd AMENDMENT ACT 1992 IN INDIA.

74TH AMENDMENT ACT 1992 IN INDIA.

The main provisions introduced by the above Act were as follows:-

Constitution of Wards Committees

Powers and Functions of the Municipalities

The recommendations of the Finance Commission will cover the following:

Audit and Accounts

Committee for District Planning

Metropolitan Planning Committees

Continuance of Existing Laws and Municipalities

Bar to Interference by Courts in Electoral Matters

• Organization and Importance of Rural local Self Government.

Organization and Importance of Rural local Self Government

Evolution of Local Self Government in India

1. Economic Development And Social Justice

3. Increasing The Prospects of Community Development

6. Shaping Future Leaders

Functions of Local Self-Government

• To construct and maintain community assets

• To promote the development of agriculture by proper management of irrigation and water

• To enhance health facilities and promote awareness about health

• To promote small-scale industries of the village

• To develop social forestry, dairy, poultry, and animal husbandry

Powers of Local Self Government in India