Section 1. Inquiry of the Commission. - The Commission may motu proprio initiate an action or inquiry against any person or entity when so required by law, national or public interest, and/or in its exercise of any of the powers and functions vested upon it by Republic Act No. 9136 or any other law enforced and administered by it.

Section 2. Contents of the Order. - In the exercise of its prerogative, the Commission may commence such hearing or inquiry by an order to show cause, setting forth the grounds and legal bases for such order. The order shall state the facts constituting the violation and also the range or extent of the sanction or penalty that may be imposed should the violation be substantiated, and shall be served upon the person or respondent being investigated.

Section 3. Answer. - Within a period of fifteen (15) days from receipt of a show cause order, the respondent shall file an answer in accordance with Rule 5.

Section 4. Disposition. - If the Commission finds the answer sufficient in form and substance to warrant termination of the inquiry, it shall issue an order to that effect; otherwise, it shall proceed to conduct the hearing on the matter.

Section 5. Offers of Settlement. - Any party to an administrative proceeding may, at any time before a decision is rendered, make an offer to the Commission conditionally or otherwise for a consented decree, voluntary compliance or desistance and other settlement of the case. The offer and any or all of the ultimate facts upon which the offer is based shall be considered for settlement purposes only, and shall not be used as evidence against any party for any other purpose and shall not constitute an admission by the party making the offer of any violation of the laws, rules, regulation, orders and resolution of the Commission, nor as a waiver to file any warranted criminal action.

Section 6. Cease and Desist Order. - In appropriate cases, the Commission shall issue Cease and Desist Order after due notice and hearing.

Section 7. Imposition of Fines and Penalties. - The imposition of administrative fines and penalties shall be governed by the Guidelines to Govern the Imposition of Administrative Sanctions in the Form of Fines and Penalties Pursuant to Section 46 of Republic Act No. 9136, as amended.