Private Security Companies Ordinance, 2001

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THE PRIVATE SECURITY COMPANIES ORDINANCE, 2001 
 
 
 
 
CONTENTS 
1. Short title, extent and commencement 
2. Definition 
3. Ordinance not to apply to Civil Armed Forces, etc 
4. Private security companies’ employees not to wear certain uniform 
5. Prohibition of maintenance of a company without a licence 
6. Procedure for grant and renewal of licence, etc 
7. Appeal 
8. Exhibition of licence 
9. Penalties 
10. Revocation of licence 
11. Effect of revocation of licence, etc 
12. Employment of staff by the licensee 
13. Possession of arms and ammunition by the licensee 
14. Identification papers 
15. Power to inspect and search 
 

 
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16. Liability of directors, officers, etc 
17. Cognizance of offences 
18. Power to make rules 
19. Ordinance not to derogate from other laws 
20. Licensees or their employees not exercise powers exercisable by a  certain Government 
functionaries 
21. Private security company not to be private military organization 
 
  
 
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THE PRIVATE SECURITY COMPANIES ORDINANCE, 2001 
ORDINANCE No. VI OF 2001 
[7th February, 2001] 
An ordinance to provide for regulation of private security companies in the Islamabad Capital 
Territory 
WHEREAS it is expedient to provide for regulation, licensing and control of private security 
companies in the Islamabad Capital Territory and for matters connected therewith and ancillary 
thereto; 
AND WHERAS the National Assembly and the Senate stand suspended in pursuance of the 
Proclamation of Emergency of the fourtee nth day of October, 1999 and Provisional Constitution 
Order No.1 of 1999; 
AND WHEREAS the President is Satisfied that circumstances exist which render it necessary 
to take immediate action; 
NOW, THEREFORE, in pursuance  of the Proclamation of Emergency of t he fourteenth day 
of October, 1999, read with the Provisional Constitution (Amendment) Order No.9 of1999, and in 
exercise of all powers enabling him in that behalf, the President of the Islamic  Republic of Pakistan 
is pleased to make and promulgate the following Ordinance:— 
1. Short title, extent and commencement.    (1) This Ordinance may be called the  Private 
Security Companies Ordinance, 2001. 
(2) It extends to the whole of the Islamabad Capital Territory, Islamabad. 
(3) It shall come into force at once. 
2. Definitions.__ (1) In this Ordinance, unless there is anything repugnant in the subject   or 
context,___ 
(a) “company” means a company incorporated under the Companies 
Ordinance,1984(XLVII of 1984); 
(b) “Competent Authority” means the Chief Commissioner Islamabad Capital  
Administration; 
(c) “licence” means a licence granted under this Ordinance for carrying on the 
business of a private security company by providing for consideration, 
security guards or security arr angements for the  protection of persons or 
property or to prevent the theft or unlawful taking of property; 
(d) “licensee” means the holder of a licence; 
 
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(e) “Licensing Officer” means the licen cing officer appointed by the Chief 
Commissioner, Islamabad Cap ital Administration, and shall include an 
Assistant Licensing Officer; 
(f) “private security company” means any company, registered under the 
Companies Ordinance, 1984(XLVII of 1984) carrying on, maintaining or 
engaged in the business of providing for cons ideration security guards or 
making other arrangements for the security of other persons and their property 
functioning under a valid licence issued by the competent authority; 
(g) “prescribed” means prescribed by rules made under this Ordinance; and 
(h) “security guard” includes any watchman o r other person engaged by the 
licensee for the protection of persons or  property or to prevent the theft  or 
robbery at the protected places. 
3. Ordinance not to apply to Civil  and Armed Forces, etc. __ (1) The provisions of this 
Ordinance shall not apply to___  
 (a) any member of Armed Forces, police or any civil armed force; and 
(b) any inspector, guard, watchman, or other persons employed by an individual 
employer for inspection, protection, guarding of his residence or commercial 
or business premises or for the protection of persons or property of such 
employer who is not engaged in the business of private security company. 
4.  Private security companies’ employees not to wear certain uniform. ___  The persons 
employed by the private security company shall not wear uniform akin to uniform of armed force s, 
police or any civil armed force and shall wear the uniform as may by prescribed. 
5. Prohibition of maintenance of a company without a licence. ___ No person shall carry on 
the business of a private security company or maintain or provide security guards or security 
arrangements for consideration unless holds a licence for the purpose issued under this Ordinance. 
6. Procedure for grant and renewal of licence, et c.____ (1) Whoever desires to engage in the 
business of maintaining a private security company shall, after he has got such company registered 
under the Companies Ordinance 1984(XLVII of 1984), make an application for grant of a licence to 
the Licensing Officer and shall, with his application, furnish such information,  attach  documents  
and  pay  such  fee  in  the  form  and  manner  as  may  be prescribed. 
(2) On receipt of an application under sub -section (1), the Licensing Officer may after such  
verification and enquiry as he may deem necessary and subject to such condition including 
furnishing of security as may be prescribed, grant or refuse to grant the licence. 
(3) A licence issued under sub-section (2) shall be__ 
 
