(1) on receipt of a report, when the Chief of the Naval Staff proposes to award a punishment of forfeiture of seniority in the rank or time for promotion under sub-section (2) of section 94 on account of misconduct of an officer, the officer may be given an opportunity to show cause, in the manner specified in sub-regulation (2) against that action.
(2) When after considering the report of officer’s mis-conduct, the Chief of the Naval Staff is of the opinion that the officer deserves to punished, he shall so inform the officer together with all reports adverse to him and call upon him to submit in writing, his explanation and defense together with his opinion, if the same has not been exercised by him earlier, whether he consents to accept summary award under section 94 or elects to be tried by court martial:
Provided that the Chief of the Naval Staff may withhold from disclosure any such report if its disclosure is not in the public interest.
(3) On receipt of the Officer;s explanation, if any and if the officer has not elected to be tried by court martial, the Chief of the Naval shall consider it and if the same is found unsatisfactory:-
(a) May impose the punishment of forfeiture of seniority in the rank or time promotion as empowered under sub-section (2) of section 94; or
(b) If he considers that the punishment within his power shall not be adequate, submit a report of the case together with all the relevant records to the Central Government for being dealt with under sub-section (1) of section 94 or take steps to bring the accused officer to trial by court martial.