Chapter I CONSTITUTION, ADMINISTRATION AND CONTROL OF GRAM

(1) The Government may, by notification and in accordance with the rules made in this behalf, declare any revenue village or hamlet thereof or any part of a mandal to be a village for the purpose of this Act and specify the name of the village. Explanation - For the purposes of this sub-section the expressions 'mandal' and 'revenue village' shall mean respectively any local area which is recognised as a mandal or village in the revenue accounts of Government after excluding therefrom the area, if any, included in - (a) a municipal corporation governed by the relevant law relating to Municipal Corporations for the time being in force in the State; (b) a municipality governed by the law relating to Municipalities for the time being in force in the State; (c)a mining settlement governed by the Andhra Pradesh (Telangana Area) Mining Settlements Act, 1956(Act XIV of 1956); (d) a cantonment governed by the Cantonments Act, 1924( Central Act, 2 of 1924); (2) The Government may, by notification and in accordance with such rules as may be prescribed in this behalf - (a) form a new village by separation of local area from any village or by uniting two or more villages or parts of villages or by uniting any local area to a part of any village: Provided that the Government shall take into consideration the financial viability of the Gram Panchayat, to be newly created before bifurcation of the said Gram Panchayat, for the purpose of providing a Panchayat Secretary. (b) increase the local area of any village; (c) diminish the local area of any village; (d) alter the boundaries of any village; (e) alter the name of any village; (f) cancel a notification issued under sub-section (1). (3) The Government may pass such orders as he may deem fit, - (a) as to the disposal of the property vested in a gram panchayat which has ceased to exist, and the discharge of its liabilities; and (b) as to the disposal of any part of the property vested in a gram panchayat which has ceased to exercise jurisdiction over any local area, and the discharge of the liabilities of the gram panchayat relating to such property or arising from such local area. An order made under this sub-section may contain such supplemental, incidental and consequential provisions as the Commissioner may deem necessary, and in particular may direct - (i) that any tax, fee or other sum due to the gram panchayat or where a gram panchayat has ceased to exercise jurisdiction over any local area, such tax, fee, or other sum due to the gram panchayat as relates to that area, shall be payable to such authorities as may be specified in the order;and (ii) that appeals, petitions, or other applications with reference to any such tax, fee or sum which are pending on the date on which the gram panchayat ceased to exist or, as the case may be, on the date on which the gram panchayat ceased to exercise jurisdiction over the local area, shall be disposed of by such authorities as may be specified in the order.

Constitution of Gram Panchayats for villages and their incorporation (1) A gram panchayat shall be deemed to have been constituted for a village on the date of publication of the notification under section 3 in respect of that village and the Special Officer appointed under sub-section (1) of section 143 shall make arrangements for the election of the members and of the Sarpanch of the gram panchayat as provided in that section. (2) Subject to the provisions of this Act, the administration of the village shall vest in the gram-panchayat, but the gram panchayat shall not be entitled to exercise functions expressly assigned by or under this Act or any other law to its sarpanch or executive authority, or to any other local authority or other authority. (3) Every gram panchayat shall be a body corporate by the name of the village specified in the notification issued under section 3, shall have perpetual succession and a common seal, and subject to any restriction or qualification imposed by or under this Act or any other law, shall be vested with the capacity of suing or being sued in its corporate name, of acquiring, holding and transferring property, of entering into contracts, and of doing all things necessary, proper or expedient for the purposes for which it is constituted.

(1) The Government may declare, by a notification in the Andhra Pradesh Gazette, a village or any other area to be a township if it is an industrial or institutional colony, a labour colony, a project area, a health resort or a place of religious importance. (2) If the area declared as township under sub-section (1) comprises a village or forms part of a village, the Commissioner shall, under sub-section (2) of section 3, cancel the notification issued under sub-section (1) of that section in respect of such village, or as the case may be, exclude such part from the village. (3) In regard to any area other than a place of religious importance declared to be a township, the Government shall, by notification in the Andhra Pradesh Gazette constitute a township committee, which shall consist of a Chairperson to be nominated by the Government and the following official and non-official members, namely:- A. OFFICIAL MEMBERS (i) in regard to a township constituted for an industrial or institutional colony, labour colony, project area or health resort, the highest official representing the industry, institution, project or health resort concerned; (ii)the Chief Executive Authority of the Zilla Praja Parishad concerned; (iii) the Divisional Engineer, Electricity Board, in whose jurisdiction the township is located; (iv) the Executive Engineer, Panchayat Raj, of the Division in which the township is located; and (v) an officer of the Tourism Department wherever necessary and in other cases an official representing the management of the industry, institution, project or health resort concerned as may be nominated by the Government; and B. NON-OFFICIAL MEMBERS (i) the Member of the Lok Sabha in whose constituency the township is located; (ii) the Member or Members of the Legislative Assembly in whose constituency the township is located; (iii) one woman member, who is a registered voter in the township to be nominated by the Government; and (iv) two persons who are registered voters in the township, other than those persons specified in items (i) to (iii) and who are specially qualified to assist and advise the Township Committee on its various activities to be nominated by the Government: Provided that one of the Members to be nominated under this clause shall be a member belonging to the Scheduled Castes or Scheduled Tribes. (4) The Chairperson and the non-official members of the Committee under items (iii) and(iv) of sub-section (3) shall hold office during the pleasure of the Government and the official members and non-official members under items (i) and (ii) of sub-section (3) shall hold office so long as they hold their respective offices. (5) A notification issued by the Government under sub-section (3) may direct that any functions vested in a gram panchayat by or under this Act shall be transferred to and performed by the township committee and shall provide for- (i) the restrictions and conditions subject to which the township committee may perform its functions; and (ii) any other matter incidental to, or connected with, the transfer of the functions of a gram panchayat to the township committee including the apportionment of the revenues between the township committee and the gram panchayat concerned or any contributions or compensation that shall be paid by the township committee to the gram panchayat concerned. (6) Every township committee shall, in regard to the conduct of its business, follow such procedure as may be prescribed. (7) The Government may, by notification in the Andhra Pradesh Gazette direct that any of the provisions of this Act or of the law relating to municipalities for the time being in force, or of any rules made thereunder or of any other enactment for the time being in force elsewhere in the State but not in the village or local area of specified part thereof referred to in sub-section (1) shall apply to that village, local area or part to such extent and subject to such modifications, additions and restrictions as may be specified in the notification.

