Section 355(b) in Karnataka Municipalities Act, 1964
(b)the un-expended balance of the Grama Panchayat fund and the property (including arrears of rates, taxes and fees) belonging to the Grama Panchayat; and all rights and powers which, prior to such notification vested in the Grama Panchayat shall subject to all charges and liabilities affecting the same, vest in the Town Panchayat of the transitional area;