 
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es 
(i) valid for such period as may be prescribed; and 
(ii) renewable on an application made in the form and on payment of such fee as 
may be prescribed. 
(4) A licence shall not granted if 
(a) satisfactory evidence has not been produced of the good moral character of the 
officer of the company holding managerial or executive position s or any of its 
officers holding a managerial or an executive position s has been convicted of 
an offence involving fraud or moral turpitude; 
(b) it is not in the public interest to do so; 
(c) security-clearance is not provided as may be prescribed; or 
(d) the private security company is not registered under the company Ordinance, 
1984(XLVII of 1984); 
Provided that the reasons for refusal to grant a licence shall be recorded in writing and shall  
be communicated to the applicant. 
(5) The Licensing Officer may, at any time, under the direction s of the Federal Government, 
vary or revoke any of the conditions of a licence or impose any additional conditions thereto. 
(6) The Licensing Officer shall, b efore taking any action under sub -section (5), notify to the 
licensee his intention of the proposed action and provide him an opportunity to show cause against 
such action. 
7. Appeal.__ Any person aggrieved by any order made by the Licensing Officer under section 
6 may, within thirty day s, appeal against such order to the Secretary, Ministry of Interior, 
Government of Pakistan, whose decision shall be final 
8. Exhibition of licence. __ Every licensee shall exhibit his licence or a certified copy thereof 
in a  conspicuous place at his principal place of business and at every branch where the licensee 
carries on the business of private security company. 
9. Penalties.__ Any person who__ 
(a) carries on the business of private security company without a licence;  
(b) fails to comply with the conditions of the licence; 
(c) fails to exhibit the licence or certified copy thereof at a conspicuous place in 
the office or place of business of the private security company; 
 
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(d) not being the holder of a licence keeps, uses o r exhibits any sign, writing, 
painting  or  other  mark  implying  that  he  holds  a  licence  to  carry  on  the 
business of a private security company; 
(e) being a licensee, or an applicant for grant of licence, knowingly makes a false 
or incorrect statement or omits to furnish any particular which he is required to 
furnish; and 
(f) being a licensee, violates the relevant provisions of the Companies 
Ordinance,1984(XLVII of 1984). 
Shall be punishable with imprisonment for a term which may extend to three years or with 
fine which may extend to two hundred thousand rupees, or with both, and in case of default in 
payment of fine, the offender shall be liable to imprisonment which may extend to one year. 
10. Revocation of licence. ___ (1) The Licensing Officer may, by an order in writing, revoke a 
licence___ 
(a) if he is satisfied that the licensee 
(i) has ceased to carry on the business for which he has obtained the 
licence or has applied for liquidation, winding up of the company or 
the company has been dissolved; 
(ii) has obtained the licence by providing false information in 
contravention of the provision of this Ordinance; 
(iii) has been convicted of any offence involving moral turpitude or, any of 
the officer of the licensee holding a managerial or executive position, 
partner, employee or security guard has been convicted of any offence 
involving fraud or moral turpitude; 
(iv) is contravening, or has contravened, any of the provisions of this 
Ordinance or the rules made thereunder; or 
(b) if is found that the security guards employed by him do not posses the 
prescribed qualification or training; 
(c) if the company fails to provide services to tis clients as per agreement signed 
by it or as per the prescribed procedure; and 
(d) if it is considered necessary to do so in the public interest. 
(2) The Licensing Officer shall, before revoking any licence under sub -section (1), give the 
licensee a notice to show cause in writing specifying a date, not less than thirty days from the dat e of 
the notice, on which the revocation shall take effect unless the licensee satisfies the Licensing Officer 
that the licence was not liable to be revoked. 
 
