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Shalini Singh
| Updated: 12 Nov, 2019 | Category: PSARA

PSARA License – Know it’s Eligibility Criteria and Documents Required

PSARA License

Over the years, there has been a tremendous increase in the establishment of new ventures due to which the demand for security has also increased. Leaving the security purpose behind, it’s more of a trending thing among the individuals to hire security guards from private sources. These reasons have further populated a large number of private security agencies all over the country, which has also helped in meeting the security needs of the business.

But the way these security agencies are functioning is a matter of concern for the Nation. Many a time, it has been seen that these agencies conduct their operations without verifying the personal details and criminal record of these private security guards and supervisors. To regulate the functioning of these private security agencies, the Union government has introduced the Private Security Agencies (Regulation) Bill[1] in the Parliament. Here, in this article, we will have a look on what is PSARA License and the documents required for obtaining it.

What is PSARA Act and Which Authority Issues PSARA License?

 PSARA Act is the regulatory act for keeping an eye on the private security agencies operating in India. All the private security agencies need to have this PSARA License before starting their service. 

The PSARA bill has been passed by both the Houses of the Parliament that is Lok Sabha and Rajya Sabha. The PSARA bill received the consent of the President on June 23, 2005. PSARA License is allotted to these private security agencies at the state level, and these agencies need to obtain permission from the state controlling authority of their respective states.

What is The Eligibility Criteria to Apply for PSARA License?

There are specific specified eligibility criteria that any aspirants must fulfill to obtain this license.

The eligibilities under the PSARA Act, 2005 are:

 Eligibility criteria for Companies:

In accordance with the Private Security Agencies Act, 2005, any company who wants to register under the PSARA License need to register itself as:

  • Private Limited Company
  • Limited Liability Partnership (LLP)
  • One Person Company (OPC)
  • Sole Proprietorship
  • Partnership Firm

Eligibility Criteria for Director/Officer

  • The applicant must be a resident of India.
  • The applicant must be financially stable to afford the cost of operations.
  • Never had any criminal records.

Eligibility Criteria for Becoming a Private Security Guard:

Following Criteria must be followed for becoming a security guard and getting appointed by the private security agencies:

  • The applicant must be the citizen of India.
  • The applicant age must be more than 18 and less than 65 years in age.
  • The applicant must have gone through the Security training.
  • The applicant should never have been terminated from the government service.

What are The Documents Required For Obtaining the PSARA License?

The documents required vary from one state to another. The common documents required for obtaining the PSARA license is listed below:

  • Certificate of Company’s Incorporation
  • Signed MOA( Memorandum of Understanding)
  • Id proofs of the Security guard.
  • Identity proofs of all the Directors and employees
  • Address proof of the Registered Office
  • The affidavit obtained under the PSARA.
  • Logo for the Private security agency.
  • PAN details of the promoters.
  • Registration from ESI (Employees States Insurance)
  • Affidavit of the security training.
  • Documents of the PF (Provident Fund).
  • Two photographs of promoters.
  • Copy of ITR (Income Tax Return) of every Director.
  • Character certificate of all the employees.

In the end, a duly filled application stating (PSARA License) is submitted to the controlling Authority of that particular region.

Renewal and Expiration Period of PSARA License

There are specific procedures which are being followed for the Renewal of PSARA License.

  • The applicant has to make an application in not less than 90 days before the License expiry date.
  • The applicant needs to file for the PSARA License along with the documents prescribed under sections 6, 7 and 11 of the PSARA Act with the prescribed fee.

Expiration Period of PSARA License

The PSARA license is valid only for five years from the date of issuance of the license. However, in states like Uttarakhand, Madhya Pradesh and Chhattisgarh, the validity is only one year.

What is the Registration Fee for Obtaining the License?

There is a different registration fee for each of the following:

  • For One district – INR 5000
  • One to five districts – INR 10,000
  • For the entire state –  INR 25,000

Disqualification

Following are the criteria under which the Propose Director of the PSARA Agency cannot be disqualified:

  • If the Court has declared the person guilty for an offence, the imprisonment will be less than two years.
  • If the person is having a link with any organisation or association which is against the law and could harm the national security or public order.
  • If the person is already fired from any of the government services due to their wicked behavior or character.
  • If the organization is not registered in India or is having a partner or director outside the country.

Cancellation of License

The cancellation of license given to Private Security Agency can be done by the controlling officer on violation of the any condition mentioned below:-

  • The license was obtained by submitting incomplete and fake documents.
  • The license holders have used someone else’s photographs.
  • The license holder does not abide with the rules and provisions of the PSARA act and violated it.
  • Misuse of information relating to the PSARA license.
  • The private security agency is using someone else’s name for carrying out the work rather than using the same name as at the time of obtaining license.
  • The license holder is not obliging with the guidelines and not providing the services according to the PSARA act.
  • The private security agency is not attentive and is negligent in performing their duties.
  •  The private security agency is engaged in anti-national activity.

Conclusion

Well, to conclude one can say that to hire any private security guard, the person need not worry much about it because every private security agencies must have the PSARA License before commencing their operations. Also, the issuance of this license has developed faith among common individuals to hire private security personnel.

Read our article:Suspension and Cancellation of PSARA license: Overall legal Position

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Shalini Singh

Shalini is a B.tech graduate but her keen interest in writing impelled her to continue as a content writer. Further, She has a rich experience in Companies Act and Ammendment related topics.

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