With reference to 73rd Constitution Amendment Act, consider the following: This Act made the Panchayati Raj institutions in the country constitutional bodies. Article 243-B, made it compulsory for every state to establish panchayats in their territories. Which of the statements given above is/are correct?

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: C

Notes:

Both the statements are correct:

Features of this act are:

This Act made the Panchayati Raj institutions in the country constitutional bodies.
Under Article 243-B, it has become compulsory for every state to establish panchayats in their territories.
Article 243-G makes it mandatory for the state governments to devolve powers, responsibilities and authority to the panchayats.
The gram panchayats have a fixed tenure of 5 years.
State election commissions have been provided with the mechanism to conduct independent elections to the village panchayats.
Article 243-D gives provisions for the due representation of women and SC/STs.
The State Finance Commission should also evaluate the financial position of the panchayats every five years.

Source: The Hindu