Whosoever violates the provisions of the Regulation herein shall be punished by the penalties provided for in the Law and as the case might necessitate.

1. The board of directors may impose the following disciplinary penalties on the company in case the violations prompting such imposition are established:
    
   1. Cease the company to carry out operations of one type or more of the insurance carried out by the company for a period no more than one month in case of violating the regulations, rules, directives or the resolutions issued by the Authority.
       
   2. Cessation for a period not to exceed three months should the company cease to carry out operation of any type of the insurance incorporated in its registration for (12) months.
       
   3. Cessation for a period not to exceed six months should the company lack any of the requisites needed for registration in the register according to the Law.
       
   4. Cessation for a period not to exceed nine months should the company fail to uphold the accrued financial liabilities or refuse to execute a final judiciary ruling relevant to an insurance contract concluded by the company.
        
2. In all the cases which in their respect the Board made a decision to cease the company's operations, such cessation shall not be relieved and the company shall not be allowed to start the work under question except after eliminating the violation which prompted such cessation on basis of a report to be filed by the Director General to the Board establishing elimination of the violation.
    
3. The Director General may take the following procedures when the violations are less important than the ones mentioned in the preceding paragraph:
    
   1. Send a warning to the company to draw its attention to the violation and to necessity of taking procedures to eliminate same.
       
   2. Serve a notice on the company demanding certain procedures to be taken or calling it to refrain from doing specific matter within a limited period.