(5)When any area within the jurisdiction of any local authority is included in a transitional area, -(a)the provisions of this Act, and except as the Government may, by notification, otherwise direct, all rules, regulations, notifications, orders, directions and powers made, issued or conferred and all taxes, duties, tolls and fees imposed under this Act and in force in such transitional area, shall apply to, and shall be deemed to have been imposed in, the area so included;(b)the Government may, by notification, issue such orders as it may deem fit,-(i)as to the transfer to the Nagar Panchayat, or disposal otherwise, of assets or institutions of such local authority in the area so constituted or included; and(ii)as to the discharge of the liabilities, if any, of such local authority relating to such assets or institutions.
