Power of Government to dissolve a Panchayati Raj Institution

If at any time Government is satisfied that a Panchayati Raj Institution is not competent to perform or persistently makes default in the performance of the duties imposed on it by or under this Act or otherwise by law, or have exceeded or abused its powers, the Government may by an order published, along with the reasons thereof, in the Official Gazette, declare the Panchayati Raj Institution to be incompetent or in default or to have exceeded or abused its powers, as the case may be, and may dissolve such Panchayati Raj Institution on and from a date to be specified in the order of dissolution : Provided that no action shall be taken under this sub-section unless the Panchayati Raj Institution has been afforded a reasonable opportunity of submitting an explanation and of being heard if the Panchayati Raj Institution so desires. Explanation – If for any reason the number of vacancies in a Panchayati Raj Institution exceeds two-third of the total number of seats, the Panchayati Raj Institution shall be deemed to be not competent to perform the duties imposed on it by or under this Act. Where there are persistant defaults by a Panchayat in the performance of its duties imposed under the Act or by any other law for the time being inforce, or in case of abuse of its powers or exercise of powers in excess of what is conferred or failure to carry out the orders of the state Govt. or the prescribed Authority, the State Govt or the prescribed authority may dissolve the Panchayat.