PSARA License

Know the Conditions for commencement of operation after obtaining a PSARA License

calendar01 Jun, 2021
timeReading Time: 4 Minutes
operation after obtaining a PSARA License

PSARA Act usually regulates the registered security agencies in India. The idea of starting a private security firm is undoubtedly a productive one owing to the stability and profit its offers to its owner. Today, fencing of illicit activities has become a headache for the Police authorities and other relevant agencies. Every now and then, we came across the incident of thievery, loot, and personal harms. The growing number of crimes has encouraged the government to enact the PSARA Act that set out guidelines regarding establishing, executions, and compliance of private security firms in India. This write-up will shed some light on aforesaid parameters, including conditions for commencement of operation after obtaining a PSARA License.

Conditions related to commencement of operation & engagement of supervisors

  • Every private security agency must commence its business operations within six months of obtaining a PSARA license.
  • Every private security firm must provide ample training to its private security guards to discharge their duties effortlessly. The firm’s owner must remember the timeline for fulfilling such a requirement. As per the PSARA Act, the security guards and supervisors must be given the required training within the period of one year from the commencement date of business operation.
  • Every private security company shall appoint a required number of supervisors within 60 from obtaining the PSARA license, as may be prescribed.
  • A private security agency shall not appoint or engage an individual as a supervisor unless he meets the norms cited in the sub-section (1) of section 10.
  • In case of supervisor appointment, every private security firm must render preference to an individual from a defence background such as Army, Air Force, Navy or any other Armed forces of the Union or State police, including Home guards & armed constabularies for a period of not less than three years.

These are the mandatory Conditions for commencement of operation after obtaining a PSARA License. Now let’s proceed to the next section that showcase conditions regarding the Conditions regarding the inspection of PSARA licence.

Read our article:PSARA License in India: Documentations, Fees, and Process

Conditions regarding the inspection of licence after obtaining PSARA license

  • A designated officer appointed by the Controlling Authority may pay a surprise visit at the security firm for on-site inspection.
  • During an inspection, the officer may demand records, accounts, & other documentation to identify whether everything is in conformity or not.
  • Failure to produce on-demand document may compel the officer to take stringent actions against the defaulter.
  • The officer may conduct an on-site inspection of the premises during his visit.

Let’s move to the next section, which is undoubtedly important because it talks about conditions that provoked suspension and cancellation of license.

Underlying Conditions for Cancellation & suspension of licence

Following are the conditions that may result in the suspension and cancellation of the PSARA license. Every private security firm owners should remember them after obtaining a PSARA license.

In light of PSARA Act, 2005, the Controlling Authority may revoke the license if

  • The licence has been availed by providing falsified data or documents
  • The licence holder used fake documentation & photographs;
  • The licence holder has breached any conditions of the Act
  • The license holder has prejudicially used information obtained while discharging the duties as the security firm to any business undertaking or industry or any other person;
  • The license holder wrongfully used the advertising material or printer matter to mislead the clients or give a false impression about the firm’s services.
  • The license holder has falsely projected itself as a public servant and misleading the client to meet the wrongful intention.
  • The license holder fails to comply with the standard timeline under the Act for commencing the activities or appointing the supervisor.
  • The license holder showed any discrepancies in discharging the services agreed to any individual;
  • The license holder wilfully breached the court order or encouraged someone to do the same.
  • The license holder performed some acts that pose a threat to national security.
  • The security guard showed non-cooperation in relation to supporting government authorities.
  • The license holder has breached the norms of the Acts given in the schedule, which might be altered by the Central Government[1], notified in the official gazette;

There have been numerous instances when the security guards provided by the security firm-

security guards provided

Let’s summarised what we had learned so far.

Important points to ponder after obtaining a PSARA license

  • Appointment of supervisor should not be done against the conditions mentioned under the PSARA Act.
  • The Act gives a 60-day timeline from the registration date to registered security firms for hiring the required number of supervisors.
  • Proper training for hired security guards is an absolute compulsion under the said Act. And they must get trained within 6 six of commencement of business.
  • The ignorance of the selection criteria of the supervisor could lead to massive penalties. Thus, the security companies must stay in line with the given norm while catering to such undertaking.  


So these are the Conditions for commencement of operation after obtaining a PSARA License. It is essential to note down that authorities constantly probe security firm for compliances, and after detecting any loophole, they can treat the defaulter with stringent penalties. Therefore, staying in line with the given norms of the Act is not an option; instead, it is a compulsion for security agencies. Do not forget to drop us a mail in case you need some clarification on the same. We will glad to assist you.

Read our article:Know about Register to be maintained by a Private Security Agency and other requirements

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