Introduction: Private Security Agencies (Regulation) Act
Within a short span of time, India has witnessed an increase in the newly founded ventures which seems to welcome the jobs for private security guards. This phenomenon is garnering more attention and evolving as a trend. Owing to this fact, private security agencies are taking a flight in assisting not only the private individuals but also the businesses with their security needs.
However, there is a total downside to this, which erupts with respect to the functioning of the private security agencies. This unfolds the concern for the nationwide problem. In most cases, usually, the security personnel are hired without having to verify their personal details.
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Private Security Agencies (Regulation) Act was brought under the hammer to regulate and monitor the activities performed by such agencies.
Let’s Understand the PSARA Act and the Governing Authority
PSARA Act is the repository of laws that seek to keep a tab on all the activities of the private security agencies that operate in India. It is indeed crucial that PSARA License must be acquired on a prior basis by all the agencies that desire to offer the service of the security guards.
States in India stick to following their own unique procedure to grant the PSARA License. The State Controlling Authority is the governing entity in each state that grants the permission to such agencies so that they can operate legally.
What Eligibility Criteria Needs to be Met for Obtaining the PSARA License?
The applicant must fall within the bracket of eligibility criteria so that they can obtain the PSARA License with ease. In case the applicant is a company, then preferably such an entity must register in either category as given below:
- In the first place, the company can take the form of a private limited company.
- The company can also be a limited liability partnership.
- One-person company is justifiable as well.
- Sole proprietorship is another form under which the company can be registered.
- Last but not the least, a registered partnership firm also falls under the eligibility criteria.
Chalked down below is the set criteria for any Director to be eligible:
- The applicant must enjoy the status of an Indian resident.
- The applicant should accord stable finances so that they can bear the cost of operations.
- Lastly, the applicant seeking eligibility for the designation of Director must ensure that he/she is free from any criminal records.
In addition, in order to secure the designation of a security guard, the set-out criteria needs to be met, as given below:
- The applicant seeking to achieve the designation of a security guard should necessarily be an Indian citizen.
- The applicant must fall within the set age bracket which stands at being more than eighteen years and less than sixty-five years.
- The desirous applicant must necessarily have undertaken the specific training of being a security guard, preferably from any organization or institute.
- In no case, the applicant should have been terminated from any service under the government.
Non-Eligibility with Respect to PSARA License
Owing to certain disqualifications as given below, the applicant would become ineligible in applying for the PSARA License:
- If there has occurred a case of conviction involving the applicant in lieu of company’s formation or subsequent management.
- If the person seeking to apply has been convicted by the competent court in case of offenses wherein the prescribed punishment is not below the tenure of two years.
- It has surfaced that the applicant has fostered any links with such an organization that is banned by virtue of law or covers those activities that are in contravention to the policy of public order.
- The applicant was removed from any government service owing to the reason that some misconduct has been made on his part. Besides this, moral turpitude is a much relevant ground for non-eligibility.
- The incorporation of the company by all means did not take place in India.
- The company’s proprietor is by no means an Indian.
Obtain PSARA License: Enlisting the Necessary Documents Which Must be Submitted
With respect to each state, there is slight variation in the list of documents that need to be submitted. Listed below are some of the common documents which are deemed necessary in order to obtain the PSARA License.
- The first important document is the certificate of incorporation that the company has.
- Secondly, a Memorandum of Association should be present which needs to be the signed one.
- Next, the identification proof of the security guards forms the necessary document.
- All the directors of the company should also put forth their identity proof together with the employees.
- Any proof that validates the address with respect to the registered office should also be submitted.
- Further, if there is any affidavit which is fetched as given under PSARA must surely be submitted.
- If there is any logo which is upheld by the private security agency, it needs to be submitted.
- The details pertaining to the permanent Account number have to be furnished, especially in case of the promoters.
- Any registration details that are in regards to Employees States Insurance.
- The affidavit must be included which validates that the security guard has undergone training.
- All the relevant documents related to the Provident Fund.
- The photograph of the promoters must be supplied in two numbers.
- With respect to every Director, the copy must be supplied regarding the Income Tax Return.
- With regards to the employees, their respective character certificates have to be submitted.
PSARA License: Intricacies of Renewal and Expiry Period
Certain points have to be kept in mind in reference to the renewal procedure involving PSARA License, which are given below:
- The application seeking the renewal of the PSARA License must be made prior to the expiry of the PSARA License itself. Such an application must be made well within the set limit of ninety days.
- Moreover, the application must be submitted together with certain documents as provisioned under the relevant sections of the PSARA Act which are section 6, section 7 and also include section 11.
