Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

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Tuesday, 3 November 2026

AI Accountability : Who Bears the Cost?

 

Source:

https://economictimes.indiatimes.com/tech/artificial-intelligence/accountability-tames-ai-autonomy-as-dsci-outlines-its-liability-framework/articleshow/135430535.cms?from=mdr


The Data Security Council of India (DSCI) has released a critical framework—"AI Liability: Industry Guidance for Agentic AI"—that challenges the false choice between holding only the deployer or only the provider liable.

Why Agentic AI Breaks Old Rules

Agentic AI is fundamentally different from prediction models. These systems act autonomously, call external tools, execute transactions, and modify systems without waiting for human intervention. Multiple layers of models, chains of instructions, third-party integrations, and human decisions across the value chain make it impossible to isolate responsibility to a single actor.

The DSCI Approach: Distributed Accountability

Rather than asking "Who is at fault?", DSCI asks "What decisions did each actor make, and what controls could they have enforced?"

• Technology Providers are accountable for model robustness, safety guidelines, and guardrails • System Integrators are accountable for how components are chained and safeguards at the integration layer
• Deploying Organizations are accountable for autonomy boundaries, monitoring, and human oversight • Regulators are accountable for standards and compliance verification

The Gap I See

The framework focuses on tracing responsibility but glosses over asymmetries of knowledge and power. True accountability requires three things:

  1. Visibility: Can each actor see what's happening at their layer?
  2. Control: Can they exercise meaningful control, or just rubber-stamp decisions?
  3. Agency: Do they have the power to say no?

Without these, accountability becomes theater.

What Organizations Should Do Now

• Audit autonomy boundaries: Which decisions require human approval? • Demand transparency from vendors: What controls are built in? What are known failure modes? • Instrument systems: You can't be accountable for what you can't see • Talk to insurers: Liability frameworks are evolving fast • Establish governance: Who decides to deploy? Who monitors? Who can shut it down?

The Uncomfortable Truth

In early-stage agentic AI, liability will reflect power dynamics, not actual responsibility. Technology providers have armies of lawyers. Deploying organizations remain cautious. Regulators are still learning. The DSCI framework is a step toward clarity, but clarity about liability isn't the same as wisdom about deployment.

Building on My Earlier Work

I've explored these accountability gaps before

>  in When AI Gets Keys, where I outlined responsibility gaps and pragmatic containment standards for autonomous agents. 


> In Keeping AI Options Open, I mapped out the policy tools governments should keep available—including liability frameworks as a critical lever. 


>  And in Missing Ministries in AI Governance, I flagged governance blind spots when policy bodies exclude Education and Labour—a concern that's urgent as agentic deployment accelerates across hiring, skills, and workplace automation.


With regards,


Hemen Parekh


www.Iam-Immortal.ai  /  www.IndiaAGI.ai  /  www.YourContentCreator.in 

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