The correct answer is A) they would be removed from their position.
According to the law, people that published negative articles about the Nazi Party would be removed from their position.
On October 4, 1933, the Editor Law prohibited non-Aryans to work in journalism. The Nazi party controlled all the media in Germany. The German Propaganda Ministry excluded Jews from being a journalist and expected the German press to follow the exact instruction from the Nazi party.
The excerpt exposes it clearly: "...Section 35The Reich Minister for Public Enlightenment and Propaganda may decree the removal of an editor . . . if he deems it necessary for pressing reasons of public welfare."