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svsrana
41

Hi everybody,

PSAR 2005 is sought to bring order in a purely disorganised industry.

All of you would be aware that there are virtually no norms in the private security agencies Vis a Vis hiring rules, background checks, no training whatsoever, wages and other staututory benefits etc.

CAPSI (central association of private security industry) is the sole association for this industry and operates from their office in Safdurjung area (near deer park, delhi).

if anyone has doubts/ questions feel free to raise them ( am an auditor for ISO 27001 "information security mgmt system" and ISO 28001 "supply chain mgmt". )

surya vrat

full draft of PSAR 2005 follows ( am not attaching a word/ pdf document beacuse i see numerous postings wherein members are not able to download files)

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SER3\BILL 2004\RS\975RS

THE PRIVATE SECURITY AGENCIES (REGULATION) BILL, 2005

A

BILL

to provide for the regulation of private security agencies and for matters connected

therewith or incidental thereto.

BE it enacted by Parliament in the Fifty-sixth Year of the Republic of India as follows:—

1. (1) This Act may be called the Private Security Agencies (Regulation) Act, 2005.

(2) It extends to the whole of India except the State of Jammu and Kashmir.

(3) It shall come into force on such date as the Central Government may, by notification

in the Official Gazette, appoint.

2. In this Act, unless the context otherwise requires,—

(a) “armoured car service” means the service provided by deployment of armed

guards along with armoured car and such other related services which may be notified

by the Central Government or as the case may be, the State Government from time to

time;

(b) “Controlling Authority” means the Controlling Authority appointed under

sub-section (1) of section 3;

(c) “licence” means a licence granted under sub-section (5) of section 7;

Short title,

extent and

commencement.

Definitions.

AS PASSED BY THE RAJYA SABHA ON 10TH MAY, 2005

Bill No. LIC of 2005

2

SER3\BILL 2004\RS\975RS

(d) “notification” means a notification published in the Official Gazette;

(e) “prescribed” means prescribed by rules made under this Act;

(f) “private security” means security provided by a person, other than a public

servant, to protect or guard any person or property or both and includes provision of

armoured car service;

(g) “private security agency” means a person or body of persons other than a

government agency, department or organisation engaged in the business of providing

private security services including training to private security guards or their supervisor

or providing private security guards to any industrial or business undertaking or a

company or any other person or property;

(h) “private security guard” means a person providing private security with or

without arms to another person or property or both and includes a supervisor;

(i) “State Government”, in relation to a Union territory, includes the Administrator

of that Union territory appointed by the President under article 239 of the Constitution.

3. (1) The State Government shall by notification, designate an officer not below the

rank of a Joint Secretary in the Home Department of the State or an equivalent officer to be

the Controlling Authority for the purposes of this Act.

(2) The State Government may, for efficient discharge of functions by the Controlling

Authority, provide it with such other officers and staff as that Government considers necessary.

4. No person shall carry on or commence the business of private security agency,

unless he holds a licence issued under this Act:

Provided that the person carrying on the business of private security agency,

immediately before the commencement of this Act, may continue to do so for a period of one

year from the date of such commencement and if he has made an application for such licence

within the said period of one year, till the disposal of such application:

Provided further that no private security agency shall provide private security abroad

without obtaining permission of the Controlling Authority, which shall consult the Central

Government before according such permission.

5. An application for issue of a licence under this Act shall only be considered from a

person after due verification of his antecedents.

6. (1) A person shall not be considered for issue of a licence under this Act, if he has

been—

(a) convicted of an offence in connection with promotion, formation or management

of a company (any fraud or misfeasance committed by him in relation to the

company), including an undischarged insolvent; or

(b) convicted by a competent court for an offence, the prescribed punishment

for which is imprisonment of not less than two years; or

(c) keeping links with any organisation or association which is banned under

any law on account of their activities which pose threat to national security or public

order or there is information about such a person indulging in activities which are

prejudicial to national security or public order; or

(d) dismissed or removed from Government service on grounds of misconduct

or moral turpitude.

(2) A company, firm or an association of persons shall not be considered for issue of a

licence under this Act, if, it is not registered in India, or having a proprietor or a majority

shareholder, partner or director, who is not a citizen of India.

Appointment

of Controlling

Authority.

Persons or

Private

Security

Agency not

to engage or

provide

private

security guard

without

licence.

