This paper is for presention to GO-ESCAP Round Table on "Adaptation of Administration to India's Rural Development" scheduled for 16-18 August 1978 at Delhi. The paper points out that there are inherent contradictions between the role and function of district administration and the principle of democratic decentralization. The intrinsic nature of function of district administration has been exercise of authority to subjugate the masses and exploit them. To maintain its authority it has to have full administrative and financial control over rural institutions and local bodies. Only by exercise of such control can terms of trade unfavourable to the rural population be enforced and maintained over years. The requirements of rural development as listed in the paper are contradictory to such functions. Rural institution can contribute to rural development only when these contradictions are effectively resolved. The authod has tried to explain some of these contradictions through four case studies covering working of a zilla parished in Gujarat, a Taluka Development Board in Karnataka, a SFDA, and a Farmers' Service Cooperative Society.