The tradition of Democratic Institutions in India has a long history. In fact, these Institutions were the backbone of the Indian villages since the recorded history. On the basis of historical records, e xcavations and archaeological investigations, it is believed that local Institutions of government, in some form, did exist in the remote past and played an important role in managing affairs of people. However, during the foreign domination, especially during Mughal and British, the importance of these institutions were undermined. The evolution of these institutions got a fillip after the attainment of independence when Mahatma Gandhi advocated for Democratic Institutions. i.e. Panchayats as the foundation of India’s political system. The Constitution of India in Article 40 enjoined: “The state shall take steps to organise village panchayats and endow them with such powers and authority as may be necessary to enable them to function as units of selfgovernment”. Thus, the Gandhiji’s dream was translated into reality with the introduction of the Panchayati Raj System, to ensure people’s participation in socioeconomic transformation of Rural India. During 1950s and 60s, many states in India passed law and constituted institutions of Rural Local Government. In the history of Panchayati Raj in India, on 24 April 1993, the Constitutional (73rd Amendment) Act, 1992 came into force to provide constitutional status to the Panchayati Raj Institutions. This Act was extended to Panchayats in the tribal areas of eight States, namely Andhra Pradesh, Bihar, Gujarat, Himachal Pradesh, Maharashtra, Madhya Pradesh, Orissa and Rajasthan from 24 December 1996. As Constitutionally backed bodies, the PRIs are supposed to play a key role in implementing centrally- sponsored flagship programmes like MNREGA, Bharat Nirman, Sarv Sikhsha Abhiyaan, National Rural health Mission, Food Security programmes, Land Acquisitions Act and many other programmes .