This is a textbook unissued sleeve insignia as worn by an EM/NCO in the SS-Schuma Sicherheitspolizei (Internal Security Police.) These units were charged with maintaining order and fighting partisans in the areas of the Eastern Front. No damage or flaws with this unissued piece of insignia.
Note: In October of 1941, the Central Office of the SS and Police realized an increasing shortages in manpower. It was decided at this time, to make use, if possible, of local personnel who could be counted upon to work with, and have an allegiance to their German occupiers. Thus, the Eastern SCHUTZMANNSCHAFT was born. In the fall of 1941 Schutzmannschaft battalions and regiments were established in Estonia, Latvia and Lithuania, followed by the areas of the Ukraine and White Russia, so arm badge of volunteer legions.