DIN stands for the director identification number, a unique eight-digit identification no. They are allotted by the central government to any individual who intends to become the director of a company. A person can hold only single DIN no matter how many companies he owns. DIN contains personal information about the director which is safely secured in the database.
According to sec 153, any individual intending to start his own company needs to apply for a DIN. Application for allotment of DIN is sent to the central government. After the application is received, DIN is allotted within one month. However, according to sec 155, there’s a prohibition to obtain more than 1 DIN as the DIN is linked with director’s PAN CARD and passport and can be used by a single director even if he owns more than one company.
A person can surrender his/her DIN in the following cases
Step - 1: It is important to verify with MCA that the individual does not hold multiple DIN. One can ascertain if he/she is holding any other DIN by logging to http://www.mca.gov.in/ and can check for the same
Step - 2: For surrendering an unused DIN, the person has to file form DIR-5 with MCA along with documents mentioning
In case of multiples DINs being surrender, the person needs to apply along with filing an affidavit on 10 rupees stamp paper plus the prescribed government fees of 1000 rupees. The person needs to make sure that DIN he is surrendering has never been in use or he/she is not linked to any company.
Step - 3: The form DIR-5 filed must be digitally signed by any one of the following
Step - 4: The form DIR-5 is a physical form, so it has to be attached with form RD-1 and filed with Regional Director along with Attachments such as
Step - 5: The Central Government will check all the E-records, and the e-form is processed by the office of the regional director which will further initiate the cancelling of DIN
According to sec 155, no individual is liable to hold more than one DIN, in case a person holds two DIN, they need to surrender the second DIN if they fail to surrender then the director may be subjected to imprisonment for up to 6 months or is punishable by a fine which may exceed up to 50,000.