(1) The power to make all by-laws under this Act shall be exercisable by the committee, subject to the previous sanction of the State Government as hereinafter provided.
(2) Without prejudice to any power to make by-laws contained elsewhere in the Act, any committee may make by-laws consistent with this Act and the rules made thereunder for the administration of its affairs and for the guidance of its standing committee, sub-committees, officers and servants.
(3) (a) The committee, whenever it desires to make by-laws under this Act, shall, by a resolution at a special meeting, approve a draft of such by-laws.
(b) As soon as possible after such resolution is passed, the committee shall display the draft of the by-laws on its notice-board and publish a notice in at least two newspapers circulating in the market area and also in such manner as may in its opinion, be best calculated to inform the public and all persons likely to be affected by the by-laws so displayed and inviting their objections and suggestions in respect of the proposed draft within a reasonable period to be specified in such notice.
(4) The committee shall consider the objections and suggestions received, if any, and may by a resolution approve the final draft of the by-laws.
(5) Within seven days of the passing of such resolution the Chief Executive Officer shall submit the final draft of the by-laws approved under sub-section (4) to the Metropolitan Commissioner who shall send it with his recommendations to the State Government. The State Government may sanction the by-laws sent to it subject to such modifications, if any, as it may think necessary.