Part I- Preliminary

Section 1- Title and effect

1. This Act shall be known as the Regulatory Authority Act, 2026.
2. This Act shall have effect immediately upon the Constitution of the Hokorian State coming into force.

Section 2- Interpretation

1. “Regulatory Authority” means the independent body established under this Act.
2. “Director” means the person appointed to lead the Regulatory Authority.
3. “Regulated matter” means any area of activity assigned to the Regulatory Authority by law.
4. “Direction” means a binding instruction issued by the Regulatory Authority under this Act.

Part II- Establishment and Structure

Section 3- Establishment of the Regulatory Authority

1. The Regulatory Authority is hereby established as an independent body:
   • It shall operate separately from the Government and Parliament,
   • It shall act in accordance with the Constitution and the law.
2. The Regulatory Authority shall perform functions assigned to it under this Act and any other law.
3. The Regulatory Authority shall act impartially and without improper influence.

Section 4- Functions of the Regulatory Authority

1. The Regulatory Authority shall regulate matters assigned by law:
   • It shall oversee compliance with applicable laws,
   • It shall monitor and review conduct within regulated areas.
2. The Regulatory Authority may:
   • Issue guidance,
   • Investigate potential breaches,
   • Make decisions and take enforcement action.
3. The Regulatory Authority shall ensure fairness and consistency in its actions.

Section 5- Appointment of the Director

1. The Regulatory Authority shall be led by a Director.
2. The Director shall be appointed by the Parliament by a high majority:
   • The appointment must ensure independence and suitability,
   • The Director must be a person of integrity and competence.
3. The Director shall serve until resignation or removal in accordance with this Act.

Part III- Powers and Duties

Section 6- General powers

1. The Regulatory Authority may exercise powers necessary to carry out its functions:
   • Require information from relevant persons or bodies,
   • Issue directions to ensure compliance,
   • Take enforcement action where breaches occur.
2. Directions issued under this Act shall be binding unless overturned by the Court.
3. Powers must be exercised reasonably and proportionately.

Section 7- Duties of regulated persons and bodies

1. A person or body subject to regulation shall:
   • Comply with lawful directions,
   • Provide accurate information when required,
   • Act in accordance with applicable law.
2. Failure to comply may result in enforcement action under this Act.

Section 8- Procedures and decision making

1. The Regulatory Authority shall establish clear procedures for its work:
   • Decisions shall be reasoned and recorded,
   • Affected persons shall be informed of decisions.
2. The Regulatory Authority shall act fairly and allow affected persons an opportunity to respond.
3. Procedures must be consistent with this Act and other laws.

Part IV- Continuity and Substitution

Section 9- Inability of the Regulatory Authority to act

1. Where the Regulatory Authority is unable to perform its functions:
   • Due to absence of a Director,
   • Due to incapacity or failure to act,
   • Due to any other reason preventing operation.
2. The Court may exercise the necessary functions of the Regulatory Authority:
   • Only to the extent required to ensure continuity,
   • In a manner consistent with this Act.
3. Any action taken by the Court under this section shall have the same effect as if taken by the Regulatory Authority.

Part V- Accountability and Review

Section 10- Review of decisions

1. A person affected by a decision of the Regulatory Authority may apply to the Court for review.
2. The Court may:
   • Uphold the decision,
   • Modify the decision,
   • Set aside the decision.
3. The Court shall ensure that decisions are lawful and fair.

Section 11- Removal of the Director

1. The Director may be removed by the Parliament by a high majority where:
   • They have acted unlawfully,
   • They are unable to perform their duties,
   • Their conduct undermines the integrity of the office.
2. Removal shall require due process and justification.
3. Upon removal, the position shall become vacant.

Part VI- Offences and Enforcement

Section 12- Offence of non compliance

1. A person commits an offence where they:
   • Fail to comply with a lawful direction,
   • Refuse to provide required information without lawful excuse.
2. Levels of severity:
   • Basic offence: minor non compliance,
   • Aggravated offence: repeated or serious non compliance.
3. Penalties:
   • Basic offence shall carry a minimum term of no penalty and a maximum term of 1 month,
   • Aggravated offence shall carry a minimum term of 1 month and a maximum term of 3 months.

Section 13- Offence of obstruction

1. A person commits an offence where they:
   • Intentionally obstruct the Regulatory Authority,
   • Provide false or misleading information.
2. Levels of severity:
   • Basic offence: limited obstruction,
   • Aggravated offence: serious or harmful obstruction.
3. Penalties:
   • Basic offence shall carry a minimum term of no penalty and a maximum term of 1 month,
   • Aggravated offence shall carry a minimum term of 1 month and a maximum term of 3 months.

Part VII- Final Provisions

Section 14- Interpretation and application

1. This Act shall be applied in a manner that supports independent and effective regulation.
2. Any doubt shall be resolved in favour of lawful, fair and proportionate oversight.