Overview of PSARA license in Maharashtra
In a country like India, crime prevention is nothing short of a cumbersome undertaking for the police authorities. The establishments like residential societies, commercial outlets, offices, malls, etc., seek additional security to keep themselves safe from notorious and criminal elements. This is where PSARA Act, 2005 plays a pivotal role. It is not only catering to the ever-increasing security needs of different establishments but also lessening the burden on the police authorities. The said Act aims for the holistic development of the unorganized private security sector in India. Up till now, as many as 16453 PSAs have been registered under the said Act. Enterpreneurs looking to start their business journey as a private security agency in India are liable to secure a PSARA license in the first place.
Fundamental Aspects Governed by the PSARA Act, 2005
PSARA Act, 2005 primarily sets out provisions around the following aspects.
- Licensing procedure for the PSAs (Private Security Agencies
- Operational norms for PSAs
- Training of guards
- Code of conduct for appointed guards
- Appointment of supervisor
PSARA license in Maharashtra: Eligibility Criteria
The section below reflects the list of entities that fit the PSARA license's eligibility criteria
- Sole Proprietorship
- Private Limited Company under Companies Act, 2013
- Limited Liability Partnership (LLP) registered under LLP Act, 2008
- Partnership Firm registered under Partnership Act, 1932
- One Person Company (i.e. OPC) incorporated under the Companies Act, 2013
Who is not allowed to apply for a PSARA license?
- Applicants other than Indian nationals
- Entities lack the ability to confront financial obligations for running the business of a private security agency.
- An applicant with an illicit track record
- Applicants involved with undertakings that are against the nation's interest
PSARA license in Maharashtra: Registration Process
PSARA licensing process entails various steps as shown below:
Step 1: Paperwork Arrangement
The following documents serve as a mandatory annexure to the PSARA license application;
- PAN Card
- Registered Office's address proof
- GST registration certificate.
- Income Tax Returns of directors
- Contractual Labour Act registration letter
- Employees' State Insurance, i.e. ESI registration letter
- Shops & Establishment act registration letter
- Certificate of Company's Incorporation
- Provident fund registration letter
Step 2: Sign MOU with training institute (Government-certified)
Signing a Memorandum of Understanding with a training institute is pivotal step in this process. As per the governing Act, the applicant firm is obligated to sign MOU with a government-accredited training institute to secure this license. The training institute will be liable to train the appointed guard in accordance with PSARA Act.
Step 3: Police Verification
In this step, the applicant needs to secure NOC from the concerned police department via application form-I.
The Act has a different filing requirement for applicants applying on behalf of the registered firm and the Association of Persons. The Act seeks to file separate applications from every partner/director in this context.
Please note that the GOI has removed the provisions of manual document verification to simplify the licensing procedure.
Step 4: Filling of PSARA Application
The state's controlling authority confers a PSARA license. The initiation of application processing shall entirely depend on the availability of police NOC. In other words, the processing would cease to exist in the absence of police NOC.
Upon extensive inspection of the application and annexure attached thereto, the authority shall come up with the decision relating to application approval. If the applicant is rejected, the applicant shall be informed by the authority via notification reflecting the grounds for the cancellation. The licensing procedure usually takes around 60 days to complete.
PSARA license in Maharashtra: Renewal & Validity Norms
Controlling authority grants PSARA license with a validity of 1 year for the states like MP, Uttrakhand, and Chhattisgarh. The validity period has been extended to 5 years for the rest of the states. The renewal formalities for this license should be completed within 90 days from the expiration date.
PSARA license in Maharashtra: Post-registration Compliances
Private Security Agencies Regulation Act (PSARA), 2005 has underpinned the following post-registration compliances for the registered PSAs in India:
- Every PSA is liable to appoint a supervisor for guards' management
- A candidate having three years of experience in defence services should be given priority for the supervisor designation.
- All the appointed guards should undergo training protocols as cited in the PSARA Act, 2005
- The registered PSA should underpin the standard uniform code. All appointed guards are obligated to follow such code.
PSARA license in Maharashtra: Norms for Training
The Controlling Authority of the respective state formulates the training modules for the Private security agencies. Training modules entail different activities for the guards' training.
In view of the above, the PSARA Act, 2005 mandates every appointed guard to undergo;
- 200 hours of classroom instructions
- 60 hours of field training
20 days is the maximum timeline in which PSA should complete the said training module.
Apart from that, former police personnel and ex-servicemen shall be subjected to different training modules as shown below:
- 40 hours of classroom instructions
- 16 hours of field training
The completion duration for such a module has been capped at seven working days under the governing Act.
Mandatory activities to be provided by PSA
- Reading & comprehending English alphabets & Arabic numerals
- Physical Fitness training
- Fire fighting
- Handling and operating firearms (optional)
- Physical security, household security, assets' security, etc.
- Examination of an individual's credentials relating to the identity
- Crowd control
- Identification of fabricated explosives
Corpbiz expertise to address licensing formalities without any hassles
The real-world applicability of licensing provisions is somewhat complicated as compared to what appears under the Act. This is why most of the applications for PSARA licenses fail to secure the authority's approval. Expert assistance is something that can prevent such mishaps.
Corpbiz has a decade old experience in licensing and registration regimes. Our subject matter experts and professionals are well-versed in the legalities and underlying conditions of different licenses. As a trusted establishment, we are committed to ensuring 100% client satisfaction at all costs.