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What is Director Identification Number (DIN)
The Director Identification Number (DIN) is a unique identification number allotted to a person who is a Director in his/her current role or can be appointed as a Director subsequently. This generally contains the personal information and a unique code as identifier. DIN came into existence for the first time in India due to the introduction of Section 266A to 266G in Companies Amendment Act, 2006.
DIN is a mandatory requirement for all existing and prospective Directors. DIN can only be allotted by the Central Government- Office of Regional Directors (Northern Region) or the Ministry to Corporate Affairs, Noida. DIN can uniquely identify a person and relates his role as Director in all his past and present companies. It is the responsibility of the DIN holder to inform the authority about changes when they occur and get it incorporated into his DIN.
Reasons for the DIN Allotment
- To create a reliable database of and for all Directors.
- To authenticate the existence of Directors in the companies and held them legally responsible.
- To avoid financial scams, such as in the cases where fake companies are formed to raise public capital, and later, Directors run away with the money.
How to apply for Director Identification Number (DIN)
Fill the DIN application form: Applicants need to fill out form DIN 1 by logging on the website http://www.mca.gov.in/MCA21/. For any help regarding filling the form, one can refer to the e-Filing FAQ’s on the website.
Scan the documents: Once the form is filled, photograph and scanned copy of supporting documents as mentioned above. They need not be submitted as hard copies. Another important document to be submitted is the verification of applicant which includes name, father’s name, date of birth, text of declaration and signature of applicant.
Upload the form: The digitally signed e-form needs to be uploaded in MCA21 portal. The applicant needs to create a login id for the uploading the form and also to make the payment of processing fees.
Make the payment: Next, the payment of Rs 100/- needs to be done electronically for the DIN application via net banking or credit card. As per the revised guidelines, no challan payment is accepted for the same.
Approval and generation of DIN: After uploading the form and payment, either approved or provisional DIN is generated. If the form is signed by an applicant or MD/Secretary of the company where the applicant will become Director or by any practising professional and the details are potential duplicate, then Provisional DIN is generated else if the form is signed by a practising professional and details are not potential duplicate, then an Approved DIN is generated. If the form is signed by a professional, then the system immediately approves the DIN else the form is verified by the MCA DIN cell and then approved within one or two days.
Intimation of DIN to the Company: Once approved, the applicant needs to intimate this number to all associated Company (s) via Form DIN-2 which can be downloaded from the MCA website. This needs to be done within 30 days of approval.
Intimation of DIN to the Registrar of Companies (ROC): The Company needs to inform the DINs of its directors to ROC in Form DIN-3. This has to be done within seven days of receiving DIN-2. (Note: This is only applicable when the date of appointment of directors is prior to July 1, 2007).
Changes in the application: In case of any changes for example change of address of applicant or any other changes in personal details, the applicant needs to submit eForm DIN-4 with requisite attested document proof of change and get the changes incorporated in DIN.
Supporting Dcouments Required for the DIN Application
- A valid proof of identity
- A valid proof of residence
- A valid proof of date of birth
- A valid copy of passport in the case of foreign nationals
- A valid proof of father’s name. Proof of father’s name is not required in the case of foreign nationals
- Affidavit in the case of single name as per the guidelines
- High resolution photograph of the applicant
Why a DIN Application May be Rejected?
There are several reasons, for which a DIN application may be rejected.
- Incomplete information in the application form.
- Supporting documents are not submitted, duly attested or valid.
- The personal information in the application does not match the supporting documents.
- The applicant’s name and father’s name are mentioned in abbreviated form.
- Prefixes are used before the applicant’s name.
- The submitted DIN application is a duplicated application, earlier one is either still pending for approval or already approved.
- The processing fee payment is not done.
- Any other requisite guideline is not followed.
Few Other Details to Consider:
- Documents issued by LIC are accepted as date of birth proof and address proof.
- Bank statement, telephone or electric bills produced as address proof should be in name of the applicant and not older than two months.
- Attesting authority’s credentials should be clearly visible and valid.
- Provisional DIN generated online is valid for sixty days from the date of generation within which the applicant needs to submit all documents and get the approved DIN. After sixty days, the provisional DIN expires and the online process needs to be done again.
- The provisional DIN is validated after proper verification and approval.
- DIN is unique and valid for a life time for the applicant.
- Form DIN-2 can only be given by the applicant after proper intimation from MCA DIN cell.
- Non-compliance of 266A, 266C, 266D and 266E can lead to monetary and legal penalty.
- Approved DIN is mandatory for all e-filing.
You can visit http://www.mca.gov.in/MCA21/dca/din/DIN.html for further information on DIN.