EXALTED.
I think you need to re-read the first few pages of the BoED again. Exalted characters are supposed to be held to a much higher standard. Even a paladin can get away with "well they were trolls, and we were fighting trolls in the other room, so lets fight these too!". Exalted characters cannot. You are completely within your rights to make their powers turn off until they atone.
If you are going to let them have their powerful crunchy toys, you need to make sure that you hold them to the standards which are required.
I think you need to re-read the first few pages of the BoED again. Exalted characters are supposed to be held to a much higher standard. Even a paladin can get away with "well they were trolls, and we were fighting trolls in the other room, so lets fight these too!". Exalted characters cannot. You are completely within your rights to make their powers turn off until they atone.
If you are going to let them have their powerful crunchy toys, you need to make sure that you hold them to the standards which are required.