Introduction
Every person who is intending to become Director in a company incorporated in India is required to obtain a DIN number. The concept of DIN number was first incorporated by the insertion of Sections 266A to 266G of Companies (Amendment) Act, 2006. The provisions of the Companies Act, 2013 mandate obtaining of DIN before the appointment of an individual as a director of the company and also mandates indication of DIN in any return, documents or application filed with various authorities wherein there is a reference of the Director or information or particulars related to the director are required to be furnished. Having DIN by proposed directors is a prerequisite for the incorporation of a company in India.
Legal provisions for allotment of DIN under Companies Act, 2013
Section 153 - 159 of the Companies Act, 2013 read with Companies (Appointment and Qualification of Directors) Rules, 2014, provide the legal framework for application and allotment of DIN and related aspects.
DIN number full form
The full form of DIN is Director Identification Number.
What is DIN?
Director Identification Number or DIN is a unique 8 digit identification number allotted by Central Government to individuals who intend to become a Director in a company or who already are Directors of the company, for identification as a director of the company. (Rule 2(d))
DIN comes with lifetime validity until the same is cancelled, surrendered or deactivated. Once DIN is obtained, the Director is not required to make multiple applications for allotment of different DIN numbers to stand for the directorship in different companies. DIN is specific to a person, therefore even if he joins different companies as a director, the same DIN number shall be used.
The MCA maintains each director data through the DIN in its database.
Where DIN is used?
The company acts through its agents, Directors are the important professionals who play an important role in managing day to day affairs of the company and they run the company on behalf of shareholders.
The companies are required to file various returns, submit information and documents to various Government and non-Government authorities, such information or document or returns shall be submitted with an authenticity of Director. Therefore, wherever his signature is appearing, he shall mention DIN number allotted to him, below his signature.
How to apply for DIN? (Section 153 + Rule 9 of Companies (Appointment and Qualification of Directors), Rules, 2014)
The MCA has provided 2 forms for application of DIN.
SPICe Form : In respect of incorporation of new companies, DIN for first DIrectors not having DIN numbers, shall be applied through eForm SPICe only. DIN for a maximum of 3 proposed directors can be made through eForm SPICe form.
Form DIR-3 : Any person intending to become a director in an existing company shall have to make an application in eForm DIR-3
Documents required for DIN application
Below are the list of documents required for DIN application made through SPICe Form and Form DIR-3:
In case the application for DIN is made through SPICe Form
Attach Proof of Identity and Residence Proof. DIN would be allocated to an applicant only after approval of the form.
In case the application for DIN is made through Form DIR-3
Form DIR-3 attachments include:
- Photograph of the applicant
- Identity proof
- Residence proof
- verification by the applicant for applying for allotment of DIN in Form DIR-4 and
- Specimen signature of the applicant duly verified
Proof of identity of the applicant
In case of Indian National, Income-tax PAN is a mandatory requirement for proof of identity.
In case of Foreign Nationals, the passp(duly notarised and apostille) is a mandatory requirement as proof of identity.
The Proof of identity enclosed with eForm DIR-3 should also contain the date of birth of the applicant and the same should match the date of birth filled in the application form. In case the proof of identity does not indicate the Date of Birth then additional proof of Date of Birth, duly certified/ attested, should be provided.
Proof of Residence of the applicant
Address proofs like passport, election (voter identity) card, ration card, driving license, electricity bill, telephone bill or aadhar shall be attached and should be in the name of applicant only.
In case of Indian applicant, documents should not be older than 2 months from the date of filing of the eForm.
In case of foreign applicant, address proof should not be older than 1 year from the date of filing of the eForm.
Father’s Name proof not mandatory for foreign nationals or NRI
Father’s name proof is not required in the case of foreign nationals / NRIs. It is mandatory to enter either father’s first name or father’s last name.
Translation mandatory if proofs are in other languages
It is important to note that, in case of proofs which are in languages other than Hindi / English, the proofs should be translated in Hindi / English from a professional translator carrying his details (name, signature, address) and seal.
In the case of foreign nationals, translation done by the notary of the home country is also acceptable.
Attestation of proofs and documents
The applicant proposed to be a director in an existing company
The applicant is resident in India and signing documents in India - If eForm DIR-3 is digitally signed by the company secretary (who is member of ICSI) in whole-time employment or director/manager/CEO/CFO of an existing company or designated partner of existing LLP, then the supporting documents attached shall be either self-attested by the applicant or duly attested by either Public Notary or a Gazetted Officer of a Government or attested by the Company Secretary in full-time employment/ CEO / CFO/ Managing director of the Indian company in which he/she is proposed to be a director.
