(1) The Government, may, by notification, constitute for each district with effect from such date as may be prescribed in the said notification, a District Panchayat having jurisdiction over the entire district excluding such portions of the district as are included in a Municipality or Town Panchayat or Industrial Township or under the authority of a Municipal Corporation or a Cantonment.
(2) Every District Panchayat shall be a body Corporate by the name of the district, shall have perpetual succession and a common seal and subject to such restrictions as are imposed by or under this or any other enactment, shall be vested with the capacity of suing or being sued in its Corporate name, of acquiring, holding and transferring property, movable or immovable, whether without or within the limits of the area over which it has authority, of entering into contracts and of doing all things, necessary, proper or expedient for the purpose for which it is constituted.