(1) There shall come into existence a gram sabha for every village on the date of publication of notification under section 3. (2) A gram sabha shall consist of all persons whose names are included in the electoral roll for the gram panchayat referred to in section 4 and such persons shall be deemed to be the members of the gram sabha. (3) The gram sabha shall meet atleast twice in every year on such date and at such place and time as may be prescribed to consider the following matters which shall be placed before it by the gram panchayat, namely:- (i) annual statement of accounts and audit report; (ii) report on the administration of the preceding year; (iii) programme of works for the year or any new programme not covered by the budget or the annual programme; (iv) proposals for fresh taxation or for enhancement of existing taxes; (v) selection of schemes, beneficiaries and locations; and (vi) such other matter as may be prescribed. The gram panchayat shall give due consideration to the suggestions, if any, of the gram sabha. (4) The gram sabha shall observe such rules of procedure at its meetings as may be prescribed. (5) Every meeting of the Gramsabha within 10 days from the date prescribed under sub-section (3) shall be convened and presided over by the Sarpanch or in his absence by theUpaSarpanch of the Gram Panchayat.

Total strength of a Gram Panchayat (1) A gram panchayat shall consist of such number of elected members inclusive of its Sarpanch as may be notified from time to time, by the Commissioner in accordance with the following Table:- TABLE Gram Panchayat with a Population at the Last Census Number of members (1) (2) Upto 300 5 Exceeding 300 but not exceeding 500 7 Exceeding 500 but not exceeding 1,500 9 Exceeding 1,500 but not exceeding 3,000 11 Exceeding 3,000 but not exceeding 5,000 13 Exceeding 5,000 but not exceeding 15 (2) The Member of the Mandal Praja Parishad Territorial Constituency shall be permanent invitee to the meetings of Gram Panchayats and he shall have the right to speak in and otherwise to take part in the proceedings of any meeting of the Gram Panchayat or Gram Panchayats functioning within the local limits of the respective jurisdiction; but shall not, by virtue of this section be entitled to vote at any such meeting. (3) One representative from each category of Self Help Group/Functional Group to be elected in a meeting of the Self Help Group/Functional Group, which shall be presided over by the Sarpanch for co-option in the manner prescribed. They shall have the right to speak in and otherwise to take part in Proceeding of any meeting but they shall not be entitled to vote at any such meeting.

Election of Members All members of the gram panchayat shall be elected by the registered voters in the ward by the method of secret ballot and in accordance with such rules as may be made in this behalf.

(1) In every Gram Panchayat, out of the total strength of elected members determined under section 7, the Commissioner shall, subject to such rules as may be prescribed, by notification, reserve - (a) such number of seats to the Scheduled Castes and Scheduled Tribes as may be determined by him, subject to the condition that the number of seats so reserved shall bear, as nearly as may be, the same proportion to the total number of seats to be filled by direct election to the gram panchayat, as the population of the Scheduled Castes, or as the case may be, Scheduled Tribes in that village bears to the total population of that village, and such seats may be allotted by rotation to different wards in a gram panchayat; Provided that in the Tribal Habitations / Tribal Thandas with 100% Scheduled Tribes Population constituted as villages, all the wards of such villages shall be reserved for Scheduled Tribes only. (b) [XXXX] (c) not less than one-third of the total number of seats reserved under clause (a) and sub-section (1A) for women belonging to the Scheduled Castes, Scheduled Tribes or as the case may be, the backward classes; (d) not less than one-third (including the number of seats reserved for women belonging to the Scheduled Castes, Scheduled Tribes and backward classes) of the total number of seats to be filled by direct election to every gram panchayat shall be reserved for women and such seats may be allotted by rotation to different wards in a Gram Panchayat. (1A) In addition to the reservation of seats under sub-section (1), there shall be reserved for the Backward Classes such a number of seats as may be allocated to them in each Gram Panchayat in the manner prescribed; so however that the number of offices of members of Gram Panchayats in the State reserved for Backward Classes shall not be less than thirty-four per cent of the total number of offices of the members of Gram Panchayats in the State. The number of seats allocated to each Gram Panchayat shall be allotted by rotation to different wards in the Gram Panchayat: Provided that it shall be competent for the Government to make special provision with regard to the manner and quantum of seats to be reserved for Backward Classes in the Gram Panchayats situated in the Scheduled areas, by rules made in this behalf. (2) Nothing in sub-sections (1) and (1A) shall be deemed to prevent women and Members of the Scheduled Castes, Scheduled Tribes or backward classes from standing for election to the non-reserved seats in the gram panchayat.

Division of wards For the purpose of electing members to a gram panchayat, the Commissioner shall, subject to such rules as may be prescribed divide the village into as many wards as there are seats, determined under section 7, on a territorial basis in such a manner that all wards shall have, as far as practicable, equal number of voters and allot not more than one seat for each ward.

