As many a strata manager will tell you, they can only do as they are asked to do by the owners. The other side of that coin is that if they don't do what owners reasonably ask, they aren't fulfilling their most basic function. Unless they can give you a very good reason for not having done their job, you need to move swiftly and decisively.
Forget taking legal action against them (unless there has been serious damage done to your finances). That's a waste of time and money and gains very little in the long run.
Find a reputable strata manager, call a general meeting, sack the existing strata manager, appoint the new strata manager and reinstate the by-laws to the way they should be. Your new strata manager should be able to help with this process – if they can't, find someone who will.