The three-member bench led by the chief justice issued a ‘no order’ on the state petition to stay the High Court decision on Sunday.
There are no longer any obstacles preventing Mannan for taking up his post, his lawyers said.
The High Court had frozen the government order suspending Mannan for three months after hearing a petition on.
The Local Government Division had issued the order on Thursday, barely a month after Mannan returned to office following a legal battle.
Mannan was being removed because of charges pressed against him by the Anti-Corruption Commission, said the order.
A vice-chairman of the BNP, Mannan was elected mayor of the Gazipur City Corporation in 2013.
He managed to return to office after facing two more suspensions that came prior to the government’s latest order for his removal.