(1) The electoral roll for gram panchayat shall be prepared by the person authorised by the Andhra Pradesh Election Commissioner for Local Bodies in such manner by reference to such qualifying date as may be prescribed and the electoral roll for the gram panchayat shall come into force immediately upon its publication in accordance with the rules made by the Government in this behalf. The electoral roll for the gram panchayat shall consist of such part of the electoral roll for the Assembly Constituency published under the Representation of the People Act, 1950 (Central Act 43 of 1950) as revised or amended under the said Act, upto the qualifying date, as relates to the village or any portion thereof: Provided that any amendment, transposition or deletion of any entries in the electoral roll, or any inclusion of names in the electoral roll of the Assembly Constituencies concerned, made by the Electoral Registration Officer under section 22 or section 23, as the case may be, of the Representation of the People Act, 1950 (Central Act 43 of 1950), up to the date of election notification, for any election held under this Act, shall be carried out in the electoral roll of the Gram Panchayat and any such names included shall be added to the part relating to the last ward Explanation - Where in the case of any Assembly Constituency there is no distinct part of the electoral roll relating to the village, all persons whose names are entered in such roll under the registration area comprising the village and whose addresses as entered are situated in the village shall be entitled to be included in the electoral roll for the gram panchayat prepared for the purposes of this Act. (2) The electoral roll for a Gram Panchayat- (a) shall be prepared and published in the prescribed manner by reference to the qualifying date,- (i) before each ordinary election; and (ii) before each casual election to fill a casual vacancy in the office of the Sarpanch and Member of a Gram Panchayat; and (b) shall be prepared and published in any year, in the prescribed manner, by reference to the qualifying date, if so directed by the State Election Commission: Provided that if the electoral roll is not prepared and published as aforesaid, the validity, or continued operation of the said electoral roll, shall not thereby be affected. (3) The electoral roll published under sub-section (1) shall be the electoral roll for the gram panchayat and it shall remain in force till a fresh electoral roll for the gram panchayat is published under this section. (4) The electoral roll for the gram panchayat shall be divided into as many parts as there are wards so that each part consists of the voters residing in the concerned ward and for this purpose the electoral roll may be rearranged if such rearrangement is found necessary. (5) Every person whose name appears in the part of the electoral roll relating to a ward shall subject to the other provisions of this Act, be entitled to vote at any election which takes place in that ward while the electoral roll remains in force and no person whose name does not appear in such part of the electoral roll shall vote at any such election. (6) No person shall vote at an election under this Act in more than one ward or more than once in the same ward and if he does so, all his votes shall be invalid. Explanation - In this section, the expression 'Assembly Constituency' shall mean a constituency provided by law for the purpose of elections to the Andhra Pradesh Legislative Assembly.

Rearrangement and republication of electoral rolls Where, after the electoral roll for the Gram Panchayat has been published under sub-section (1) of section 11, the village is divided into wards for the first time or the division of the village into wards is altered or the limits of the village are varied, the person authorised by the Andhra Pradesh Election Commissioner for Local Bodies in this behalf shall in order to give effect to the division of the village into wards or to the alteration of the wards, or to the variation of the limits, as the case may be, authorise are-arrangement and re-publication of the electoral roll for the Gram Panchayat or any part of such roll in such manner, as the Andhra Pradesh Election Commissioner for Local Bodies may direct.

(1) Save as otherwise provided in this Act the term of office of members elected at ordinary elections shall be five years from the date appointed by the Commissioner for the first meeting of the gram panchayat after the ordinary elections. (2) Ordinary vacancies in the office of elected members shall be filled at ordinary elections which shall be fixed by the State Election Commission to take place on such day or days within three months before the occurrence of the vacancies, as he thinks fit: Provided that the Andhra Pradesh Election Commissioner for Local Bodies may, for sufficient reasons to be recorded in writing, direct from time to time, the postponement or alteration of the date of an ordinary election or any stage thereof within the period of three months aforesaid and the election authority shall give effect to such direction. (3)(a) Every casual vacancy in the office of an elected member of a gram panchayat shall be reported by the executive authority to the election authority within fifteen days from the date of occurrence of such vacancy and shall be filled within four months from that date. (b) A member elected in a casual vacancy shall enter upon office forthwith but shall hold office only so long as the member in whose place he is elected would have been entitled to hold office if the vacancy had not occurred. (c) No casual election shall be held to a gram panchayat within six months before the date on which the term of office of its members expires by efflux of time.

Election and term of office of Sarpanch (1) There shall be a Sarpanch for every gram panchayat, who shall be elected in the prescribed manner by the persons whose names appear in the electoral roll for the gram panchayat, from among themselves. A person shall not be qualified to stand for election as Sarpanch, unless he is not less than twenty-one years of age: Provided that a Member of the Legislative Assembly of the State or of either House of Parliament who is elected to the office of Sarpanch or Upa-Sarpanch shall cease to hold such office unless within one month from the date of election to such office he ceases to be a Member of the Legislative Assembly of the State or of either House of Parliament by resignation or otherwise. (2) The election of the Sarpanch may be held at the same time and in the same place as the ordinary elections of the members of the gram panchayat. (3) Save as otherwise expressly provided in, or prescribed under this Act, the term of office of the Sarpanch who is elected at an ordinary election shall be five years from the date appointed by the election authority for the first meeting of the gram panchayat after the ordinary election. (4) Subject to the provisions of sub-section (5), any casual vacancy in the office of the Sarpanch shall be filled within one hundred and twenty days from the date of occurrence of such vacancy, by a fresh election under sub-section (1); and a person elected as Sarpanch in any such vacancy shall hold office only so long as the person in whose place he is elected would have been entitled to hold office if the vacancy had not occurred. (5) Unless the Commissioner otherwise directs, no casual vacancy in the office of the Sarpanch shall be filled within six months before the date on which the ordinary election of the Sarpanch under sub-section (1) is due. (6) The provisions of sections 18 to 22 shall apply in relation to the office of the Sarpanch as they apply in relation to the office of an elected member of the gram panchayat. (7) The Sarpanch shall be an ex-officio member of the gram panchayat and shall be entitled to vote at meetings of the gram panchayat. (8) A person shall be disqualified for election as Sarpanch if he is in arrears of any dues, other-wise than in a fiduciary capacity to a Mandal Praja Parishad, or if he is interested in a subsisting contract made with or any work being done for, the Mandal Praja Parishad within whose jurisdiction the gram panchayat is situated or any other gram panchayat within the jurisdiction of that Mandal Praja Parishad; Provided that a person shall not be deemed to have any interest in such contract or work by reason only of his having a share or interest in,- (i) a company as a mere shareholder but not as a director; or (ii) any lease, sale or purchase of immovable property or any agreement for the same; or (iii) any agreement for the loan of money or any security for the payment of money only;or (iv) any newspaper in which any advertisement relating to the affairs of any of the aforesaid gram panchayat is inserted. Explanation - For the removal of doubts it is hereby declared that where a contract is fully performed it shall not be deemed to be subsisting merely on the ground that the Mandal Praja Parishad has not performed its part of the contractual obligation. (9) For every gram panchayat, one of the members shall be elected to be Upa-Sarpanch by the gram panchayat, in the prescribed manner. If at an election held for the purpose, no Upa-Sarpanch is elected fresh election shall be held: Provided that before an election of Upa-Sarpanch is held, every casual vacancy in the office of an elected member of a gram panchayat shall be filled. (10) A special meeting for the election of the Upa-Sarpanch shall be called on the same date on which the results of the ordinary elections to the gram panchayat have been published. The notice of the meeting for election of Upa-Sarpanch shall be given to the members so elected by affixture of the same on the notice board at the office of the gram panchayat, immediately after such publication: Provided that if, for any reason, the election of the Upa-Sarpanch is not held on the date aforesaid the special meeting for the election of the Upa-Sarpanch shall be held on the next day, whether or not it is a holiday observed by the gram panchayat: Provided further that the Andhra Pradesh Election Commission for Local Bodies may, from time to time, for reasons to be recorded in writing direct or permit the holding of the election of the Upa-Sarpanch on any other day.

