(1) A Gram Panchayat, a Panchayat Samiti or a Zilla Parishad may, with the previous approval of the State Government, make bye-laws, not inconsistent with the provisions of this Act or the rules made thereunder, for enabling it to discharge its functions under this Act.
(2) The State Government may, by notification, rescind any bye-law and thereupon such bye-law shall cease to have effect.
(3) In making a bye-law under sub-section (1), a Gram Panchayat, a Panchayat Samiti or a Zilla Parishad may provide that a breach of the same shall be punishable with fine which may extend to one hundred rupees, and in the case of a continuing breach with a further fine which may extend to ten rupees for every day during which the breach continues after the offender has been convicted of such breach.