MCA is conducting mandatory KYC drive of all the directors of the companies annually through new DIR-3 KYC form. KYC for directors of all companies is to be done by September 15, 2018.
The MCA has launched a significant KYC drive to bring down the shell companies. They would be conducting KYC of all the directors of the company as a part of updating its registry. Directors of the company will be going through this KYC procedure annually.
The KYC details are to be mandatorily submitted by the Director of the company and also by disqualified directors as well.
Every director that have been allotted DIN before or on 31 March 2018 and the DIN that are in Approved status are mandatorily required to file the form DIR-3 KYC by 15 September 2018.
Documents required in the KYC for Directors
The KYC Form DIR-3 will include:
- Personal mobile number
- Personal Email ID
Certification Required for Company Director's KYC
- DSC of the director
- DSC of a practicing professional(CA/CMA/CS)
The number and personal email id that will be verified through One Time Password (OTP). The Information by E-form DIR-3 will be filed by directors using their DSC which will be duly certified.
The information will be updated annually by a company secretary at the time when annual financial statements are filed with MCA.
If the KYC form is not filed by 15th September 2018; MCA 21 will mark the approved DINs as ‘deactivated’ along with reason ‘Non-filing of DIR-3 KYC’.
The deactivated DIN will be allowed only after a specified payment of the late fee, which will be notified by MCA.
Availability of Form: As per recent MCA notification the form DIR-3 will be available on MCA21 Company Form on 14th July 2018.
Penalty and Fees
MCA has amended Appointment and Qualification of Director Rules 2014. Rule 12 A specifies that all the directors will have to mandatorily submit the eForm DIR-3 before or on the specified date. Directors who are unable to submit the form will be levied a penalty by disqualifying the DIN of the director which will only be allowed after payment of INR 5000 as a late fee w.e.f 16th September 2018
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