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A security services company is a business organization that provides armed and unarmed security services and expertise to private and public clients. These services may include roving patrols, bodyguard services, and guard dog services, although these specialized services exist on a limited scale within the industry.
Crime occurs frequently, and the rise in crime has created a dire need for increased security in our country. One way to keep property safe is by hiring private security services. In Pakistan, there is a growing trend of companies offering private security services. A security service provider company offers security for various properties, offices, and homes through contractual arrangements. Private Security Companies have been operating in Pakistan under an administrative order issued by the Ministry of Interior in 1988.
A private security company provides armed and unarmed security services and expertise to private and public clients. These companies primarily offer guard and patrol services, such as bodyguard, parking security, and security guard services. Many also provide advanced special operations services tailored to client demands. Broadly, these services encompass the protection of personnel and assets.
Private Security Companies operate within provinces under provincial ordinances and rules framed in accordance with the Federal Government's directives. The relevant legislation in the province of Punjab includes:
Kakakhel Law Associates assists in establishing a Private Security Company as defined in section 2(g) of the Ordinance. This refers to any company incorporated under the Companies Ordinance, 1984, engaged in providing security guards or making other arrangements for the security of individuals, their property, and cash-in-transit. Such companies operate under a valid license issued by the Licensing Authority.
For the purposes of this ordinance, the "Licensing Authority" refers to the Government of Punjab or an officer nominated by the Government to exercise the powers of the Licensing Authority.
Applicants are required to register their company with the Securities and Exchange Commission of Pakistan (SECP). After fulfilling the necessary formalities, the SECP registers the company and forwards the complete set of documents to the Ministry of Interior for NOC issuance. The process of obtaining an NOC from the Ministry of Interior typically takes three to four months.
Required Documents:
1. Memorandum and Articles of Association of the company showing authorized capital and paid-up capital of more than Rs. 10 million (at least Rs. 10.1 million). If already filed with the SECP, revisions may be required.
2. Bank Statements of all proposed directors, collectively showing more than Rs. 10 million over the last three months from the application date.
3. Company Profile as per the form specified by the Ministry of Interior.
4. CVs of Proposed Directors, highlighting relevant security experience and expertise (at least one director should be a retired employee of the Armed Forces or Law Enforcement Agencies).
5. Photographs of the proposed directors.
6. Valid CNIC Copies of the proposed directors.
7. NTN Certificates of the proposed directors.
8. Proposed Employment Structure, signed by the proposed directors, including:
9. Affidavits, attested by an Oath Commissioner, from each proposed director affirming:
After registration with SECP and approval from the Ministry of Interior, an application must be submitted to the Licensing Authority for a license. This application must include all required information, documents, and prescribed fees.
Additional Documents for Provincial Licensing:
The Licencing Authority can grant or refuse to grant the licence. Provided that reasons for refusal to grant a licence shall be recorded in writing and be communicated to the applicant.
The granted licence is non-transferable, valid for a period of three years and shall be renewable on an application made in the form and on payment of such fee as may be prescribed.
The licence will only be granted if the applicant has produced satisfactory evidence that the partners and officers of the company are of good moral character and has not been involved in any fraud.
A licensee must submit an annual performance report to the Licensing Authority on the prescribed form and within the specified timeframe. The Licensing Authority, through an official notification in the Gazette, will determine and prescribe the fee for the issuance or renewal of the license.
After obtaining the licence, the licensee can employ as many persons as he may think necessary to be security guards and members of staff. He is responsible for the good conduct of each and every employee and should made sure that he is the fit and proper person to be employed as a security guard. The licensee should not employ any person as a security guard who has been convicted of any offence involving fraud or moral turpitude.
Nobody should be employed as a security guard by the licensee until he has submitted to the Licencing Authority a statement containing complete particulars and other information of such person on the prescribed form and the Licencing Authority has conveyed it’s no objection in writing to the recruitment of such security guard by the licensee.
Every licensee should maintain a list of all the persons employed by him with their full particulars and antecedents at the place of his business. The licensee should get the security guard registered at the local police station. He is also supposed to make arrangements for insurance of every security guard employed by him, with a registered insurance company, in respect of serious injury sustained amounting to disability or death of security guard in the discharge of his duties. The guards of Private Security Companies are required to be properly trained and equipped.