Imposition of penalty framework sets structured minor and major sanctions with show cause procedure and decision timeline. Regulation 13 prescribes that the Enquiry Officer submit a reasoned report recommending penalties to the designated Chair or Member, distinguishing between minor penalties (censure, temporary prohibitions, short suspensions and debarments) and major penalties (cancellation, longer suspensions, extended debarments). The Chair or Member must issue a show cause notice with the report, permit a reply or oral submissions, and, after consideration, pass a dated and signed order within the prescribed decision timeline. Major penalties are limited to circumstances such as market manipulation, insider trading, breach of registration conditions, unfitness, non compliance with statutory directions, or repeated defaults.