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1. Jesus Christ worked out the infinite and eternal atonement by the shedding of his own blood. He came into the world for the purpose of dying on the cross for the sins of the world. By virtue of that atoning sacrifice immortality came as a free gift to all men, and all who would believe and obey his laws would in addition be cleansed from sin through his blood.
2. But under certain circumstances there are some serious sins for which the cleansing of Christ does not operate, and the law of God is that men must then have their own blood shed to atone for their sins. Murder, for instance, is one of these sins; hence we find the Lord commanding capital punishment. Thus, also, if a person has so progressed in righteousness that his calling and election has been made sure, if he has come to that position where he knows "by revelation and the spirit of prophecy, through the power of the Holy Priesthood" that he is sealed up unto eternal life, then if he gains forgiveness for certain grievous sins, he must "be destroyed in the flesh," and "delivered unto the buffetings of Satan unto the day of redemption, saith the Lord God."
Source: McConkie, Bruce R., Mormon Doctrine, 2nd ed. Salt Lake City: Bookcraft, 1966. 92.