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Correct Option is Both

Provisions of Panchayats (Extension to the Scheduled Areas) Act, 1996 The provisions of Part IX of the constitution relating to the Panchayats are not applicable to the Fifth Schedule areas. The Parliament may extend these provisions to such areas, subject to such exceptions and modifications as it may specify. PESA Act, 1996 extends the provisions of Part IX of the Constitution relating to panchayats to the scheduled areas with certain modifications. At present, there are ten states that have Fifth Schedule Areas (Andhra Pradesh, Telangana, Chhatisgarh, Gujarat, Himachal Pradesh, Jharkhand, Madhya Pradesh, Maharashtra, Odisha, and Rajasthan). Hence both statements are correct.

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