Liability of Sarpanch, President, Chairperson for loss, waste or misapplication of property.

(1) If, after giving the Sarpanch, Upa-Sarpanch, President, Vice-President, Chairperson, Vice-Chairperson or the Panchayat Secretary, the Mandal Parishad Development Officer, the Chief Executive Officer an opportunity of showing cause to the contrary, the Commissioner is satisfied that the loss, waste or misapplications of any money or other property owned by or vested in the Gram Panchayat, Mandal Praja Parishad, or as the case may be, the Zilla Praja Parishad is a direct consequence of misconduct or gross neglect, on the part of such person, the Commissioner may, by order in writing, direct such person to pay to the Gram Panchayat, Mandal Praja Parishad or as the case may be the Zilla Praja Parishad before the date fixed by him, the amount required to reimburse it for such loss, waste or misapplication, unless such person proves that he had acted in good faith.

(2) If the amount is not so paid, the Commissioner shall cause it to be recovered as arrears of land revenue and credited to the fund of the Gram Panchayat, Mandal Praja Parishad, or as the case may be, Zilla Praja Parishad.

(3) An appeal shall lie within thirty days from any decision of the Commissioner under this section to the Government whose decision thereon shall be final.