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(3) When the Licensing Officer revokes a licence under sub -section (1), he shall forthwith 
inform the licensee by notice in writing of such revocation specifying date thereof and the Registrar 
of Companies concerned. 
(4) The person whose licence has been revoked may, within thirty days of the receipt of the 
notice referred to in sub -section (3), prefer appeal in writing against the revocation to the Secretary 
Ministry of Interior whose decision thereon shall be final. 
11. Effect of revocation of licence, etc. ___ (1) Where an order of revocation becomes 
effective under section 10, the li censee shall ceas e to carry on the business of a private security 
company. 
(2) Notwithstanding the revocation of licence, the enforcement of right or claim of any 
against the licensee or by the licensee of any right or claim against person arising out o f, or 
concerning, any matter or thing done prior to the revocation of the licence shall not be affected. 
12.Employment of staff by the licensee. ___ The licensee may, in the conduct of his business, 
employ as many persons as he may consider necessary to be security guards and members of staff 
and shall at all times during such employment be responsible for the good conduct of each and every 
person employed by him. 
(2) The licensee shall not employ as a security guard any person who__ 
(a) has been convicted of any offence involving moral turpitude or dismissed 
from Government service on charges of misconduct; and 
(b) is, in the opinion of the Licensing Officer , not a fit and proper person to be 
employed as security guard. 
(3) Notwithstanding anything contained in sub -section (1), no person shall be employed by a 
licence as a security guard until he has submitted to the Licensing Officer a statement containing 
complete particular and other information of such p erson in the prescribed form and the Licensing 
Officer has conveyed his no objection in writing to the recruitment of such security guard by the 
licensee. 
(4) Every licensee shall maintain a list of all the persons employed by him with their full 
particular and antecedents at the place of his business. 
13. Possession or arms and ammunition by the licensee. __ (1) A licensee may possess  and  
keep  arms,  ammunition  and  other  equipments  which  may be necessary for performance of the 
functions of the priva te security company in accordance with the law and rules applicable for 
possessing and keeping of arms and ammunition and shall use and retain such arms and ammunition 
and equipments in such manner as may be prescribed. 
(2) A licence to retain any arms, ammunition and other equipments may be issued by the 
Islamabad Capital Administration on the recommendation of the Licensing Officer 
 
