Priiyank,
I took a look at your code and I believe the issue is the behavior of sequence structures. Data is not passed out of a sequence structure until all the sequence frames finish. Therefore even though in frame 3 you want to end the structure must still execute frames 4, 5 and 6, after that occurs the loop can finish.
In addition let me be honest with you for a second. It is apparent that you are a relatively new programmer to LabVIEW and you may want to look into LabVIEW training courses. You have figured out some of the higher level functions, however I think you are missing more the philosophy or general understanding of how LabVIEW executes. Search the site for tutorials on dataflow programming, and you can see what I am talking about.
I think if
the code utilized the features of the dataflow programming structure, it could be significantly simplified and 'cleaned up,' and troubleshooting the issue would also be simplified. You may consider using sequence structures and local variables significantly less, it is suggested that they be used rarely. You used it correctly when you initialized the Default states of your buttons. However the sequence structure around the LDCN Init VI has no purpose. Another example of a sequence structure you don't need is the sequence in the case structure you directed us to, the one around the Pos Mode case. That structure has no effect on the way the program runs and only makes the code harder to read.
I hope these suggestions can help with your current application as well as in the future as you strive to improve your overall LabVIEW programming technique.