Providing sexual entertainment to the public using prostitutes (ganika) was an activity not only strictly controlled by the State but also one which was, for the most part, carried on in state-owned establishments [2.27.1]. Women who lived by their beauty (rupajivas) could, however, entertain men as independent practitioners [2.27.27]; these could have been allowed to practice in smaller places which could not support a full-fledged state establishment. A third type of women of pleasure, mentioned in a few places, is pumsachali, perhaps meaning concubines [3.13.37].
As befits a treatise on the economy of a state, the emphasis in the Arthashastra is on collection of revenue. The state enabled the setting up of establishments with lump sum grants of 1000 panas to the head courtesan and 500 panas to her deputy, presumably to enable them to buy jewellery, furnishings, musical instruments and other tools of their trade [2.27.1]. The madam of the establishment had to render full accounts and it was the duty of the Chief Controller of Entertainers to ensure that the net income was not reduced by her extravagance [2.27.10]. Independent prostitutes, who were neither given a grant nor required to produce detailed accounts, had to pay a tax of one-sixth of their income [2.27.27]. In times of financial distress, both groups had to produce extra revenue with the independents having to pay half their earnings as tax [5.2.21,23,28].
The establishments were located in the southern part of the fortified city [2.4.11]. Whenever the army marched on an expedition, courtesans also went with them; they were allotted places in the camp, alongside the roads [10.1.10]. During battle, the women were stationed in the rear with cooked food and drinks, encouraging the men to fight [10.3.47].
It would seem that courtesans not only provided sexual pleasure but also entertained clients with singing and dancing. In specifying their duties, the Arthashastra makes a clear distinction between two types of misdemeanours—showing a dislike towards a client visiting her for normal entertainment and refusing to sleep with him, if he stayed overnight [2.27.20,21]. The description of the training given to a couresan, at state expense, indicates how wide her accomplishments had to be—singing, playing on musical instruments, conversing, reciting, dancing, acting, writing, painting, mind-reading, preparing perfumes and garlands, shampooing and, of course, the art of lovemaking [2.27.28]. A courtesan’s son, who had to work as the king’s minstrel from the age of eight, was also trained as a producer of plays and dances [2.27.29].
It would appear from the above that some families specialized in the entertainment business. However, the Arthashastra specifically states that any beautiful, young and talented girl could be appointed as the head of an establishment, irrespective of whether she came from a family of courtesans or not [2.27.1].
Once appointed, the madam became a very important person. She could aspire to become the personal attendant of the King or Queen [1.20.20, 2.27.4]. Even otherwise, a very high price – 24,000 panas—had to be paid for obtaining her release from her post [2.27.6]. We must note that the amount was the second highest annual salary paid only to the five top officials (like the Chief of the King’s Bodyguards, the Chancellor and the Treasurer). Only such people could afford to buy a madam off as an exclusive concubine.
If a courtesan was promoted to attend on the King, her annual salary was fixed as 1000, 2000 or 3000 panas, depending on her beauty and qualifications [2.27.4]. 1000 panas was the same salary paid to the King’s personal advisers and attendants such as the charioteer, physician, astrologer, court poet, etc..