(1) Where the State Government is satisfied that the purposes for which the Authority was established under this Act, have been substantially achieved or the Authority has failed in its objectives, so as to render the continued existence of the Authority unnecessary, it may by notification in the Official Gazette, declare that the Authority shall be dissolved with effect from such date as may be specified in the notification and the Authority shall be deemed to be dissolved accordingly.
(2) From the said date,-
(a) all properties, funds and dues which are vested in or realizable by the Authority shall vest in, or be realizable by, the Government ;
(b) all liabilities which are enforceable against the Authority shall be enforceable against the Government ;
(c) for the purpose of carrying out any development which has been carried out by the Authority and for the purpose of realizing properties, funds and dues referred to in clause (a) the functions of the Authority shall be discharged by the Government.
(3) Nothing in this section shall be construed as preventing the Government from reconstituting the Authority in accordance with the provisions of this Act.