Eligibility for

licence.

Persons not

eligible for

licence.

3

SER3\BILL 2004\RS\975RS

7. (1) An application for grant of licence to a private security agency shall be made to

the Controlling Authority in such form as may be prescribed.

(2) The applicant shall submit an affidavit incorporating the details in relation to the

provisions contained in section 6, ensure the availability of the training for its private security

guards and supervisors required under sub-section (2) of section 9, fulfilment of conditions

under section 11 and of cases registered with police or pending in a court of law involving

the applicant.

(3) Every application under sub-section (1) shall be accompanied by a fee of—

(a) rupees five thousand if the private security agency is operating in one

district of a State;

(b) rupees ten thousand if the agency is operating in more than one but up to

five districts of a State; and

(c) rupees twenty-five thousand if it is operating in the whole State.

(4) On receipt of an application under sub-section (1), the Controlling Authority may,

after making such inquiries as it considers necessary and obtaining no objection certificate

from the concerned police authority, by order in writing, either grant a licence or refuse to

grant the same within a period of sixty days from the date of receipt of application with

complete particulars and the prescribed fee:

Provided that no order of refusal shall be made unless—

(a) the applicant has been given a reasonable opportunity of being heard; and

(b) the grounds on which licence is refused is mentioned in the order.

(5) A licence granted under this section—

(a) shall be valid for a period of five years unless the same is cancelled under

sub-section (1) of section 13;

(b) may be renewed from time to time after the expiry of five years, for a further

period of five years on payment of such fee as may be prescribed; and

(c) shall be subject to such conditions as may be prescribed.

8. (1) An application for renewal of licence shall be made to the Controlling Authority,

not less than forty-five days before the date of expiry of the period of validity thereof, in such

form as may be prescribed and shall be accompanied by the requisite fee and other documents

required under sections 6, 7 and 11 of this Act.

(2) The Controlling Authority shall pass an order on application for renewal of licence

within thirty days from the date of receipt of application complete in all respects.

(3) On receipt of an application under sub-section (1), the Controlling Authority may,

after making such inquiries as he considers necessary and by order in writing, renew the

licence or refuse to renew the same:

Provided that no order of refusal shall be made except after giving the applicant a

reasonable opportunity of being heard.

9. (1) Every private security agency shall, within six months of obtaining the licence,

commence its activities.

(2) Every private security agency shall ensure imparting of such training and skills to

its private security guards and supervisors as may be prescribed:

Provided that the person carrying on the business of private security agency, before

the commencement of this Act, shall ensure the required training to its security guards and

supervisors within a period of one year from the date of such commencement.

Renewal of

licence.

Conditions

for

commencement

of operation

and

engagement

of

supervisors.

Application

for grant

of licence.

4

SER3\BILL 2004\RS\975RS

(3) Every private security agency shall, within sixty days from the date of issue of the

licence, employ such number of supervisors, as may be prescribed.

(4) A private security agency shall not employ or engage a person as a supervisor

unless he fulfils the conditions specified in sub-section (1) of section 10.

(5) While engaging a supervisor of private security guards, every private security

agency shall give preference to a person who has experience of serving in the Army, Navy,

Air Force or any other Armed forces of the Union or State Police including armed constabularies

and Home Guards for a period of not less than three years.

10. (1) A private security agency shall not employ or engage any person as a private

security guard unless he—

(a) is a citizen of India or a citizen of such other country as the Central Government

may, by notification in the Official Gazette, specify;

(b) has completed eighteen years of age but has not attained the age of sixty-five

years;

(c) satisfies the agency about his character and antecedents in such manner as

may be prescribed;

(d) has completed the prescribed security training successfully;

(e) fulfils such physical standards as may be prescribed; and

(f) satisfies such other conditions as may be prescribed.

(2) No person who has been convicted by a competent court or who has been dismissed

or removed on grounds of misconduct or moral turpitude while serving in any of the armed

forces of the Union, State Police Organisations, Central or State Governments or in any

private security agency shall be employed or engaged as a private security guard or a

supervisor.

(3) Every private security agency may, while employing a person as a private security

guard, give preference to a person who has served as a member in one or more of the

following, namely:—

(i) Army;

(ii) Navy;

(iii) Air Force;

(iv) any other armed forces of the Union;

(v) Police, including armed constabularies of States; and

(vi) Home Guards.

