(1) A Panchayat Union Council shall be constituted for each Panchayat Union with effect from such date as may be specified in the notification issued in that behalf by the Government.
(2) Subject to the provisions of this Act, the administration of the Panchayat Union shall vest in the Panchayat Union Council but the Panchayat Union Council shall not be 15 entitled to exercise functions expressly assigned by or under this Act or any other law to its Chairman or the Commissioner or to the Village Panchayat or District Panchayat or any other authority.
Provided that if and so long as there is no Village Panchayat in any part of a Panchayat Union, the Panchayat Union Council shall exercise all the powers including the power of taxation, discharge the duties, perform the functions and be credited with the receipts and debited with the charges of the Village Panchayat, and the Chairman and the Commissioner of the Panchayat Union Council shall exercise the powers discharge the duties and perform the function of the President and the Executive Authority, respectively, in such part of the Panchayat Development Block.
(3) Every Panchayat Union Council shall be a body corporate by the name of the Panchayat Union specified in the notification issued under Section 15, shall have perpetual succession and a common seal, and subject to any restriction or qualification imposed by or under this Act or any other law, shall be vested with the capacity of suing or being sued in its Corporate name, of acquiring, holding and transferring property, movable or immovable, of entering into contracts, and of doing all things necessary, proper or expedient for the purpose for which it is constituted.