Titled the Maharashtra Private Security Agencies (Private Security to Cash Transportation Activities) Rules, 2025, the new framework lays out clear requirements for how cash should be moved safely
In a move aimed at improving the security of currency transportation across the state, the Maharashtra government has formally allowed public and private sector banks to engage private security agencies for securing cash vans. The decision comes alongside the release of a detailed set of guidelines and standard operating procedures (SOPs), intended to bring consistency and accountability to these operations.
Until recently, banks mainly relied on police personnel and guards from the Maharashtra Security Force under the Maharashtra State Security Corporation (MSSC). In some cases, private security agencies were also involved, but this is the first time that the state has introduced specific regulations governing their role in cash transportation.
Titled the Maharashtra Private Security Agencies (Private Security to Cash Transportation Activities) Rules, 2025, the new framework lays out clear requirements for how cash should be moved safely. Each cash van must now be staffed with at least two armed guards and fitted with a GPS tracking system. This system must function through a redundant communication protocol to ensure continuous monitoring. The use of taxis or general hired vehicles for carrying currency has been prohibited entirely.
The state has also set a cash limit of Rs 5 crore per van to minimise risk. These vans must comply with the technical and structural standards listed in the First Schedule of the Private Security Agencies (Regulation) Act. Ownership of the van may rest with the bank, the private agency, or the firm handling cash logistics.
According to the home department notification issued on 29 April, “One armed guard shall sit in the front with the driver, and another in the rear portion of the van. During transit, loading or unloading, tea or lunch breaks, or restroom stops, at least one armed guard must remain with the vehicle at all times.”
The rules encourage the appointment of ex-servicemen as guards, although eligible civilians may be considered where required. These civilians must go through rigorous background checks, including police and residence verification, employer reference checks, Aadhaar authentication, credit checks, fidelity insurance, and mandatory training and certification.
As per official data, Maharashtra has licensed 7,684 private security agencies, of which 5,102 are currently active.
“The criticality of secure cash movement in daily banking operations, coupled with the growing number of ATMs and banking services, necessitated clear SOPs for private agencies handling cash transport,” said a senior home department official. “The guidelines were framed in consultation with the Reserve Bank of India and the Director General of Police, Maharashtra. They are aligned with the Private Security Agencies Central Model Rules, 2020, issued by the Centre,” the official added.
The guidelines also outline standards for cash vaults used to store currency overnight. Facilities must be located in secure areas—ideally near bank withdrawal centres or police stations—and not in secluded or poorly connected locations. The premises should include designated areas for general office work, as well as secure sections for cash collection, sorting, counting, and dispatch using protected vans.
The new rules are expected to bring uniformity, reduce vulnerabilities, and help safeguard large-scale cash movements across Maharashtra’s banking network.
