Jung had rejected the recommendation of the outgoing AAP government that the Assembly be dissolved. The Cabinet decision will come into effect after promulgation of a notification by the President. It has to be then got endorsed by Parliament through a resolution under Article 356 of the Constitution.
In a report to the Centre, Jung did not favour dissolution of the 70-member Delhi Assembly, as recommended by the council of ministers headed by Arvind Kejriwal when it met on Friday night and decided to quit.
The LGs move keeps the option open for any political party or a combination of parties to try and form a government in future.
Sources said Jung has conveyed to the Centre that the national capital be brought under a spell of Presidents rule as no party is now in a position to form an alternative government. The final call on the LGs recommendation will be taken by the Centre, sources said. Home ministry officials said they would take the opinion of the law ministry and place all the facts before the Union Cabinet for a final decision.
The AAP government resigned on Friday after it suffered a defeat on the Jan Lokpal Bill in the Delhi Assembly and recommended for fresh election by dissolving the House. The LG has also sent the resignation letter of Arvind Kejriwal to the President.