Dissolution of the Authority

Dissolution of the Authority.-

1. (1) The Government may, by notification, declare that with effect from such date as may be specified in the notification, the Authority shall be dissolved : Provided that no such declaration shall be made by the Government unless a resolution to that effect has been moved in and passed by both Houses of the State Legislature.
2. (2) With effect from the date specified in the notification under sub-section (1),-
   • (a) all properties, funds and dues which are vested in and realisable by the Authority shall vest in and be realisable by the Government ;
   • (b) all liabilities enforceable against the Authority shall be enforceable against the Government to the extent of the properties, funds and dues vested in and realised by the Government.
3. (3) Nothing in this section shall affect the liability of the Government in respect of loans or debentures guaranteed under sub-section (5) of section 40.