DIN is the abbreviation for Director Identification Number. It is allotted to an individual who is appointed as a director or proposed to be appointed as a director. As per section 152(3), no person shall be appointed as a director unless he has been allotted DIN. Further, as per section 152(4), a director shall also furnish the DIN to the company at the time of his/her appointment as director of the company.
Let us now understand the procedure for obtaining the DIN
How to File an application for DIN?
1. Every person who intends to be appointed as the director, shall make an application for allotment of DIN to the Central Government in such form and manner along with prescribed fees electronically.
2. The application for allotment of DIN shall be made through the portal on the website of the Ministry of Corporate Affairs.
3. The application for allotment of DIN shall be made in Form DIR-3
4. The applicant shall download Form DIR-3 from the portal, fill the required particulars sought therein, verify and sign after attaching the copies of following documents, scan and file the entire set of documents of electronically-
- Proof of Identity
- Proof of Residence
- Board resolution proposing his appointment as the director in the existing company
- Specimen signature duly verified
5. In case the person does not have a last name, his or her father's or grandfather's surname shall be mentioned in the last name along with the declaration in Form DIR-3A.
6. The Form DIR-3 shall be verified, signed and submitted electronically by the applicant using his or her own digital signature.
7. The Form DIR-3 shall be verified digitally by
- A Chartered Accountant in practice or Company Secretary in Practice or a Cost Accountant in practice; or
- A Company Secretary full time in the employment of the company or by the managing director or director or CEO or CFO of the company in which the applicant is intended to be appointed as the director of the company.
8. Once the application is filed, an application number shall be generated by the system automatically.
Approval of Application
Upon receipt of the application, the central government shall process the application and can either approve or reject the application. If the application is approved, the DIN is allotted and the same is communicated to the applicant by way of a letter by post or electronically or any other mode, within a period of one month from the date of receipt of application.
What if the Application for DIN is Rejected?
If the Central Government, on the receipt of application finds that the application is defective or incomplete in any respect, it shall give intimation of such incompleteness or defect by placing it on the website and by email to the applicant who has filed such application. The Central Government shall direct the applicant to rectify the defect or incompleteness by resubmitting the application within a period of days of placing it on the website and email.
If the defect or incompleteness is not corrected within the specified time, the Central Government shall:
- Reject the application and direct the applicant to file a fresh application with complete and correct information, where the defect has been rectified partially or the information given is still found to be defective;
- Treat and label such application as invalid in the electronic record in case the defects are not removed within the given time; and
- Inform the applicant either by way of a letter by post or electronically or in any other mode.
Tags :corporate law