FAQ S ON DIRECOTRS’ IDENTIFICATION NUMBER ( DIN)
The Concept of Directors Identification Number has been introduced by the Companies (Amendment) Act 2006. Following are some frequently asked questions on Director Identification Number.
- Q:- is it mandatory for DIN?
Ans:- Yes, as per section 253 of Companies Act, 2006, “ No company can appoint or reappoint an individual as director of the company unless he has been allotted a Director Identification Number under section 266B”
Hence, A DIN is mandatory.
- Q:- How can I get a DIN?
Ans:- The Ministry Of Company Affairs has its website called “MCA-21”. The website is providing all facilities relating to obtaining DIN. In this website there are some procedures given as to how to get DIN online.
- Q:- Please tel me The procedures:-
Ans:- There are basically four procedures for a DIN. They are as follows.
Step 1- Apply for DIN in E-Form called DIN-1 in MCA-21 Portal. You will get a Provisional DIN. System will generate a challan. Make payment against this chalan in an authorized bank for this application. Els, you can make credit card payment also.
Step 2:- Take a printout of the DIN-1, and attach Address proof and Identity proof for the director. Get a self attested passport size photo attached in the form. The proof attached is necessarily to be attested by an authorized person. Send the Application to Ministry of Company Affairs. The address is available on Application.
Step 3:- Once, you get approved your DIN, you have to intimate the company regarding you DIN in form DIN-2. This form has to be physically filed with company. The Company has to place the same on Board Meeting and it has to be accepted in the Board vide some resolution.
Step 4:- Once the DIN-2 has been accepted by the board, the company has to inform Ministry of Company Affairs, in Form DIN-3. This form has to be filed electronically. Here you will need help of a Company Secretary, who will assist you in applying his Digital Signature and getting your DIN-3, approved.
- Q:- Why there are different types of DIN Application?:-
Ans:- There are usually 3 forms, DIN-1, DIN-2, DIN-3. The difference is as follows.
DIN-1:- This is an application for applying a DIN. Philosophically, through this form you will be allotted an Unique identification number by Ministry of Company Affairs.
DIN-2:- Through this form, you intimate the company about your identification number, that you got form the Ministry of Company Affairs. This has to takeplace within one month of your allotment of provisional DIN.
DIN-3:- This form has to be filed by company with the Ministry of Company Affairs. The purpose is to confirm the fact that the person is in fact a director in the company and the number allotted to the director, has been taken to the records of company.
- Q:- I am a Director in more than one company. Can I have more than one
Ans:- No, you can not have more than one DIN. Once you have been allotted a DIN implies this is an unique number given to your directorship. Now what all you have to do is, inform all the companies where you are in a position of director. This has to be done with the help of form DIN-2.