11. (1) The State Government may frame rules to prescribe the conditions on which

licence shall be granted under this Act and such conditions shall include requirements as to

the training which the licensee is to undergo, details of the person or persons forming the

agency, obligation as to the information to be provided from time to time to the Controlling

Authority regarding any change in their address, change of management and also about any

criminal charge made against them in the course of their performance of duties of the private

security agency or as the case may be, a private security guard employed or engaged by

them.

(2) The State Government may make provision in the rules to verify about imparting of

required training by the private security agency under sub-section (2) of section 9 and to

review continuation or otherwise of licence of such private security agency which may not

have adhered to the condition of ensuring the required training.

Eligibility to

be a private

security

guard.

Conditions of

licence.

5

SER3\BILL 2004\RS\975RS

12. Every private security agency shall exhibit its licence or copy thereof in a

conspicuous place of its business.

13. (1) The Controlling Authority may cancel any licence on any one or more of the

following grounds, namely:—

(a) that the licence has been obtained on misrepresentation or suppression of

material facts;

(b) that the licence holder has used false documents or photographs;

(c) that the licence holder has violated the provisions of this Act or the rules

made thereunder or any of the conditions of the licence;

(d) that the licence holder has misused information obtained by him during the

discharge of his duties as the private security agency to any industrial or business

undertaking or a company or any other person;

(e) that the licence holder by using any letter-head, advertisement or any other

printed matter or in any other manner represented that the private security agency is

an instrumentality of the Government or such agency is or has been using a name

different from that for which licence has been granted;

(f) that the licence holder is or has been impersonating or permitting or aiding or

abetting any body to impersonate as a public servant;

(g) that the private security agency had failed to commence its activities or to

engage a supervisor within the specified time period;

(h) that the licence holder is or has wilfully failed or refused to render the services

agreed to any person;

(i) that the licence holder has done any act which is in violation of a court order

or an order of a lawful authority or is or has been advising, encouraging or assisting

any person to violate any such order;

(j) that the licence holder has violated the provisions of the Acts given in the

Schedule which may be modified by the Central Government, by notification in the

Official Gazette;

(k) that there have been repeated instances when the private security guard or

guards provided by the private security agency—

(i) failed to provide private security or were guilty of gross negligence in

not providing such security;

(ii) committed a breach of trust or misappropriated the property or a part

thereof which they were supposed to protect;

(iii) were found habitually drunk or indisciplined;

(iv) were found to be involved in committing crimes; or

(v) had connived or abetted a crime against the person or property placed

under their charge; or

(l) that the licence holder has done any act which poses a threat to national

security, or did not provide assistance to the police or other authority in the discharge

of its duties or acted in a manner prejudicial to national security or public order or law

and order.

(2) Where the Controlling Authority, for reasons to be recorded in writing, is satisfied

that pending the question of cancelling of licence on any of the grounds mentioned in subsection

(1), it is necessary to do so, that Controlling Authority may, by order in writing,

suspend the operation of the licence for such period not exceeding thirty days as may be

Licence to be

exhibited.

Cancellation

and

suspension of

licence.

6

SER3\BILL 2004\RS\975RS

specified in the order and require the licence holder to show cause, within fifteen days from

the date of issue of such order, as to why the suspension of the licence should not be

extended till the determination of the question of cancellation.

(3) Every order of suspending or cancelling of a licence shall be in writing and shall

specify the reasons for such suspension or cancellation and a copy thereof shall be

communicated to the person affected.

(4) No order of cancellation of licence under sub-section (1) shall be made unless the

person concerned has been given a reasonable opportunity of being heard.

14. (1) Any person aggrieved by an order of the Controlling Authority refusing the

licence under sub-section (4) of section 7 or renewal under sub-section (3) of section 8 or

order of suspension of licence under sub-section (2) of section 13 or cancellation of licence

under sub-section (1) of that section, may prefer an appeal against that order to the Home

Secretary of the State Government within a period of sixty days of the date of such order:

Provided that an appeal may be admitted after the expiry of the said period of sixty

days if the appellant satisfies the State Government that he has sufficient cause for not

preferring the appeal within that period.

(2) Every appeal under sub-section (1) shall be made in such form as may be prescribed

and shall be accompanied by a copy of the order appealed against.

