1. Unique Identification for Directors
- DIN acts as a permanent and unique identifier for each director
- It remains valid for a lifetime and is required for all companies the individual serves
- Prevents duplication and helps maintain director-specific records
2. Mandatory for Appointment as Director
- No person can be appointed as a director in any company without a valid DIN
- It is a legal requirement under Section 153 of the Companies Act, 2013
- DIN must be mentioned in all relevant company filings and returns
3. Tracks Director’s Involvement in Companies
- Enables the MCA and government to track a director’s role across multiple companies
- Helps monitor directorship in multiple entities and identify any conflicts of interest
- Assists in corporate governance by identifying active and disqualified directors
4. Used in Statutory Filings and Documents
- DIN must be quoted in all ROC filings, such as annual returns, director resignations, and board resolutions
- It is used in SPICe+, DIR-3, DIR-6, and other forms submitted to the MCA
- Ensures accountability and transparency in official company records
5. Required for Updates and Changes
- Any change in a director’s particulars (e.g., name, address) must be updated through the DIN using Form DIR-6
- DIN helps maintain a centralized and updated database of director information
- Plays a key role in preventing fraudulent identities in corporate structures
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