What is the significance of property situated in a State under Article 296?
The significance of property situated in a State under Article 296 is that such property will vest in the corresponding State, subject to certain provisions. If the property was in possession or under control of the Government of India or the Government of a State at the date when it would have accrued to His Majesty or the Ruler of an Indian State, then it will vest in the Union if the purpose for which it was used or held was a purpose of the Union, and in that State if the purpose was a state matter.