Reservation of Office of Sarpanch (1) Out of total number of offices of Sarpanch in the State, the Commissioner shall, subject to such rules as may be prescribed, by notification reserve,- (a) such number of offices to the Scheduled Castes and Scheduled Tribes as may be determined by him, subject to the condition that the number of offices so reserved shall bear, as nearly as may be, the same proportion to the total number of offices to be filled in the State as the population of the Scheduled Castes or as the case may be Scheduled Tribes in the State bears to the total population of the State; and such seats may be allotted by rotation to different gram panchayats in the State; Provided that in the Tribal Habitations / Tribal Thandas with 100% Scheduled Tribes Population constituted as villages, all the Offices of Sarpanch of such villages shall be reserved for Scheduled Tribes only. (b) [XXXX] (c) not less than one-third of the total number of offices reserved under clauses (a) and sub-secton (2) for women belonging to the Scheduled Castes, Scheduled Tribes, or as the case may be, backward classes; and (d) not less than one-third (including the number of offices reserved for women belonging to the Scheduled Castes, Scheduled Tribes and the backward classes) of the total number of offices to be filled in the State; for women; and such offices may be allotted by rotation to different gram panchayats in the State. (2) In addition to the reservation of offices of Sarpanch under sub-section (1), there shall be reserved for the Backward Classes such number of Offices of Sarpanch as may be allocated to them in each Mandal in the manner prescribed; so, however, that the number of Offices or Sarpanchas in the State reserved for Backward Classes shall not be less than thirty-four percent of the total number of offices of Sarpanchas of Gram Panchayats in the State. The number of offices of Sarpanchas allocated for reservation to each Mandal shall be allotted by rotation to different Gram Panchayats in the Mandal: Provided that it shall be competent for the Government to make special provision with regard to the manner and quantum of seats to be reserved for Backward Classes in the Gram Panchayats situated in the Scheduled areas, by rules made in this behalf.

Fresh elections in certain cases (1) If at an ordinary or casual election, no person is elected to fill a vacancy, a fresh election shall be held on such day as the officer or authority authorised by the Andhra Pradesh Election Commissioner for Local Bodies in this behalf, may fix. (2) The term of office of a member of a gram panchayat elected under this section shall expire at the time at which it would have expired if he had been elected at the ordinary or casual election, as the case may be.

Qualifications of candidates No person shall be qualified for election as a member of a gram panchayat unless his name appears on its electoral roll and he is not less than twenty-one years of age.

Disqualification of certain office holders etc. (1) No village servant and no officer or servant of the Government of India or any State Government or of a local authority or an employee of any institution receiving aid from the funds of the Government and no office bearer of anybody constituted under a law made by the Legislature of the State or of Parliament shall be qualified for being chosen as or for being a member of a gram panchayat. Explanation:- For the purpose of this section the expression "village servant" means in relation to,- (i) the Andhra Area, any person who holds any of the village offices of neeraganti, neeradi, vetti, kawalkar toti, talayar, tandalagar, sathsindi or any such village office by whatever designation it may be locally known; (ii) the Telangana Area, any person who holds any of the village offices of neeradi, kawalkar, sathsindhi or any such village office by whatever designation it may be locally known. (2) A person who having held an office under the Government of India or under the Government of any State or under any local authority has been dismissed for corruption or for disloyality to the State or to the local authority shall be disqualified for a period of five years from the date of such dismissal. (3) For the purpose of sub-section (2), a certificate issued by the Andhra Pradesh Election Commissioner for Local Bodies to the effect that a person having held office under the Government of India or under the Government of State or under any local authority has or has not been dismissed for corruption or for disloyalty to the State or to the local authority shall be conclusive proof of that fact: Provided that no certificate to the effect that a person has been dismissed for corruption or for disloyalty to the State or to the local authority shall be issued unless an opportunity of being heard has been given to the said person. (4) [XXXX] (5) Apart from the disqualifications specified in sub-sections (1) and (2) of this section and sections 19 and 20, a person shall be disqualified for being chosen as, and for being, a member of a gram panchayat if he is otherwise disqualified by or under any law for the time being in force for the purposes of elections to the Legislature of the State: Provided that no person shall be disqualified on the ground that he is less than twenty-five years of age, if he has attained the age of twenty-one years: Provided further that where a person is convicted for an offence specified under sub-section (1) or sub-section (2) of section 8 of the Representation of People Act, 1951, (Central Act 43 of 1951), or under section 19 of this Act, while he is a member or office bearer of a gram panchayat, [Mandal Praja Parishad] or [Zilla Praja Parishad], the disqualification arising out of such conviction shall not take effect until the expiry of the time for filing an appeal against such conviction and where an appeal is filed until the disposal of the appeal: Provided also that a person convicted for an offence under sub-section (1) of section 8 of the Representation of People Act, 1951 (Central Act 43 of 1951) shall be disqualified for being chosen as or for continuing as a member of a gram panchayat, [Mandal Praja Parishad] or a [Zilla Praja Parishad] for a period of six years from the date of conviction and a person convicted under sub-section (2) thereof shall be disqualified for a period of six years from the date of conviction and for a further period of five years from the date of release.

