When a show cause action is taken, the licensee is usually given 28 days in which to make submissions why the licence should not be cancelled or suspended. The circumstances which give rise to a suspension are usually where the licensee has been charged with a disqualifying offence. This calls into question whether the person should be able to continue to act as a security provider while the matter is being dealt with by the courts. Where the licensee is cleared, the licence is generally reinstated. However, many licensees who have been subject to the show cause process voluntarily leave the occupation by either surrendering their licence or choosing not to renew it. In these cases the licence is not cancelled as it has already been surrendered. Nevertheless, the register of licensees is duly noted and any future application from these persons is flagged for detailed assessment.
The Office of Fair Trading has continued to progress the show cause actions outlined in my February media release and, as at 19 April 2010, of the 194 show cause actions, 68 (35%) licensees continue to hold their licence, 42 (22%) remain suspended, 41 (21%) have been either cancelled or refused, while 43 (22%) have chosen to leave the security industry.
In summary, disciplinary action taken by my department has been effective in weeding out undesirables from the security industry with 35% of the show caused licensees being cleared, 22% still under investigation and 43% being removed from, or having left, the industry.