Section 40. Assets and liabilities of State undertakings.

The assets and liabilities relating to any commercial undertaking of the existing Union territory shall,— (a) if the undertaking is located in the district of Goa of the existing Union territory, pass to the State of Goa; (b) if the undertaking is located in the district of Goa, as well as the districts of Daman and Diu, of the existing Union territory, be divided in such manner as may be agreed upon between the State of Goa and the Union before the expiration of one year from the appointed day, or in default of such agreement, as the Central Government may, by order, direct.