Disqualification of candidates (1) A person who has been convicted by a Criminal Court,- (a) for an offence under the Protection of Civil Rights Act, 1955 (Central Act 22 of 1955); or (b) for an offence involving moral delinquency; shall be disqualified for election as a Member for a period of five years from the date of conviction or where he is sentenced to imprisonment while undergoing sentence and after a period of five years from the date of expiration thereof. (2) A person shall be disqualified for being chosen as a member if on the date fixed for scrutiny of nominations for election, or on the date of nomination under sub-section (2) of section 16 he is - (a) of unsound mind and stands so declared by a competent court; (b) a deaf-mute [XXXX]; (c) an applicant to be adjudicated an insolvent or an undischarged insolvent; (d) interested in a subsisting contract made with, or any work being done for, the gram panchayat, [Mandal Praja Parishad], [Zilla Praja Parishad] or any State or Central Government: Provided that a person shall not be deemed to have any interest in such contract or work by reason only of his having a share or interest in. (i) a company as a mere shareholder but not as a director; (ii) any lease, sale or purchase of immovable property or any agreement for the same; or (iii) any agreement for the loan of money or any security for the payment of money only;or (iv) any newspaper in which any advertisement relating to the affairs of the gram panchayat is inserted; Explanation:- For the removal of doubts it is hereby declared that where a contract is fully performed it shall not be deemed to be subsisting merely on the ground that the gram panchayat, [Mandal Praja Parishad], [Zilla Praja Parishad], the State or Central Government has not performed its part of the contractual obligations; (dd) already a member of a Nagar Panchayat or a Municipality constituted under the Andhra Pradesh Municipalities Act, 1965 (Act VI of 1965) or a member of a Municipal Corporation constituted under any law relating to Municipal Corporations for the time being in force in the State of Andhra Pradesh; (e) employed as paid legal practitioner on behalf of the gram panchayat or as legal practitioner against the gram panchayat; (f) employed as a [XXXX], manager or secretary of any Company or Corporation (other than a co-operative society) in which not less than twenty-five per cent of the paid up share capital is held by the State Government; (g) an honorary Magistrate under the Code of Criminal Procedure, 1973 (Central Act 2 of 1974) with jurisdiction over any part of the village; (h) already a member of the gram panchayat whose term of office will not expire before his fresh election can take effect or has already been elected as a member of the gram panchayat whose term of office has not yet commenced; (i) in arrears of any dues including the sums surcharged otherwise than in a fiduciary capacity, to the gram panchayat upto and inclusive of the previous year, in respect of which a bill or notice has been duly served upon him and the time, if any, specified therein for payment has expired: Provided that where any person has paid such dues into the Government treasury or into a bank approved by the Government to the credit of the gram panchayat fund and obtained a challan or receipt therefor in token of such payment, he shall not be disqualified to become a member of the gram panchayat on and from the date of such payment. (3) A person having more than two children shall be disqualified for election or for continuing as member: Provided that the birth within one year from the date of commencement of the Andhra Pradesh Panchayat Raj Act, 1994 hereinafter in this clause referred to as the date of such commencement, of an additional child shall not be taken into consideration for the purposes of this clause: Provided further that a person having more than two children (excluding the child if any born within one year from the date of such commencement) shall not be disqualified under this clause for so long as the number of children he had on the date of such commencement does not increase: Provided also that the Government may direct that the disqualification in this section shall not apply in respect of a person for reasons to be recorded in writing.

Diaqualification on ground of corrupt practice or election offences Any person who is convicted of any offence punishable under Chapter IX A of the Indian Penal Code, 1860(Central Act 45 of 1860), and any person against whom a finding of having indulged in any corrupt practice is recorded in the verdict in an election petition filed in accordance with section 233, or any person convicted of an offence punishable under Chapter II of Part V of this Act, shall be disqualified for contesting in any election held under this Act, for a period of six years from the date of such conviction or verdict, as the case may be. Provided that such convicted person shall cease to hold office in case he is already elected.

If the State Election Commission is satisfied that a person- (a) has failed to lodge an account of election expenses within the time and in the manner required by or under this Act, and (b) has no good reason or justification for the failure, the State Election Commission shall, after following the procedure prescribed, by order published in the Andhra Pradesh Gazette, declare him:- (i) to be ineligible for a period of three years from the date of the said order to contest any election held for any office under this Act; and (ii) to have ceased to hold office; in case he is elected.

Disqualification of members subject to the provisions of section 22, a member shall cease to hold office as such if he- (a) is or becomes subject to any of the disqualifications specified in section 19; (aa) is elected as a member to a Ward/Office reserved for Scheduled Castes or Scheduled Tribes or Backward Classes on the basis of a community certificate and subsequently the said community certificate is cancelled under section 5 of the Andhra Pradesh (Scheduled Castes, Scheduled Tribes and Backward Classes) Regulation of issue of Community Certificates Act, 1993 (Act 16 of 1993). (b) absents himself from the meetings of the gram panchayat for a period of ninety days, reckoned from the date of the commencement of his term of office, or of the last meeting which he attended, or of his restoration to office as member under sub-section (1) of section 21, as the case may be, or if within the said period, less than three ordinary meetings have been held, absents himself from three consecutive ordinary meetings held after the said date: Provided that in the case of a woman member, a period of not more than four months at a time shall be excluded in reckoning the period of absence aforesaid, if for reasons of physical disability due to advanced stage of pregnancy and delivery, such member absents herself from meetings after giving a written

Disqualification of Sarpanch or Upa-Sarpanch for failure to convene the meetings of Gram Sabha

Disqualification of Sarpanch or Upa-Sarpanch for failure to close audit of the accounts

(1) Where a person ceased to be a member under section 18 or clause (a) of section 20 read with section 19, he shall be restored to office for such portion of the period for which he was elected as may remain unexpired at the date of such restoration, if and when the conviction or the sentence is annulled on appeal or revision or the disqualification caused by the sentence is removed by an order of the Government; and any person elected to fill the vacancy in the interim shall, on such restoration, vacate office. (2) Where a person incurs the disqualification specified under clause (b) of section 20, the executive authority shall forthwith send a report in that regard to the District Panchayat Officer concerned, who shall, on satisfying himself after due verification, that the person has ex-facie ceased to be a member, intimate that fact by registered post to the member concerned and report the same to the gram panchayat forthwith. If such member applies for restoration of his membership to the gram panchayat within thirty days of the receipt by him of such intimation, he shall be deemed to have been restored to his membership and the executive authority shall report the fact of such restoration to the gram panchayat at its next meeting: Provided that a member who is so restored to his membership again incurs the disqualification under the said clause (b), the gram panchayat may, on his application for restoration filed within a period of thirty days of the receipt by him of the intimation from the District Panchayat Officer regarding the disqualification restore him to his membership.

