Thinking more about it, I am fairly sure that the government really should start a certification program of some kind. Or at least could. I mean, scry wards are a form of persistent protective magic. It's a mix between medicine, weapons/protective gear and dangerous chemicals.
The known production facilities for the wards should've been already inspected by the government with Atlantean experts to make sure that Luthor isn't distributing demon summoning designs, extra taxes on this new product would also be levied by the government and every other company in LexCorps weight range would have their own ward production so they wouldn't be vulnerable to any backdoors in the design.
You seem entirely ignorant of the basic principle of American Law. You are arguing that the government should be doing this and doing that already, like the wards are something bad. But that is not how it works. You are operating under the assumption that this "ward thing" automatically requires and acquires government oversight. Not so. It there is no law against it, then it is perfectly legal. And before the government could or should even try getting involved, there needs to be a pertinent enabling law. And if you think ad hock adding more taxes on stuff the gov't does not like on a whim out of the blue is something the they are allowed to do, you are in la la land. the stuff Lez Luthor sells would be covered by the generic sales tax. Adding a specific ward tax means you are the idiot senator that looses the election, because this is stuff that is supposed to keep magic users from becoming peeping toms into your personal space. It would backfire like having a specific tax on spyware blockers or email encryption would. That is, make you an look like unelectable fascist twit.
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Ok, I was going to quote some more stuff, but there is getting to be to much.
What are you trying do do here. Because right now it look like you are advocating punitive and selective action against Lex Luthor as payback for the Ward proliferation. Like sending in inspectors to the factories to check for demon summoning wards. Why? you could examine his mass produced wards off the line to see that is not the case. And where is your reasonable cause and good faith belief here, that both wards and demon summoning are both magic? This is as asinine as sending nuclear weapons inspectors to a car factory because they are both technology.
also here:
You can't have it both ways, Luthor has mass-production scale facilities for ward-encrusted paper sheets or he doesn't.
This is you talking nonsense. Having it both ways is both common and sensible. It is called "
Argument in the Alternative." In this case, Luthor would argue that since the gov't has not gotten around to making or assigning a regulatory oversight body for magic, and legislatively passed relevant enabling laws, whether it was a ward or not is irrelevant, and the applicable laws would be those concerning paper, and corporate logo trademark law, of which there is nothing offending, and the fact you are not bothering other specialty paper makers undermines their argument. But even if the United States had authority over the ward issue, since the purpose of the wards is to protect the already legally recognized right to privacy and protection against unwarranted search, courts have already made relevant precedent by their rulings regarding other innovations to protect citizens from being spied upon.
There is also the problem of
spectral evidence. The last time magic was in the courts, cases were decided by testimony that was pretty much made up nonexistent bullshit. Nowadays, the courts like to verify the non made up nature of assertions you are asking them to take as face value. This is something where having a actual existing framework for dealing with magic will help. You are putting the cart before the horse.
And no, the US does not just hand over branches of the executive department to non democratic foreign governments, and assuming that is any kind of solution is naive.