Self-Interested Enforcement Without Safeguards

The provision creates a Domain Compliance Unit staffed by Registry officers and ministerially-appointed persons to audit domain usage and serve compliance notices. This structure embeds a conflict of interest: the Registry, which profits from domain registrations and registrar licensing (25), controls the enforcement mechanism that triggers severe penalties (21). The provision provides no independence safeguards, audit scope limits, or pre-notice hearing rights, creating regulatory uncertainty where businesses face unpredictable enforcement by a self-interested regulator. Combined with undefined "audit and monitor domain name usage" authority, this discourages market entry and innovation.