Authority to decide questions of disqualifications of members (1) Where an allegation is made that any person who is elected as a member of a gram panchayat is not qualified or has become disqualified under section 17, section 18, section 19 or section 20 by any voter or authority to the executive authority in writing and the executive authority has given intimation of such allegation to the member through the District Panchayat Officer and such member disputes the correctness of the allegation so made, or where any member himself entertains any doubt whether or not he has become disqualified under any of those sections, such member or any other member may, and the executive authority, at the direction of the gram panchayat or the Commissioner shall, within a period of two months from the date on which such intimation is given or doubt is entertained, as the case may be, apply to the District Court having jurisdiction over the area in which the office of the gram panchayat is situated for decision. (2) Pending such decision, the member shall be entitled to act as if he is qualified or were not disqualified. (3) Where a person ceases to be the Sarpanch or Upa-Sarpanch of a gram panchayat as a consequence of his ceasing to be a member of the gram panchayat under clause (b) of section 20 and is restored later to his membership of the gram panchayat under sub-section (2) of section 21, he shall with effect from the date of such restoration, be deemed to have been restored also to the office of Sarpanch or Upa-Sarpanch, as the case may be.

(1) The Sarpanch, Upa-Sarpanch or any member may resign his office in the manner prescribed. (2) (a) Notwithstanding that the resignation of a person from the office of Sarpanch has taken effect under sub-section (1), the Commissioner may by notification record a finding, with reasons therefor, that such person is guilty of wilful omission or refusal to carry out, or disobedience of, the provisions of the Act or any rules, bye-laws, regulations or lawful orders made thereunder or abuse of the powers vested in him, while he held the office of Sarpanch: Provided that the Commissioner shall, before issuing such notification give the person concerned an opportunity for explanation: Provided further that no action under this clause shall be taken after the expiration of one year from the date on which the resignation has taken effect. (b) A person aggrieved by the notification issued under clause (a) may, within thirty days from the date of publication of such notification prefer an appeal to the Government and the Government shall in case the appeal is allowed, cancel such notification. (c) A person in respect of whom a notification was issued under clause (a) shall, unless the notification is cancelled under clause (b), be ineligible for election as Sarpanch for a period of three years from the date of publication of such notification.

The Upa-Sarpanch shall cease to hold the office as such on the expiry of his term of office as a member of the gram panchayat or on his otherwise ceasing to be such member.

Powers and functions of the Sarpanch Save as otherwise provided by or under this Act, the Sarpanch shall,- (a) make arrangements for the elections of the Upa-Sarpanch within one month from the date of occurrence of the Vacancy; (b) have full access to the records of the gram panchayat; (c) exercise administrative control over the Executive Authority, if there is one, for the purpose of implementation of the resolutions of the gram panchayat or any committee thereof; (d) exercise all the powers and perform all the functions specifically conferred or imposed on the Sarpanch by this Act or the rules made thereunder; (e) have power to require any Executive Authority of any village within the jurisdiction of the gram panchayat to furnish any information on any matter falling within such categories as may be prescribed in respect of such village or any person or property therein, required for the purpose of this Act; (f) intimate to the District Panchayat Officer, every case where any member has incurred any disqualification under sections 16 to 20; and (g) act only within the terms of sanction given in any resolution of the gram panchayat. (h) maintain sanitation in the village; (i) take up plantation and maintain Green coverage in the village; (j) for the purpose of effective functioning of the Gram Panchayat, the Sarpanch shall reside in the village and visit the Gram Panchayat office regularly.

Devolution and delegation of Sarpanch's powers and functions and filling up of vacancies in the office of Sarpanch (1) When the office of Sarpanch is vacant, the Upa-Sarpanch shall exercise the powers and perform the functions of the Sarpanch until a new Sarpanch is declared elected and assumes office. (2) If the Sarpanch has been continuously absent from jurisdiction for more than fifteen days or is restrained by an order of a Court from exercising the powers and performing the functions of the Sarpanch, or is incapacitated for more than fifteen days, his powers and functions during such absence, restraint or incapacity shall devolve on the Upa-Sarpanch. (3) When the Sarpanch is under suspension or when the office of Sarpanch is vacant or the Sarpanch has been continuously absent from jurisdiction for more than fifteen days or is restrained by an order of a Court from exercising the powers and performing the functions of the Sarpanch or is incapacitated for more than fifteen days and the Upa-Sarpanch also is under suspension or there is either a vacancy in the office of Upa-Sarpanch or the Upa-Sarpanch has been continuously absent from jurisdiction for more than fifteen days or is restrained by an order of a Court from exercising the powers and performing the functions of the Upa-Sarpanch or is incapacitated for more than fifteen days, the powers and functions of the Sarpanch shall devolve on a member of gram panchayat appointed by the Commissioner in this behalf. The member so appointed shall be styled as the temporary Sarpanch and he shall exercise the powers and perform the functions of the Sarpanch until a new Sarpanch or Upa-Sarpanch is declared elected or either the Sarpanch or the Upa-Sarpanch ceases to be under suspension or returns to jurisdiction or ceases to be restrained by an order of a Court or recovers from his incapacity, as the case may be. (4) The Upa-Sarpanch or the temporary Sarpanch appointed under sub-section (3) shall report to the District Panchayat Officer, any vacancy in the office of Sarpanch within one month from the date of occurrence of such vacancy. (5) Subject to such rules as may be prescribed, the Sarpanch may, by an order in writing, delegate any of his powers and functions, with such restrictions and conditions as may be specified in the order, to the Upa-Sarpanch or in case there is a vacancy in the office of Upa-Sarpanch or the (6) The reference to the powers and functions of Sarpanch in sub-sections (1), (2), (3) and (5) shall, where he is also the executive authority, be deemed to include a reference to his powers and functions as executive authority. (7) The exercise of any powers or the performance of any functions devolving on the Upa-Sarpanch under sub-section (2) or delegated to the Upa-Sarpanch or any member under sub-section (5), shall be subject to the control and revision by the Sarpanch.

