Powers of officers acting on behalf of Panchayat and liability for payment of compensation

Powers of officers acting on behalf of Panchayat and liability for payment of compensation.—(1) The officers and servants of the Government or of any other local authority acting on behalf of a Panchayat under this Act shall, subject to such general or special orders as may be issued by the Director or the Government in this behalf, exercise such powers and perform such functions and discharge such duties as have been conferred or imposed on the executive authority or, as the case may be, the Panchayat under this Act.

1. (2) No suit, prosecution or other legal proceedings shall lie against any officer or servant of the Government or of any local authority for any damage or loss caused or likely to be caused by any act which is in good faith done or intended to be done in pursuance of this Act or of any rule or order made or issued thereunder.
2. (3) The Panchayat shall be liable for payment of compensation for any damage sustained by any person in consequence of the exercise of any powers by the officers or servants of the Government or any other local authority acting on its behalf under this Act: Provided that the Panchayat shall not be liable for the payment of compensation if the damage is caused by any act done in good faith by any officer or servant of the Government or any other local authority acting under this Act.