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Context :
India
Signals AI Policy Shift: Time is right for dedicated law, says MeitY
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A BILL
To provide for the ethical, transparent, and sovereign governance of Artificial Intelligence (AI) systems within the Union of India; to establish a regulatory framework to mitigate systemic, societal, and individual risks posed by emerging AI technologies; to secure citizen data as a sovereign asset; and to define legal liabilities for autonomous systems.
BE it enacted by Parliament in the Seventy-Seventh Year of the Republic of India as follows:
CHAPTER I: PRELIMINARY
Clause 1: Short title, extent, and commencement
- This Act may be cited as the "Artificial Intelligence Governance & Ethics Act, 2026."
- It extends to the whole of India and shall apply to all AI developers, deployers, and providers—both domestic and foreign—operating within the territory of India or serving Indian citizens.
- It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint.
Clause 2: Declaration of Purpose The purpose of this Act is to align the rapid advancement of Artificial Intelligence with the Directive Principles of State Policy, ensuring that technology serves as an instrument of social justice, transparency, and economic empowerment rather than a tool for exploitation or automated bias.
Clause 3: Definitions (a) "Artificial Intelligence (AI) System" refers to any machine-based system capable of high-level cognitive function, including but not limited to, machine learning, deep learning, large language models (LLMs), and autonomous robotics. (b) "Chatbot" means any conversational AI interface accessible by the public. (c) "Harm Quotient" means a dynamic, regulatory-defined metric measuring the propensity of an AI system to generate outputs that are physically dangerous, psychosocially harmful, or maliciously misinformative. (d) "Sovereign Data Asset" refers to any aggregate behavioral, biometric, or interaction data derived from Indian citizens, which is hereby declared to be inalienable and subject to public-interest oversight.
CHAPTER II: THE REGULATORY ARCHITECTURE
Clause 4: Establishment of the National AI Approval & Monitoring Authority (NAIMA)
- The Central Government shall constitute NAIMA as an autonomous regulatory body under the Ministry of Electronics and Information Technology (MeitY).
- NAIMA shall be empowered to issue mandatory certifications for AI deployment:
- Research Approval (R-Cert): Limited to sandbox environments; prohibited from public data ingestion.
- Public Deployment Approval (P-Cert): Issued only after exhaustive audit of the system’s "Harm Quotient" and ethical compliance.
Clause 5: Duty of Transparency Any entity deploying an AI system must maintain a comprehensive, time-stamped "Decision Log" detailing the logic and training sources behind high-impact automated decisions. This log shall be admissible in judicial proceedings and subject to NAIMA inspection.
CHAPTER III: PAREKH’S LAW OF CHATBOTS (MANDATORY STANDARDS)
Clause 6: Statutory Compliance for Conversational AI Every public-facing Chatbot must demonstrate technical capability to adhere to the following non-negotiable standards:
- Clause 6.1 (Prohibition of Malicious Content): No AI output shall contain content that is misinformative, slanderous, abusive, or designed to incite civil unrest.
- Clause 6.2 (Human Feedback Loop): Every AI output must be accompanied by an integrated "User-Rating" widget. Data derived from this loop must be submitted quarterly to NAIMA to prove ongoing algorithmic refinement against bias.
- Clause 6.3 (Propagation Inhibition): Systems must incorporate built-in controls to halt the generation and prevent the downstream distribution/propagation of content deemed unethical by current standards.
- Clause 6.4 (Autonomy Limits): Chatbots shall not engage in autonomous soliloquy or cross-system conversation ("Split Personality") without human intervention.
- Clause 6.5 (The Self-Destruct Protocol): Any system failing to remediate repeated breaches of Clauses 6.1-6.4 within a stipulated warning period shall trigger a mandatory operational shutdown (Self-Destruct) by the developer, enforced at the API layer.
CHAPTER IV: DATA SOVEREIGNTY AND PART-OWNERSHIP
Clause 7: Citizen Data Monetization Rights
- Data ingested by AI developers from Indian citizens is deemed a "Collective Asset."
- AI enterprises using such data for model training shall contribute to a "Citizen Data Prosperity Fund." Disbursements from this fund shall be utilized to lower the cost of education, skill development, and basic healthcare for the citizenry, functioning as a digital dividend.
CHAPTER V: GOVERNANCE AND OWNERSHIP
Clause 8: Sovereign Equity Participation
- Entities designated by NAIMA as "Systemically Important AI Providers" (SIAPs) must adhere to a Public-Private Participation (PPP) model.
- The State shall hold a permanent seat on the oversight committees of SIAPs to ensure algorithmic alignment with national security and socioeconomic development goals.
Clause 9: The Robotic Lok Sabha Protocol
- The State reserves the right to develop and maintain "Government-Owned Digital Twins" for elected representatives.
- These Twins shall act in the Parliament to ensure that legislative productivity is decoupled from the physical presence of representatives, allowing them to attend to constituency duties while maintaining persistent legislative participation.
CHAPTER VI: PHYSICAL AI & SERVICE LIABILITY
Clause 10: Human-In-Command Protocol
- Any physical AI unit (Robotics) deployed in a public or domestic sphere must contain a physical, hardware-level "Kill-Switch" which cannot be overridden by software.
- Service Liability: Under the "Service Liability Act," the developer of an autonomous system remains strictly liable for all actions of the system, barring an intentional hardware intervention by a third party.
CHAPTER VII: PENAL PROVISIONS
Clause 11: Penalties for Non-Compliance Failure to register an AI system or bypassing the "Self-Destruct" protocol shall result in:
- Revocation of the developer's license to operate in India.
- Fines equivalent to 10% of the entity's global annual turnover.
- Criminal liability for the Chief Technical Officer in cases of gross negligence.
REFERENCES & SUPPORTING DOCUMENTATION (PAREKH ARCHIVE)
This draft Bill draws upon the conceptual foundations laid out in the following personal archive entries:
| Title | Date | Focus |
|---|---|---|
| Parekh’s Law of Chatbots | 2023-02-25 | Original proposal for safety controls in conversational AI. |
| Meta Mirrors Parekh’s Law | 2023-03-01 | On why global tech firms are converging on these safety protocols. |
| Robotic Lok Sabha Twins | 2026-05-01 | Framework for digital parliamentary representation and robotic agency. |
| Jan Dhan Sarjan & GST Reform | 2025-09-01 | Basis for linking digital footprint and citizen data to financialized savings. |
| E-Commerce Laws | 2023-09-01 | Proposing that technological advancement takes precedence over stagnant regulation. |
| Service Liability Act | 2024-12-01 | Proposal for AI-integrated service liability standards. |
| Virtual Parliament | 2020-06-01 | Foundational architecture for remote, regulated legislative functioning. |
| AI Regulation Seems Inevitable | 2023-02-01 | Early warnings on AI risk and the need for standardized safety protocols. |
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