(1)The State Government, by notification, direct that, with effect from such date as may be specified in the notification, there shall be constituted a Panchayat Samiti for every Block in a District.(2)The Panchayat Samiti constituted under sub-section (1) shall save as otherwise provided in this Act have jurisdiction over the entire Block area excluding such portion of the Block area as is included in a Municipality or is under the authority of a Municipal Corporation, a Cantonment Board or a Notified Area Committee constituted under any law for the time being in force:Provided that a Panchayat Samiti may have its office in any area comprised within the excluded portion of the Block and in such area may exercise its powers and function over the property and institutions under its ownership, control or management :Provided further that the Panchayat Samitis already constituted under the Punjab Panchayat Samitis and Zila Parishads Act, 1961 shall be deemed to have been constituted under this Act.(3)Every Panchayat Samiti shall, by the name of the Block for which it is constituted, be a body corporate having perpetual succession and a common seal and subject to such restrictions as are imposed by or under this Act or any other law, shall be vested with the powers of suing or being sued in its corporate name, or acquiring, holding land, transferring property, movable or immovable, whether without or within the limits of the area over which it has authority, or entering into contracts and of doing all things, necessary, proper and expedient for the purpose, for which it is constituted.(4)When Panchayat Samiti is constituted for a Block under sub-section (1), and the Block is re-delimited, the State Government shall reconstitute a Panchayat Samiti for the re-delimited Block, under that sub-section.
