(1) When any Nyaya Panchayat is of opinion that any suit or case before it is of such nature, intricacy or importance that it ought to be tried by a Court or that the accused in a case ought to receive a punishment different in kind from, or more severe than, that which such Nyaya Panchayat is empowered to inflict, it shall stay proceedings and refer the suit or the case to the District Judge or the Sessions Judge, as the case may be, for orders.
(2) If the District Judge or the Sessions Judge is of opinion that a suit or case is of such nature, intricacy or importance that it ought not to be tried by the Nyaya Panchayat or that the accused in a case ought to receive a punishment different in kind from, or more severe than, that which such Nyaya Panchayat is empowered to inflict, such Judge shall pass orders directing the plaintiff or complainant to the civil or criminal court, as the case may be, competent to take cognizance of such suit or case.
Reference by Nyaya Panchayat to District or Sessions Judge.
(3) If the District Judge or the Sessions Judge is of opinion that the suit or case is not of such nature, intricacy or importance that it ought to be tried by a Court, or that the accused in the case ought not to receive a punishment different in kind from, or more severe than, that which such Nyaya Panchayat is empowered to inflict, such Judge shall return the suit or case to the Nyaya Panchayat which made the reference for disposal.