Which of the following correctly describes the

Solution

Municipal property is protected under Article 300A, which provides that no person—including a municipal body—shall be deprived of property except by authority of law. Although municipalities are not sovereign entities, they possess legal personality and property rights. Any State action depriving municipal property must be backed by valid legislation and satisfy constitutional standards of fairness and non-arbitrariness under Article 14. Courts have recognized that financial and property autonomy is essential for effective urban governance, reinforcing the constitutional status of municipalities under Part IXA.