*When a regulatory agency, established to act in the public interest, instead [advances](https://en.wikipedia.org/wiki/Regulatory_capture) the commercial or special interests of the industry it is charged with regulating. This phenomenon happens when the regulated entities exert significant [influence](https://www.investopedia.com/terms/r/regulatory-capture.asp) over the agency, leading it to prioritize their interests over those of the general public. As a result, the regulatory body may act in ways that benefit the industry rather than ensuring fair and effective regulation.*