Being overly punitive wouldn't be a good idea. It would just create more fertile ground for future conflict, like what happened with Germany between WW 1 and WW 2.

And honestly big changes are going to be a necessity if Garlemald survives as a nation anyway. With Varis and Solus gone and Zenos being...Zenos I don't think there's really a clear successor to the throne.

Maybe they'll go back to being a republic and get rid of the monarchy. That's what they were before Emet-Selch stepped in anyway.