"The main character – Carl – is a government-installed landlord in a totalitarian State. The State appoints Carl to spy on the tenants. The primary task is to covertly watch the tenants and eavesdrop on their conversations. A player can bug apartments while tenants are away, search their belongings for whatever can threaten the authority of the State, and profile them. The State requires a player to report anyone capable of violating the laws or plotting subversive activities against the Government to the authorities."
Beholder Wikipedia, retrieved June 27, 2019
Carl monitors and acts upon this information, but he is also being watched and if he doesn't comply with orders there are consequences. It's obvious that he *has to* comply with the state, otherwise they go after his finances and his family.