- Make a note that without the submission of the prescribed fee, the application would not be accepted in any case.
The PSARA License retains its validity for a period of five years, starting from the very date, the license is issued. However, with respect to certain states, the PSARA License entails validity only for one year. These states include Chhattisgarh, Uttrakhand and also Madhya Pradesh.
Read Our Blog: Everything about Private Security Agency License: Know the Procedure
How Much Registration Fee is Allotted for Obtaining the PSARA License?
The registration fee varies in respect of the following:
- If it involves fairly one district, then the registration fee stands at INR 5000.
- If it involves the districts ranging from one to five, then the prescribed registration fee is INR 10,000.
- If the case is having to deal with the entire state, then the registration fee is sought at INR 25,000.
Circumstances that Can Render the Disqualification of any Private Security Agency
There are certain circumstances that invite the grounds of disqualification of the director of the private security agency, which is as follows:
- If the person associated with the private security agency, has been found guilty by the competent court, then in such a scenario, the term of the imprisonment would fall below two years.
- If the person is found to be maintaining any links with the organization that seeks to threaten national security or cause any obstruction to the public order, then this action would attract the ground of disqualification.
- If the person has been terminated from the government services owing to his inappropriate character.
- If in case the agency does not entail registration in India or any of its directors is situated outside India including that of the partners.
PSARA License and the Conditions Under Which it Stands Canceled.
Controlling officer is the entity that holds the authority to cancel the PSARA License under any event that violates the conditions as given below:
- If the case is such wherein the PSARA License is obtained in lieu of submission of invalid documents, mostly involving the fake ones.
- There has been use of photographs of some other person by the license holder.
- There has been violation of any of the provisions of the PSARA Act as done by the license holder.
- If any information related to the PSARA License has been gravely misused by the license holder, then it would be subjected to disqualification.
- If the activities by the private security agency are executed in someone else’s name instead of being used under the very name the license was obtained.
- The license holder has sidelined from his duty from complying with the obligations as given under the PSARA Act.
- The private security agency has showcased negligence in the course of performing its duties.
- The private security agency has resorted to performing any activity that is anti-national.
What grounds make the private security guard to be disqualified?
To be able to serve as a private security guard, the person must not entail any disqualification in any manner as given below:
- If in any case, the person has been found guilty under the subject relating to gross negligence.
- If the person has resorted to committing misappropriation or in any other case, there has been the event involving the breach of trust with respect of any property, the person was supposed to extend protection to.
- If the person has displayed any action that is construed to be inappropriate like found drunk or has resorted to any action which involves the element of indiscipline.
- If the person opting for the role of private security guard has been found guilty in the matter related to serious crimes.
- If in any case, the person has resorted to scheming against the property, and this property is the one which was required to be protected in the first place itself.
Recent Amendments that Took Place Under PSARA Act
- In the first place, it is seen that after the private security agency licensing portal was launched, it has done away with the need to apply for police verification on a manual basis
- Secondly, a major amendment has taken place wherein the utility of electronic databases about criminals is made into a compulsory requisite for the Controlling authority. Databases like CCTNS must be keenly used by the Controlling authority so that the antecedents of the applicant can be verified.
- With respect to the fees, demand draft would be acceptable as well as the cheque.
- National Skill Qualification Framework is made into a compulsory requisite by the central government which needs to be complied with.
- Ex-defense personnel can be hired by the private security agency as per the requirements of the job. But it should be noted that the agency must not appoint any officer who has a rank of either paramilitary forces or that of the police force under state.
- The character certificate would enjoy the status of being valid for a period extending up to three years straight from the date it has been granted. It would not, in any case, be affected by any change with respect to the status of employment.
- The premises as used by the private security agency must be duly verified by the Controlling authority either by appointing an officer or be done on a Suo Motu basis.
- By all means, the hard copy of the PSARA License must be available with the Controlling authority.
This license must be delivered at the registered office of the Private security agency within the period extending up to fifteen days starting from the date it got issued. Further, this license should be displayed at the place where the business of the private security agency is carried out, that too on a mandatory basis.
In the nutshell, it can be concluded that it is of utmost importance that the PSARA License should be obtained on a prior basis by the agency that seeks to provide private security services. Such a license has indeed instilled a sense of confidence in the people to hire the services of the private security guard.
This portion of the site is for informational purposes only. The content is not legal advice. The statements and opinions are the expression of author, not corpseed, and have not been evaluated by corpseed for accuracy, completeness, or changes in the law.
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