PSARA License

Private security (PSARA) license is required for private security agencies who provide security services under the PSARA Act, 2005.

Private Security agencies who provide security services including training of security guards need to be registered under the Private security agencies regulation act, 2005 (PSARA).

In 2005, the Parliament took note of the growth of private security agencies and enacted the Private Security Agencies (Regulation) Act, 2005 in an effort to regulate the functioning of the same. No person can now operate a security agency without obtaining a license for the same, and a contravention of this stipulation entails a period of imprisonment for up to a year or a fine up to 25,000 rupees, or both. Even if an individual wishes to provide such services abroad, it must do so with the permission of the Controlling Authority, which would look for the Central Government's approval in such cases.

While the Parliament expressed appreciation of such businesses, it also highlighted the issues in their governance – faulty background checks, use of uniforms closely relating to the military, naval, air force or police uniforms, etc., Furthermore, the existence of Multinational security agencies, in the opinion of the Legislature, would need safeguards, which it put in the PSARA.

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Compulsions:

Section 4 of the PSARA Act, 2005 explicitly states that no persons shall engage in the private security agency sector without obtaining a license for the same.

Section 20(1) describes the penalties for violation of Section 4, which are –

• Period of imprisonment up to 1 year.

• Fine up to Rupees 25,000/-.

• Or both.

Thus, a license under the PSARA Act is absolutely necessary for persons carrying out/intending to carry out business in the Private Security Agency sector.

Documents Required For PSARA License Registration

In order to obtain a license under the Private Security Agencies Regulation Act, 2005, the following documents must be submitted,

• Application in form

• Affidavit as per the PSARA Act, outlining –

  • That the person applying is not disqualified under the provisions of Section 6 of the Act.

  • That training will be made available for private security guards, as required under Section 9(2) of the Act.

  • That the conditions under Section 11 of the Act are met.

  • That there are no cases registered with the police against the applicant.

• Ownership proof for the principal place of business.

• Logo of the security agency.

• Identity cards for all employees.

• Detailed armed licenses.

• Character verification certificate of the employees.

• Uniform pattern of the Agency.

• Certificate of Incorporation, MOA/AOA or Partnership Deed.

The precondition for PSARA License Registration

Before applying for the PSARA license, the following documentation needs to be done:

• Allotment of PAN.

• GST Registration.

• PF Registration.

• ESI Registration.

• Shop & Establishment Registration.

• Registration under Contractual Labour (Regulation and Abolition) Act.