What are typical regulatory penalties for non-compliance?

Fines and suspension of operating authority are common regulatory penalties for non-compliance because they serve to enforce adherence to laws and regulations within various industries. Regulatory bodies impose fines as a direct financial consequence aimed at deterring future violations and promoting compliance. Suspension of operating authority can be more severe, as it directly impacts a business’s ability to operate, forcing them to correct their non-compliance issues before resuming operations. This combination of financial and operational penalties is effectively designed to motivate companies to comply with the regulatory framework, ensuring safety, fairness, and ethical practices within the industry.