In a significant digital governance initiative, the Ministry of Corporate Affairs (MCA) has made it mandatory for all public limited companies to obtain and file a Digital Compliance Certificate (DCC) starting from the financial year 2025–26. This newly introduced certificate is aimed at streamlining regulatory supervision, improving accuracy in statutory filings, and promoting a transparent, tech-driven compliance environment under the Companies Act, 2013. The DCC must be signed and authenticated using Class III Digital Signature Certificates (DSCs) by the company’s compliance officer or authorized director.

The DCC will serve as a consolidated attestation of adherence to multiple statutory obligations, including timely filings of annual returns (Form MGT-7), financial statements (Form AOC-4), board resolutions (Form MGT-14), and compliance with CSR, board meeting quorum, and independent director requirements. Companies will be required to file the DCC through the MCA21 portal within 30 days of their Annual General Meeting (AGM). This process introduces a centralized digital audit trail that regulators can access in real-time to assess corporate compliance without the need for frequent manual inspections.

Failure to submit the Digital Compliance Certificate within the stipulated timeline may result in automatic red-flagging of the company’s compliance status, triggering scrutiny by the Registrar of Companies (RoC) and potentially inviting penalties under Sections 92 and 137 of the Act. Additionally, non-filing of the DCC may impact the company’s eligibility for government incentives, listing approvals, or FDI clearances. The MCA has also announced plans to roll out training modules and compliance dashboards to assist companies and professionals in transitioning to this digital certification regime. This move reinforces the government’s push toward real-time governance, paperless monitoring, and proactive regulatory enforcement in India’s corporate ecosystem.