The concerned Department shall have discretionary power to impose a fine from Five Rupees to Fifty Rupees on an owner of a private firm operated without registration and if the owner again commits the same offence for three times he/she shall be liable to an extra Ten Rupees fine for each time in the original fine imposed on him/her. If such person commits the same act for fourth time, no private firm shall be registered in his/her name in the future
(2) A person who submits false particulars in the course of submitting an application pursuant to Section 4, the concerned Department shall, on its discretion, impose a fine from Twenty Five Rupees to Fifty Rupees on him/her.
(3) A private firm which fails to provide information to be submitted pursuant to Section 6 within the prescribed period, or provides false information shall be liable to a fine from Twenty Five Rupees to Fifty Rupees in the discretion of the concerned Department.
(4) The Government of Nepal may, by publishing a Notification, restrict a private firm which is not registered or renewed pursuant to this Act, and the bank which transacts with such firm to export and import any goods.
(5) A person who is not satisfied with a penalty imposed by the concerned Department may file an appeal before the Court of Appeal.