(3) Before disposing of an appeal, the State Government shall give the appellant a

reasonable opportunity of being heard.

15. (1) Every private security agency shall maintain a register containing—

(a) the names and addresses of the persons managing the private

security agency;

(b) the names, addresses, photographs and salaries of the private security

guards and supervisors under its control;

(c) the names and addresses of the persons whom it had provided private

security guards or services; and

(d) such other particulars as may be prescribed.

(2) The Controlling Authority may call for such information as it considers necessary

from any private security agency, supervisor or private security guard to ensure due compliance

of the Act.

16. The Controlling Authority or any other officer authorised by it in this behalf may at

any reasonable time, enter the premises of the private security agency and inspect and

examine the place of business, the records, accounts and other documents connected with

the licence and may take copy of any document.

17. (1) Every private security guard shall be issued a photo identity card, by the

private security agency employing or engaging the guard.

(2) The photo identity card under sub-section (1) shall be issued in such form as may

be prescribed.

(3) Every private security guard or supervisor shall carry on his person the photo

identity card issued under sub-section (1) and shall produce it on demand for inspection by

the Controlling Authority or any other officer authorised by it in this behalf.

18. (1) Any person who may be or has been employed or engaged as a private security

guard by the private security agency shall not divulge to anyone other than the employer, or

in such manner and to such person as the employer directs, any information acquired by him

during such employment with respect to the work which he has been assigned by such

employer, except such disclosure as may be required under this Act or in connection with

Appeals.

Register to be

maintained by

a private

security

agency.

Inspection of

licence, etc.

Issue of photo

identity card.

Disclosure of

information

to

unauthorised

person.

7

SER3\BILL 2004\RS\975RS

any inquiry or investigation by the police or as may be required by an authority or process

of law.

(2) All private security guards of a private security agency shall render necessary

assistance to the police or to such authority in the process of any investigation pertaining to

the activities of that agency.

(3) If violation of any law is noticed by any private security guard during the course

of discharge of his duties, he shall bring it to the notice of his superior, who in turn shall

inform the police either through his employer or agency or on his own.

19. The State Government may, by notification, direct that any power or function

(except the powers to make rules under section 25)—

(a) which may be exercised or performed by it, or

(b) which may be exercised or performed by the Controlling Authority,

under this Act, may, in relation to such matter and subject to such conditions, if any, as may

be specified in the notification, be also exercised or performed by such officer or authority

subordinate to the Government or officer subordinate to the Controlling Authority, as may

be specified in such notification.

20. (1) Any person who contravenes the provisions of section 4 shall be punishable

with imprisonment for a term which may extend to one year, or with fine which may extend to

twenty-five thousand rupees, or with both.

(2) Any person or private security agency who contravenes, the provisions of sections

9, 10 and 12 of the Act, shall be punishable with a fine which may extend to twenty-five

thousand rupees, in addition to suspension or cancellation of the licence.

21. If any private security guard or supervisor wears the uniform of the Army, Air force,

Navy or any other armed forces of the Union or Police or any dress having the appearance or

bearing any of the distinctive marks of that uniform, he and the proprietor of the private

security agency shall be punishable with imprisonment for a term which may extend to one

year or with fine which may extend to five thousand rupees, or with both.

22. (1) Where an offence under this Act has been committed by a company, every

person who at the time the offence was committed was in charge of, and was responsible to,

the company for the conduct of the business of the company as well as the company, shall

be deemed to be guilty of the offence and shall be liable to be proceeded against and

punished accordingly:

Provided that nothing contained in this sub-section shall render any such person

liable to any punishment, if he proves that the offence was committed without his knowledge

or that he had exercised all due diligence to prevent the commission of such offence.

(2) Notwithstanding anything contained in sub-section (1), where any offence under

this Act has been committed by a company and it is proved that the offence has been

committed with the consent or connivance of, or is attributable to, any neglect on the part of

any director, manager, secretary or other officer of the company, such director, manager,

secretary or other officer shall be deemed to be guilty of that offence and shall be liable to be

proceeded against and punished accordingly.

Explanation.—For the purposes of this section—

(a) “company” means any body corporate and includes a firm or other association

of individuals; and

(b) “director”, in relation to a firm, means a partner in the firm.

Delegation.

Punishment

for

contravention

of certain

provisions.

Penalty for

unauthorised

use of certain

uniforms.

Offences by

companies.

