(1) If in the opinion of the State Government a Market Committee is not competent to perform or persistently makes default in performing the duties imposed upon it by or under this Act or abuses its powers, the State Government may, by notification supersede such Market Committee.
Provided that before issuing a notification under this Sub-section the State Government shall give a reasonable opportunity to the Market Committee for showing cause why it should not be superseded and shall consider the explanation and objection, if any, of the Market Committee.
(2) Upon the publication of notification under Sub-section (1) superseding a Market Committee the following consequences shall ensue :
(i) All the members as well as the Chairman of the Market Committee shall, as from the date of such publication, be deemed to have vacated their offices;
(ii) The State Government may, at its discretion by order, either constitute a new Market Committee under Section 6 or make such arrangements for the carrying out of the functions of the Market Committee, as it may think fit ; and
(iii) All the assets vesting in the Market Committee, shall, subject to all its liabilities vest in the State Government for purposes of the Act.