THE PRIVATE SECURITY AGENCIES (REGULATION) ACT, 2005 
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ARRANGEMENT OF SECTIONS 
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SECTIONS 

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.  

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THE PRIVATE SECURITY AGENCIES (REGULATION) ACT, 2005 

ACT NO. 29 OF 2005 

[23rd June, 2005.] 

An Act 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.  Short  title,  extent  and  commencement.—(1)  This  Act  may  be  called  the  Private  Security 

Agencies (Regulation) Act, 2005. 

(2) It extends to the whole of India 1***. 
(3)  It  shall  come  into  force  on  such  date2  as  the  Central  Government  may,  by  notification  in  the 

Official Gazette, appoint. 

2. Definitions.—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; 

(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.  Appointment  of  Controlling  Authority.—(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. Persons or Private Security Agency not to engage or provide private security guard without 
licence.—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: 

1.  The  words  “except  the  State  of  Jammu  and  Kashmir”  omitted  by  Act  34  of  2019,  s.  95  and  the  Fifth  Schedule  

(w.e.f. 31-10-2019). 

2.  14th  March,  2006,  vide  notification  No.  S.O.  317(E), dated  15th  March,  2006,  see  Gazette  of  India,  Extraordinary,  Part  II,          

sec. 3(ii). 

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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.  Eligibility  for  licence.—An  application  for  issue  of  a  licence  under  this  Act  shall  only  be 

considered from a person after due verification of his antecedents. 

6. Persons not eligible for licence.—(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. 

7.  Application  for  grant  of  licence.—(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. Renewal of licence.—(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 

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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.  Conditions  for  commencement  of  operation  and  engagement  of  supervisors.—(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. 

(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. Eligibility to be a private security guard.—(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. 

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11. Conditions of licence.—(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. 

12. Licence to be exhibited.—Every private security agency shall exhibit its licence or copy thereof 

in a conspicuous place of its business. 

13. Cancellation and suspension of licence.—(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 

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(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 sub-section (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 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. Appeals.—(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.  Register  to  be  maintained  by  a  private  security  agency.—(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. Inspection of licence, etc.—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. Issue of photo identity card.—(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. Disclosure of information to unauthorised person.—(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 

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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 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.  Delegation.—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.  Punishment  for  contravention  of  certain  provisions.—(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. Penalty for unauthorised use of certain uniforms.—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.  Offences  by  companies.—(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. 

23.  Indemnity.—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. Framing of model rules for adoption by States.—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 

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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. Power of State Government to make rules.—(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) of section 9; 

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

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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). 

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