Introduction:
The Director Identification Number (DIN) serves as a fundamental identifier for individuals aspiring to hold directorial roles in Indian companies or Limited Liability Partnerships (LLPs). This article provides insights into the legal framework and procedural intricacies surrounding the surrendering of a DIN, aiming to elucidate the process for individuals navigating this procedure.
Legal Provisions:
Section 153 of the Companies Act 2013 stipulates the acquisition of a DIN for prospective directors or designated partners. Rule 11 of the Companies (Appointment and Qualification of Directors) Rules, 2014 outlines circumstances under which a DIN can be surrendered, encompassing scenarios such as death, unsound mind, insolvency, disqualification, duplicate issuance, or non-utilization.
Process of Surrendering a DIN:
Surrendering a DIN entails an online application in Form RC-1 submitted to the Regional Director of the Ministry of Corporate Affairs. Simultaneously, applicants must complete a physical DIR-5 form, specifically tailored for DIN surrender under Section 153 and Rule 11(f). This completed DIR-5 form is then appended to the RD-1 application.
Key Points to Note:
- RD-1 serves as the online application for the Regional Director, necessitating the digital signature certificate (DSC) of the director.
- DIR-5 is a physical application, scanned and attached to the RD-1 submission.
- A government fee of Rs. 1000 is applicable for RD-1 filing.
- An affidavit affirming the non-utilization of DIN is mandatory.
- Active DIN KYC filings are requisite for the surrender process.
How ValuExpert Assists:
ValuExpert, a professional services firm, offers comprehensive support for various legal and regulatory compliance obligations. With DIN surrender, their adept team provides end-to-end assistance, encompassing form filing, document preparation, and affidavit creation, ensuring adherence to legal requisites. Leveraging their expertise, ValuExpert facilitates a seamless and compliant DIN surrender process, affording individuals peace of mind amidst regulatory intricacies.
Conclusion:
Surrendering a Director Identification Number (DIN) involves a structured process delineated under the Companies Act 2013 and its pertinent regulations. Adherence to legal stipulations is paramount, underscoring the significance of comprehending surrender grounds and procedural intricacies. Individuals contemplating DIN surrender should meticulously adhere to prescribed guidelines and leverage professional guidance for a streamlined process.