The applicant is foreign national and signing documents outside India - In case the proposed director is residing outside India, then proofs and supporting documents should be attested by the Consulate of the Indian Embassy, Foreign public notary.
The applicant proposed to be Director of the new company
In the case of incorporation of a new company, DIN for a maximum of 3 proposed directors can be applied through eForm SPICe.
The applicant is Indian Citizen, resident in India and signing documents in India - The documents can be self-attested by the applicant or duly attested by either Public Notary or a Gazetted Officer of a Government
The applicant is Indian National, residing outside India, but signing documents in India - In this case, the self-attested proofs shall serve the purpose. However, the self-attested documents shall be notarized in India.
The applicant is foreign national and signing documents outside India -
In this case, the country where foreign national is residing will play a major role. Rule 13(5) of Companies (Incorporation) Rules, 2014 provides for 3 cases:
- If he is residing in any part of the Commonwealth country, then the proofs shall be Notarised by a Notary (Public) in the part of the commonwealth
- If he is residing in a country which is party to the Hague Convention, then his proofs shall be notarized before the Notary (Public) and duly apostilled.
- If he is resident of a country outside the Commonwealth and Hague Convention, then proofs shall be notarized by Notary (public) of that country and Consularized by Native Country.
The attesting authority must indicate the following while attesting the documents:- (I) Signatures; (ii) Name in full in Capitals; (iii) Registration No.; and (iv) Seal/ Stamp.
Download of Form DIR-3
To download Form DIR-3, first go to http://www.mca.gov.in/MinistryV2/companyformsdownload.html
Download Form DIR-3 available under ‘DIN Forms Section’.
Digital signature of the applicant is must
Form DIR-3 must be digitally signed by the applicant. Therefore before making an application for DIN, it is necessary to get the DSC of the applicant.
The signing of Form DIR-3
Form DIR-3 shall be signed by the applicant and shall be certified by either practising professional or CS in whole-time employment/ Director of the existing Company.
The Form is required to be filed online on the MCA portal. After uploading DIR-3 and the supporting documents, the applicant will pay the fee in the next window screen. It has to be paid through net banking, credit card or NEFT. Manual(offline) payment is not allowed.
Fees required for DIN application
Fees payable along with DIN application are Rs. 500 and the same shall be paid via online net banking, debit card, credit card or NEFT. Manual(offline) payment is not allowed.
Generation of DIN
Once the fees are paid and the application is submitted, the system will generate an application number.
If the DIN application is approved, the central government will communicate the DIN to the applicant within 1 month. If the application is rejected, the same will be communicated via email to the applicant. The applicant shall within 15 days from the date of such intimation, rectify the application and resubmit it to the central government for approval. If the Central Government is satisfied with the rectification, it will allot the DIN to the applicant, or else the application will be marked as ‘Invalid’.
The applicant shall intimate the DIN allotted to him to the company and the company shall within 15 days from the date of intimation by director, inform RoC about the DIN.
Can I obtain two DIN numbers?
As per Section 155 of the Companies Act 2013, no individual, who has already been allotted a Director Identification Number under section 154, shall apply for, obtain or possess another Director Identification Number. Holding two DIN will attract penalties as specified under Section 159 of the Act, i.e.
“If any individual or director of a company, contravenes any of the provisions of section 152, section 155 and section 156, such individual or director of the company shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to five hundred rupees for every day after the first during which the contravention continues.”
Therefore one can note that, if a person is holding 2 DIN numbers, then it shall be the second DIN number that should be surrendered.
DIN - PAN Verification/search DIN by PAN
To verify DIN - PAN details first Goto http://www.mca.gov.in/mcafoportal/showVerifyDIN.do
under MCA services click on ‘verify DIN PAN details of director’,
Now enter the DIN number of the Director and click submit. Name of the director will appear.
Now enter the PAN number of the Director and click submit. The message in a dialogue box will appear regarding verification of DIN-PAN details.
Enquire DIN Status
The status of DIN whether active or deactivated can be seen via ‘Enquire DIN status’.
First go to http://www.mca.gov.in/mcafoportal/showEnquireDIN.do, enter your DIN number and click submit. Details regarding DIN Status will appear.
How to search DIN by Name
First go to : http://www.mca.gov.in/mcafoportal/viewDirectorMasterData.do
Click on search button available against ‘Director Name’ field. A new dialogue box will open.
Now enter Directors Name (mandatory), father’s last name and date of birth, Now click ‘search’.
The director name and DIN number will appear. In this way you can search DIN number of the Director by name.
DIN Update
DIN holders whose DIN is ‘Deactivated’ have an extended time of up to 30th September 2020 for filing DIR-3KYC/DIR-3 KYC-Web, without fees of Rs 5,000.
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