Contractual office head can sign the official leterhead

I am appointed as an e-governance project manager in a district of U.P. as well other district of country and state on contract. DM sir has provided a office to me as a sub office in collectorate and also attach a 4th class from panchayati raj vibhag to run my work. I just sign a letter to verify the attendance of 4th class employees for the office from where he is attached. As per trends header of latter is DM office and I sign it wih my designation.

But someone in panchayati raj office leak this letter to local media paper and he public that contractual manager is verifying attendance in place of head of the department. I ask some head clerks and they reply that I can sign this type of letter. Because he was attached in my office and I am a part of DM office. Is this legally correct to sign this type of letter by a contractual person like me.