8

SER3\BILL 2004\RS\975RS

23. No suit, prosecution or other legal proceeding shall lie against the Controlling

authority or any other officer authorised by it in respect of anything in good faith done or

intended to be done under this Act.

24. The Central Government may, frame model rules in respect of all or any of the

matters with respect to which the State Government may make rules under this Act, and

where any such model rules have been framed the State Government shall, while making any

rules in respect of that matter under section 25, so far as is practicable, conform to such

model rules.

25. (1) The State Government may, by notification, make rules for carrying out the

provisions of this Act.

(2) In particular, and without prejudice to the generality of the foregoing power, such

rules may provide for all or any of the following matters, namely:—

(a) the procedure for verification of character and antecedents under clause (c)

of sub-section (1) of section 10; the type of training under clause (d) of sub-section

(1) of section 10; the physical standard under clause (e) of sub-section (1) of section

10; and other conditions under clause (f) of sub-section (1) of section 10;

(b) the number of supervisors to be employed under sub-section (3) o f

section 9;

(c) the form of an application for grant of licence under sub-section (1) o f

section 7;

(d) the form in which the licence to be granted under sub-section (4) of section 7

and conditions subject to which such licence to be granted under section 11;

(e) the form of an application for renewal of licence under sub-section (1) of

section 8;

(f) the form under sub-section (2) of section 14 for preferring an appeal;

(g) particulars to be maintained in a register under sub-section (1) of section 15;

(h) the form in which photo identity card under sub-section (2) of section 17 be

issued;

(i) any other matter which is required to be, or may be, prescribed.

(3) Every rule made by the State Government under this section shall be laid, as soon

as may be after it is made, before each House of the State Legislature where it consists of two

Houses, or where such Legislature consists of one House, before that House.

(4) In respect of Union territories, every rule made to carry out the provisions of the

Act shall be laid before each House of Parliament and where there exists a Legislative

Assembly, before that Assembly.

Power of

State

Government

to make rules.

Framing of

model rules

for adoption

by States.

Indemnity.

THE SCHEDULE

[See section 13(1)(j)]

(1) The Payment of Wages Act, 1936 (4 of 1936).

(2) The Industrial Disputes Act, 1947 (14 of 1947).

(3) The Minimum Wages Act, 1948 (11 of 1948).

(4) The Employees’ Provident Funds and Miscellaneous Provisions Act, 1952

(19 of 1952).

(5) The Payment of Bonus Act, 1965 (21 of 1965).

(6) The Contract Labour (Regulation and Abolition) Act, 1970 (37 of 1970).

(7) The Payment of Gratuity Act, 1972 (39 of 1972).

(8) The Equal Remuneration Act, 1976 (25 of 1976).

(9) The Inter-State Migrant Workmen (Regulation of Employment and Conditions of

Service) Act, 1979 (30 of 1979).

9

RAJYA SABHA

————

A

BILL

to provide for the regulation of private security agencies and for matters connected

therewith or incidental thereto.

————

(As passed by the Rajya Sabha)

MGIPMRND—975RS(S3)—10-5-2005.

THE PRIVATE SECURITY AGENCIES (REGULATION) BILL, 2005

————

ARRANGEMENT OF CLAUSES

————

CLAUSES

1. Short title, extent and commencement.

2. Definitions.

3. Appointment of Controlling Authority.

4. Persons or Private Security Agency not to engage or provide private security

guard without licence.

5. Eligibility for licence.

6. Persons not eligible for licence.

7. Application for grant of licence.

8. Renewal of licence.

9. Conditions for commencement of operation and engagement of supervisors.

10. Eligibility to be a private security guard.

11. Conditions of licence.

12. Licence to be exhibited.

13. Cancellation and suspension of licence.

14. Appeals.

15. Register to be maintained by a private security agency.

16. Inspection of licence, etc.

17. Issue of photo identity card.

18. Disclosure of information to unauthorised person.

19. Delegation.

20. Punishment for contravention of certain provisions.

21. Penalty for unauthorised use of certain uniforms.

22. Offences by companies.

23. Indemnity.

24. Framing of model rules for adoption by States.

25. Power of State Government to make rules.

THE SCHEDULE.

Bill No. LIC of 2005

AS PASSED BY THE RAJYA SABHA ON 10TH MAY, 2005.

From India, Delhi
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