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A Complete Guide on PSARA License Renewal and Penalties

A Complete Guide on PSARA License Renewal and Penalties

After 2005 every private security service company needs PSARA License to deploy security services. PSARA License Renewal is also required in every 5 years. PSARA stands for Private Security Agencies (Regulation) Act, 2005. Private Security Agencies are those agencies that deploy armed or without armed security to the individual or associations. Licensing was started by the government for the safety purpose. It is a prerequisite condition for every Private Security Agency. Government has a separate portal for PASARA Licensing. Its name is Private Security Agency Licensing Portal. 

Benefits of having PASARA License

Following are the benefits of PSARA License or PSARA License Renewal –

1.     It will increase the reliability and accountability of the Agency.

2.     Empowers the training company.

3.     It attracts more customers.

4.     Create goodwill in the market.

5.      It will help in gaining the trust of potential customers.

6.     Increase the credibility of the agency.

7.     Helps in smooth functioning of the organization.

8.     Increase the responsibility of the agency towards the customer.

9.     Gives customers a sense of security.

Documents Required for PSARA License and PSARA License Renewal

Following is the list of documents for PSARA License and PSARA License Renewal. For both PSARA License and PSARA License Renewal documents are almost the same. Because the application made for the PSARA License Renewal is almost the same as PSARA License. Before applying for the License following list of documents must be checked-

1.     Incorporation Certificate of the Company.

2.     Memorandum of Understanding (MOU) which is signed.

3.     ID Proofs of all the Security guards, Directors, and employees.

4.     Registered office’s Address Proof.

5.     Affidavit which is obtained under the Private Security Agencies (Regulation) Act, 2005.

6.      Promoters PAN detail.

7.     Private Security Company’s Logo.

8.     Employees States Insurance Registration.

9.     Documentary proof regarding Security training, affidavit can work here.

10.  Provident Fund Documents.

11.  Two photographs from each promoter.

12.  One Copy of Income Tax Returns of every Director.

13.  All the employees detailed character certificates.

14. ESI And EPF returns filed report

How to get PSARA License

PSARA License is necessarily required for every Private Security Agency. Hence, knowing the process of getting a PSARA License is very important. Following is the step-by-step guide to obtaining the PSARA License-

Step-1 An application for a grant of license shall be made to the Controlling Authority on behalf of the Private Security Agency.

Step-2 Applicant shall submit an affidavit related to the details provided under Section 6 of the Private Security Agencies (Regulation) Act, 2005.

Step-3 Ensure the requirement of section 9(2), regarding the training of the security guards and supervisors.

Step-4 Fulfils all the conditions of Section 11 regarding the pending cases of the applicant. Either before the police or the Court of Law.

Step-5 On receipt of the application Controlling Authority will do the inquiry. With inquiry, no objection certificate of police is also required in written form.

Step-6 After the due process Controlling Authority either grants the license or refuses to grant the license. This process is supposed to be completed within 60 days after receiving the application.

Step-7 If refused then, a reasonable opportunity of being heard will be given to the applicant. Also, the refusal order must be the speaking order.

Step-8 If the License is granted then it will be valid for 5 years unless it is saved from cancelation under Section 13(1).

PSARA License Renewal

From time to time PSARA License Renewal is necessary. It is not a one-time license. It has been granted for 5 years at a time. After 5 years PSARA License Renewal is compulsory. Renewal will be for the next 5 years only. After that, if any company wants to continue the business, they have to repeat the same process every 5 years. There is no alternative for the PSARA License Renewal. Following are the steps for PSARA License Renewal-

Step-1 Application for the PSARA License Renewal shall be made to the Controlling Authority. It must be made prior to 45 days of the expiry of the validity period.

Step-2 Application must fulfill the compliances of Section 6, 7, and 11 of the Private Security Agencies (Regulation) Act, 2005.

Step-3 The Controlling Authority has to pass an order regarding the PSARA License Renewal within 30 days, after receiving the Renewal application.

Step-4 On receipt of the application Controlling Authority will do the inquiry.

Step-5 After the due process Controlling Authority either grants the Renewal of PSARA License or refuses to grant the same license.

Step-6 If refused then, a reasonable opportunity of being heard will be given to the applicant. Also, the refusal order must be the speaking order.

Step-7 If the application is accepted then the license will be renewed for further 5 years.

PSARA License and PSARA License Renewal in Delhi prerequisites

There are certain specific conditions for PSARA License in Delhi which are given below-

1.     Licensee must do training within the time limit prescribed by the Controlling Authority for the Private Service Agencies.

2.     Within the 15-days of getting a PSARA License, Licensee has to disclose name, parenting, and address of the agency, address for correspondence, and the principle profession of each person who is forming the Agency.

3.     Controlling Authority must be informed if any change has been made in the address of the person forming the Agency. The information must be given within the 7 days of such change.

4.     If any criminal charge has been framed against any person forming the Agency or any bodyguard, then the same should be communicated with the Controlling Authority.

5.     Must fulfill the physical requirements prescribed for the private security guards.

Steps for PSARA License Renewal in Delhi

Following are the steps for PSARA License Renewal in Delhi-

Step-1 Application for the Renewal shall be made to the Controlling Authority. It must be made prior to the 90 days of the expiry of the validity period.

Step-2 Application must fulfill the compliances of Section 9(2) of the Private Security Agencies (Regulation) Act, 2005.

Step-3 On receipt of the application Controlling Authority will do the inquiry.

Step-4 Additionally Police’s no objection certificate for PSARA License Renewal is required. 

Step-5 Once all the conditions are fulfilled by the applicant, PSARA License Renewal will be done for another 5 years.

Penalties, operating without valid PSARA License or PSARA License Renewal or using Unauthorized Uniform 

As per the Private Security Agencies (Regulation) Act, 2005 PSARA License is mandatory for Private Security Agencies. A person, who is operating without the valid PSARA License or using an unauthorized uniform, must have to pay legal Penalties. These penalties are given below-

1.     Any person or Agency, who is working without a valid PSARA License, shall be punished with imprisonment or fine, or both.

2.     Imprisonment can be extended up to 1 year and fine can be extended up to 25000 Rs.

3.     Above punishment will remain the same if one will not complete the PSARA License Renewal after the valid period expire.

4.     Additionally as per the Private Security Agencies (Regulation) Act, 2005[1] if any private security guard or supervisor wears a uniform that is unauthorized shall be punished.

5.     Punishment for using an unauthorized uniform can be imprisonment or fine or both.

6.     Imprisonment can be extended up to 1 year. Fine can be extended up to 5000 Rs.

Conclusion

PSARA License and PSARA License Renewal after 5 years is mandatory for Private Security Agencies these days. If any person or Agency found who is working without a valid PSARA License, shall be punished. Nowadays, security is the main concern of everyone. Hence there is a growing trend of hiring personal Security guards. In order to protect security of country the government came up with PSARA Licensing. PSARA License and it’s time to time Renewal will help the government to stop the illegal activities running in the name of Private Security Agencies.

Read our article:PSARA License In India : Documents, Eligibility And Costs

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