(1)If, in the opinion of the Government, a Village Panchayat is not competent to perform or persistently makes default in performing the duties imposed on it by law, or exceeds or abuses its powers, they may, by notification, direct that the Village Panchayat be dissolved with effect from a specified date and re-constituted with effect from a specified date which shall be within a period of six months from the date of such dissolution.(2)Before publishing a notification under sub-section (1), the Government shall communicate to the Village Panchayat, the grounds on which they propose to do so, fix a reasonable period for the Village Panchayat to show cause against the proposal and consider its explanations and objections, if any.(3)On the date fixed for the dissolution of a Village Panchayat under sub-section (1), all its members as well as its President and Vice-President shall, forthwith, be deemed to have vacated their offices as such and thereupon the provisions contained in the proviso to sub-section (2) of section 16 shall apply.(4)In case the President of a Village Panchayat which is dissolved under this section is a member of a Panchayat Union Council, he shall, with effect on and from the date of the dissolution, be deemed to have vacated his office as such member notwithstanding anything contained in section 22.(5)On the re-constitution of the Village Panchayat after the dissolution, the Government may pass such orders as they deem fit as to the transfer to the Village Panchayat from the Panchayat Union Council of the assets or institutions which were acquired by the Panchayat Union Council during the period of dissolution on behalf of the Village Panchayat and as to the discharge of the liabilities, if any, of such Village Panchayat relating to such assets or institutions.(6)In the case of a Village Panchayat re-constituted after dissolution, the elected member including the President shall enter upon their offices on the date fixed for its re-constitution and shall hold their offices only for the remainder of the period for which the dissolved Village Panchayat would have continued under sub-section (1) of section 9, had it not been dissolved.