The Commissioner may, by order, for sufficient cause to be specified therein, remove the temporary Sarpanch appointed under sub-section (3) of section 26 after giving him an opportunity to show cause against such removal.

Rights of individual members (1) Any member may call the attention of the executive authority to any neglect in the execution of gram panchayat work, to any waste of gram panchayat property or to the wants of any locality and may suggest any improvements which may appear desirable and thereupon the executive authority, shall explain at the next meeting of the gram panchayat, the action, if any, that has been taken or is proposed to be taken with reference to, the matter to which attention has been called, or the improvements suggested by the member. (2) Every member shall have the right to move resolutions and to interpellate the Sarpanch on matters connected with the administration of the gram panchayat, subject to such rules as may be prescribed. (3) Every member shall have access during office hours to the records of the gram panchayat after giving due notice to the executive authority, provided that the executive authority, may, for reasons given in writing, forbid such access: Provided that the member who has been denied such access may prefer an appeal to the Extension Officer (Panchayats) whose decision thereon shall be final.

No Sarpanch, Upa-Sarpanch or member shall receive, or be paid from the funds at the disposal of or under the control of the gram panchayat, any salary or other remuneration for services rendered by him whether in his capacity as such or in any other capacity. Nothing in this section shall prevent the Sarpanch from receiving any honorarium fixed by order, by the Government.

Appointment of Executive Authoritysfor certain Gram Panchayats (1) A whole time or a part-time Executive Authority shall be appointed by the Commissioner for any gram panchayat or for any group of contiguous gram panchayats which may be notified by him in this behalf: Provided that before notifying a group of gram panchayats under this sub-section, the Commissioner shall obtain the approval of the Government. (2) In the case of every gram panchayat not so notified and also in the case of any gram panchayat so notified if there is no Executive Authority incharge, the Sarpanch of the gram panchayat shall, subject to such rules as may be prescribed, exercise the powers and perform the functions of the Executive Authority. (3) Save as otherwise prescribed, no Executive Authority appointed under sub-section (1) shall undertake any work unconnected with his office without the sanction of the Government. (4) The Executive Authority shall be subordinate to the gram panchayat.

Functions of Executive Authority (1) The Panchayat Secretary, with the approval of, or on the direction of the Sarpanch, convene the meetings of the Gram Panchayat so that atleast one meeting of the Gram Panchayat is held every month and if he fails to discharge that duty, with the result that no meeting of the Gram Panchayat is held within a period of ninety days from the last meeting he shall be liable to disciplinary action under the relevant rules: Provided that where the Sarpanch fails to give his approval for convening the meeting so as to hold a meeting within the period of ninety days aforesaid, the Panchayat Secretary shall himself convene the meeting in the manner prescribed. (2) The Executive Authority shall ordinarily attend to the meetings of the gram panchayat or of any committee thereof and shall be entitled to take part in the discussions thereat, but he shall not be entitled to vote or to move any resolution.

The executive authority shall, - (a) be responsible for implementing the resolutions of the gram panchayat and of the Committee thereof: Provided that where the executive authority considers that a resolution has not been legally passed or is in excess of the powers conferred by this Act or that if carried out, it is likely to endanger human life or health or the public safety, the executive authority shall,- (i) where he is the Sarpanch directly; (ii) where he is not the Sarpanch, through the Sarpanch, refer the matter to the Commissioner for orders, and his decision shall be final; (b) control all the officers and servants of the gram panchayat; (c) exercise all the powers and perform all the functions specifically conferred or imposed on the executive authority by or under this Act and subject to all restrictions and conditions imposed by or under this Act, exercise the executive power for the purpose of carrying out the provisions of this Act and be directly responsible for the due fulfilment of the purpose thereof.

In case of any disaster as defined in the Disaster Management Act, 2005 or in case of emergency, like fire accidents, epidemics, failure of drinking water supply, the Sarpanch, direct the execution of any work or the doing of any act which requires the sanction of the Gram Panchayat or any of its Committees and the immediate execution or the doing of which is, in his opinion, necessary for the service or safety of the general public, but he shall report the action taken under this section and the reasons thereof to the Panchayat, Gram Sabha and the concerned Committee at its next meeting: Provided that he shall not direct the execution of any work or the doing of any act in contravention of any order of the Government or exceed an amount prescribed by the Government or the expenditure shall not exceed an amount prescribed by the Government.

The Commissioner may, by general or special order, authorise the Health Officer of the District to exercise such of the functions of an executive authority under this Act in such area and subject to such restrictions and conditions and to such control and revision as may be specified in such order.

Subject to such restrictions and control as may be prescribed, the executive authority may, by an order in writing, delegate any of his functions as such,- (i) if he is the Sarpanch, to the Upa-Sarpanch and in the absence of the Upa-Sarpanch, to any other member; (ii) if he is not the Sarpanch, to the Sarpanch; in the absence of the Sarpanch to the Upa-Sarpanch and in the absence of both Sarpanch and the Upa-Sarpanch to any other member. The exercise or discharge of any functions so delegated shall be subject to such restrictions so and conditions as may be laid down by the executive authority and shall also be subject to his control and revision.

