Dissolution of Authorities

(1) Whenever in the opinion of the State Government the continued existence of any authority constituted under this Act is unnecessary or undesirable, the State Government may, by notification, declare that such authority shall be dissolved from such date as may be specified therein (in the notification), and such authority shall be dissolved accordingly. (2) From the said date: (a) all assets and liabilities of the authority shall vest in the Municipal Corporation of that area and such Municipal Corporation shall have all the powers as are necessary to take possession of, recover and deal with such assets and perform such liabilities: Provided that in such cases where the area of such authority falls under different Municipal Corporations, the assets and liabilities of such authority shall be distributed among such Municipal Corporations in such manner as the State Government may determine by order. (b) all such pending proceedings, in which the authority was a party, shall continue as if the Municipal Corporation was a party thereto in place of the authority. Section 76(2): Assets and liabilities vesting in Municipal Council.