Section 15(5)(b) in The Punjab Municipal Act, 1999
(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.