(1) Subject to such rules as may be made under the proviso to article 309 of the Constitution, the Government, shall fix and may alter the number, designations and grades of and the salaries, fees and allowances payable to such officers and other employees of a gram panchayat as may be prescribed. (2) The Government shall, pay out of the Consolidated Fund of the State, the salaries, allowances, leave allowances, pension and contributions if any towards provident fund or pension-cum-provident fund of the officers and other employees referred to in sub-section (1). (3) The classification and methods of recruitment, conditions of service, pay and allowances, and discipline and conduct of the officers and employees referred to in sub-section (1) shall be regulated in accordance with such rules as may be made under the proviso to article 309 of the Constitution. (4) Every holder of the post specified in sub-section (1), who is appointed immediately before the commencement of this Act, shall, notwithstanding anything in this Act, continue to hold such post, subject to such rules as may be made under the proviso to article 309 of the Constitution, and until provision in that behalf is so made, the law for the time being in force regulating the recruitment and conditions of service applicable to such holder immediately before such commencement shall continue to apply to such holder. (5) All officers and other employees of the gram panchayats shall be subordinate to the gram panchayat. (6) The Government may, from time to time by order, give such directions to any gram panchayat or any officer, authority or person thereof, as may appear to them to be necessary for the purpose of giving effect to the provisions of this section and section 30; and the gram panchayat, officer, authority or person shall comply with all such directions. (7) The provisions of this section shall also apply to the public health establishment of gram panchayats, notwithstanding anything in the Andhra Pradesh (Andhra Area) Public Health Act, 1939 (Act 3 of 1939) or any other law similar thereto for the time being in force in the State. (8) Subject to such rules as may be made under the proviso to article 309 of the Constitution the Commissioner may appoint such engineering and other staff as he considers necessary for the purposes of any gram panchayat or two or more gram panchayats.

Presidency at meetings Save as otherwise provided by or under this Act, every meeting of a gram panchayat shall be presided over by the Sarpanch, in his absence by the Upa-Sarpanch and in the absence of both Sarpanch and Upa-Sarpanch by a member chosen by the meeting to preside for occasion.

The minutes of the proceedings at every meeting of a gram panchayat shall be recorded and action taken thereon in the manner prescribed.

Power to call for records A gram panchayat or a committee thereof may, at any of its meetings, require the executive authority to furnish any document in his custody, in so far as such document relates to any of the subjects included in the agenda for such meeting and the executive authority shall comply with every such requisition.

Beneficiary committees and functional Committees (1) For every gram panchayat there shall be a Committee by name "Beneficiary Committee" for the execution of the works of the gram panchayat. The composition, including co-option of persons who are not members of the gram panchayat and the powers and functions and other related matters of the Beneficiary Committee, shall be such as may be prescribed. (2) For every gram panchayat there shall be constituted functional committees respectively for agriculture, public health, water supply, sanitation, family planning, education and communication and for any other purposes of this Act. (3) The constitution including co-option of persons who are not members of the gram panchayat and powers of a functional committee shall be in accordance with such rules as may be prescribed.

(1) The proceedings of every gram panchayat and of all committees thereof shall be governed by such rules as may be prescribed and by regulations, not inconsistent with such rules or the provisions of this Act, made by the gram panchayat with the approval of the Commissioner. (2) The Commissioner shall have power to add to, omit or alter any regulations submitted for his approval under sub-section (1). (3) The rules that may be prescribed under sub-section (1) may provide for preventing any member or Sarpanch or any member or Chairperson of a Committee from voting on, or taking part in the discussion of any matter in which apart from its general application to the public, he has any direct or indirect pecuniary interest whether by himself or through some other person, or from being present or presiding at any meeting of the gram panchayat or of the committee during the discussion of any such matter.

Appointment of Joint Committees A gram panchayat may, and if so required by the Government shall, join with one or more than one, other local authority in constituting a joint committee for any purpose in which they are interested or for any matter for which they are jointly interested or for any matter for which they are jointly responsible. The composition, powers and functions and other incidental and consequential matters shall be such as may be prescribed.

The executive authority of every gram panchayat shall prepare a report on its administration for each year, as soon as may be after the close of such year and not later than prescribed date, in such form and with such details as may be prescribed and place it before the gram panchayat for its consideration.

(1) The Commissioner shall supervise the administration of all gram panchayats in the State and shall also exercise the powers and perform the functions vested in him by or under this Act. (2) (a) The Government may appoint such other officers as they may consider necessary for the purpose of inspecting or superintending the operations of all or any of the gram panchayats constituted under this Act. (b) In particular and without prejudice to the generality of the foregoing provision, the Government may appoint District Panchayat Officers, Divisional Panchayat Officers and Extension Officers (Panchayats) and define the territorial jurisdiction of each such officer. (c) The Government shall have power to regulate the classification, methods of recruitment, conditions of service, salary and allowances and discipline and conduct of the officers referred to in clauses (a) and (b) and of the members of their establishment. (3) The cost of the officers and the members of the establishment aforesaid shall be paid out of the Consolidated Fund of the State. (4) The District Panchayat Officers, the Divisional Panchayat Officers and the Extension Officers (Panchayats) shall exercise such powers and perform such functions as may be prescribed, or as may be delegated to them under this Act. (5) The Commissioner or the District Collector or any officer appointed under sub-section (2) or any other officer or person whom the Government or the Commissioner or the District Collector may empower in this behalf, may enter on and inspect, or cause to be entered on and inspected,- (a) any immovable property or any work in progress under the control of any gram panchayat or Executive Authoritys; (b) any school, hospital, dispensary, vaccination station, choultry, or other institutions maintained, by or under the control of, any gram panchayat and any records, registers or other documents kept in such institution; (c) the office of any gram panchayat and any records, registers or other documents kept therein. Gram Panchayats and their Sarpanches, executive authorities, officers and servants shall be bound to afford to the officers and persons aforesaid, such access, at all reasonable times, to gram panchayat property or premises, and all documents as may, in the opinion of such officers or persons, subject to such rules as may be prescribed; be necessary to enable them to discharge their duties, under this section. (6) The Commissioner or any officer or person whom the Government, or the Commissioner may empower in this behalf may,- (a) direct the gram panchayat to make provision for and to execute or provide any public work or amenity or service of the description referred to in section 45; (b) call for any record, register or other document in the possession, or under the control, of any gram panchayat or executive authority; (c) require any gram panchayat, or executive authority to furnish any return, plan, estimate, statement, account or statistics; (d) require any gram panchayat, or executive authority to furnish any information or report on any matter connected with such gram panchayat; (e) record in writing for the consideration of any gram panchayat, or executive authority any observations in regard to its or his proceedings or functions.