What is PSARA License
PSARA or Private Security Agencies Regulations Act is the regulatory Act for Private Security Agencies that operate in India. PSARA License is a mandatory requirement to commence Private Security Agency Business in India.
The PSARA act was legislated in the year 2005. The PSARA Act covers the formation, operation, regulation, and disqualification of private security agencies in India.
The scope of PSARA permit is limited to a single state instead of a single license with nationwide coverage. The aspirants need to obtain a permit from the state controlling authority of the concerned state.
Eligibility Criteria Under PSARA License 2005
The eligibility to obtain PSARA License is prescribed under the PSARA License Act 2005. As per the Act; the following entities are eligible to receive PSARA License
- Sole Proprietorship
- Partnership Firm
- One Person Company
- Private Limited Company
The above-mentioned business entity can file their application to the concerned authority of the state.
Eligibility Criteria for Director/ Principal Officer
The qualification of the Director or Principal Officer is as follows;
- Must be an Indian Resident
- Financially able to incur the cost of operations
- Must not be sentenced by a court of law
Eligibility Criteria to work as a security guard in a Private Security Agency
- Citizen of India
- Over eighteen years of age and below sixty-five years
- Non-objectionable character and antecedents
- Passed the security training successfully
- Fulfills physical standards
- Not convicted by a court
- Not dismissed for misconduct from any Government institution
Documents Required for PSARA License
The requirement of documents for eligibility varies from state to state. The papers requirements are mentioned below
- Allotment of PAN
- Registration with the service tax department
- Registration of establishment under Shops & Establishment
- Employees State Insurance(ESI) Registration
- Provident fund (PF) Registration
- Registration under the Contractual labor Act
- Affidavit of security training
- Ownership proof for the principal place of business
- Detailed armed licenses
- Character verification certificate for the employees
- Uniform Pattern
All Below documents should be in proper format and shall have to be notarized
- Affidavit as per Act.
- Logo for the security agency
- Identity card for all employees. Tie-ups for different yearly compliances
- Fees for PSARA license
Rules and regulation under PSARA to regulate the license:
According to guidelines, certain compliances are required to comply once the PSARA license is received. These are given below:
- All the security agencies are required to hire and engage supervisors to supervise the work of security guards they have appointed or debuted in the other organization.
- Such a security agency is required to train its people with the necessary training and skills.
- Ex-Defense personals with three years of experience should be given preference over others.
- The PSARA has expressly provided the criteria, qualification, and disqualification for a security guard to be followed.
- The Act covers the eyesight, health condition as well as about the uniform of the persons to be employed as a security guard.
PSARA License Fee Structure
The PSARA License fee structure is as follows;
- For a Single District – Rs 5000
- For 5 Districts – Rs 10000
- For an Entire State – Rs 25000(Except in Karnataka – Rs 50000)
Expiry & Renewal
Expiry and Renewal of PSARA License
The PSARA License is valid for five years from the date of registration in the majority of states except in Chhattisgarh and Uttarakhand. The states of Chhattisgarh and Uttarakhand permit for one year.
The renewal of PSARA License can be done starting from 90 days before the date of expiry.
The proposed director/principal officer of the PSARA agency or the PSARA entity itself must not be disqualified under the following criteria;
- If the person has been convicted of an offense in connection with any fraud or misfeasance committed by him/her in relation to the company), it also includes an insolvent; or
- If a competent court has convicted a person for an offense for which the imprisonment is not less than two years; or
- Any person who is keeping links with any organization or association which is banned by law due to their activities which could be a possible threat to national security or public order or in cases where specific information about such a person is there of being indulged in activities which are prejudicial to national security or public order; or
- Any such person who is already dismissed or removed from the Government service due to misconduct or moral turpitude.
- Any organization which is not registered in India, or having a proprietor or a majority shareholder, partner or director of outside India or are not a citizen of India.