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14. Identification papers. __ (1) Every security guard shall at all times carry proper 
identification papers issued by the licensee in such form and containing such particulars as may be 
prescribed and produce such papers for inspection when so required by the Licensing Officer or any 
police officer duly authorized in this behalf  and shall surrender the identification papers t o the 
licensee when he ceased to be such security guard with the licensee. 
(2) Any person, other than security guard, or who has ceased to be a security guard, carrying 
identification papers of a security guard shall, in addition to any other punishment to  which he may 
be liable under any other law for impersonation, be punishable with imprisonment for a term which 
may extend to one month and fine which may extend to thirty thousand rupees. 
15. Power to inspect and search. __ (1) Where the Licensing Officer is satisfied, upon receipt 
of any information or after such enquiry as he may think necessary, that there is sufficient reason to 
believe that any premises is used for carrying on business of a private security company by a person 
who is not the holder of a licence, he may, be warrant or writing under his hand, authorize any 
person named therein, or any police officer not below the rank of an Inspector, with such assistance 
and by such force as is necessary to enter for searching the premises and all person s found therein, to 
seize all documents and things reasonably supposed to have been used or intended to be used in 
connection with the business of a private security company which are found in such premises or on 
such persons. 
(2) The powers of inspection and search of Licensing Officer specified in sub -section (1) and 
sub-section (1) of section 14 may also be exercised by the District Magistrate or the Superintendent 
of Police, Islamabad Capital Territory, Islamabad, either by himself in person or through a Police 
Officer authorized by him, in writing: 
Provided that no female shall be searched except by a female Police Officer. 
(3) The District Magistrate or Superintendent of Police , Islamabad Capital Territory, as the 
case may be, shall, without delay, inf orm, the Licensing Officer of the result of the inspection and 
search carried out under this Ordinance. 
(4) For the purpose s of any enquiry, the Licensing Officer or any person authorized by him 
not below an officer of BPS-16 may, for furtherance or such enquiry__ 
(a) enter, inspect and examine by day or by night the place of business of every 
licensee; and 
(b) require the production of records, account and documents kept b a licensee 
and to inspect, examine and obtain copies thereof. 
(5) Any person who___ 
(a) refuses the Licensing Officer or any person authorized by him to enter or 
search any place; 
 
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(b) assaults, obstructs, hinders or delay s him, or the person authorized by him, 
entry in execution of his duty under this Ordinance; or 
(c) fails to comply any  lawful demand of the Licensing Officer or the authorized 
person in execution of his duty under this Ordinance; or 
(d) refuses  or  neglects  to  give  any  inf ormation  which  may  reasonably   be 
required of him and which has in his power to give, 
Shall be punished with imprisonment for a term which may extend to one year, or fine which may 
extend two hundred thousand rupees, or with both. 
16. Liability of directors officers, etc. ___ Where an offence under this Ordinance has been 
committed by the Company o r any person who at the time of the commission of the offence was a 
director, secretary, manager, partner or an officer of the company or who was purporting to act in 
any such capacity, shall, unless he proves that the offence was committed without his con sent or 
knowledge and that on learning he exercised due diligence to prevent the commission of the offence, 
be deemed to have abetted such offence. 
17.  Cognizance of offences. ___Notwithstanding anything in the Code of Criminal Procedure, 
1898(Act V of 1898)— 
(a) an offence punishable under this Ordinance shall be triable by a Magistrate of 
the first class; and 
(b) it shall be lawful for any Magistrate of the first class to pass any sentence 
authorised by this Ordinance. 
18. Power to make rules. ___ (1) The Competent Authority may, with the approval of  the 
Federal Government, by notification in the official Gazette, make rules for carrying out the purposes 
of this Ordinance. 
(2) In particular and without prejudice to the generality of the foregoing power,  such rules 
may provide for all or any of the following, namely :__ 
(a) the information and documents to be furnished by an applicant for a licence; 
(b) the taking and recording o f photographs and fingerprints of the persons 
applying for licence and of every person employed by a licensee; 
(c) the form of a licence and the identification papers to b e issued to the security 
guards; 
(d) the uniform, badge or emblem to be worm by the employees of licensee; 
(e) relating the use of any arms, ammunition and equipm ent by a licensee; and his 
employees; 
 
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(f) regulating the activities of a licensee and the manner in which the business of 
a licensee shall be conducted; 
(g) training for security guards; and 
(h) matters incidental to the above. 
19. Ordinance not to derogate from other laws. __ The provisions of this Ordinance shall be 
in addition to, and not derogation of, any other law for the time being in force. 
20. Licensees or their employees not exercise powers exercisable by a certain 
Government functionaries. __ Nothing in this Ordinance shall be construed as conferring on a 
licensee or his employees any of the powers which by any law are conferred on or exercisable by a 
police officer or officers of customs, immigration, prisons, or any other public officer. 
21. Private security company not to be private military organization. ___ The private 
security company shall not be construed as private military organization for the purposes of Private 
Military Organization (Abolition and Prohibition) Act, 1974(IV of 1974).