Section 361(5) in Karnataka Municipalities Act, 1964
(5)The property, rights and liabilities of the municipal council of a [municipal area] [Substituted by Act 36 of 1994 w.e.f. 1-6.1994.] declared as a city [municipal area] [Substituted by Act 36 of 1994 w.e.f. 1-6.1994.] under sub-section (1) shall vest in the municipal council of the said [municipal area] [Substituted by Act 36 of 1994 w.e.f. 1-6.1994.] with effect from the date specified in the notification.
