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Form DIR-5 must finally be signed by any of the following professional:
Chartered Accountant in whole time practice
Company Secretary in whole time practice
Cost Accountant in whole time practice
Identity proofs like Voters Identity Card/ Passport/ Driving License/ Aadhaar Card/ PAN Card must be submitted.
Any person wishing to surrender a DIN can file Form DIR-5 with the MCA. In Form DIR-5 the following information must be provided by the applicant:
Form DIR-5 can also be filed or digitally signed by a relation of the person if the DIN holder has passed away or has been declared as a person of unsound mind by a competent court or the person has been adjudicated as insolvent
As per Section 155: No individual, who has already been allotted a Director Identification Number under section 154, shall apply for, obtain or possess another Director Identification Number
However, one can opine that if a person has applied or got second DIN then it shall be considered as non compliance of Section 155.
As per Section 159: If any individual or director of a company, contravenes any of the provisions of section 152, section 155 and section 156, such individual or director of the company shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to fifty thousand rupees and where the contravention is a continuing one, with a further fine which may extend to five hundred rupees for every day after the first during which the contravention continues.
However, one can opine that it is default on the part of individual and such individual shall be punishable with file as mentioned above.
As per Rule 11 of The Companies (Appointment and qualification of Directors) Rules, 2014 “The Central Government or Regional Director (Northern Region), Noida or any officer authorised by the Regional Director may, upon being satisfied on verification of particulars or documentary proof attached with the application received alongwith fee as specified in Companies (Registration Offices and Fees) Rules, 2014 from any person, cancel or deactivate the DIN”.
However, one can opine that Rule 11 allowed an individual to surrender of DIN if having more than 2 DIN.
In Another Word First Din obtained in 2006 and second DIN obtained in 2010, and then which DIN no. can be surrender.
As per provisions of Companies act read with relevant rules and Updation on the MCA website “ in respect of an individual who is in possession of Duplicate/Multiple DINs, he can retain the Oldest DIN only. DINs obtained later have to be surrendered.”
However, one can opine that DIN taken on later on (means second DIN) shall be surrender by individual. Surrender of First DIN is not at all allowed.
As per CA, 2013 and from above mentioned question it is clear that,
second DIN can’t be retain by the individual in any of situations.
Therefore, Individual has to surrender the Second DIN. But what shall be status of directorships?
As per Act, in above mentioned situation following shall be done:
Individual has to surrender Second DIN Only.
RD shall migrate directorship of Second DIN on First DIN.
After migration second DIN shall be surrender
Regional Director can cancel / surrender DIN on the basis of situation mentioned in Rule 11.
Rule 11 (a-e) mentioned the situation for surrender of DIN Like (unsound mind, Death, Insolvent etc).
However, Rule 11(f) states that “on an application made in Form DIR-5 by the DIN holder to surrender his or her DIN along with declaration that he has never been appointed as director in any company and the said DIN has never been used for filing of any document with any authority, the Central Government may deactivate such DIN”
As discussed in question no. 2 in case of double din penalty shall be as per Section 159.
As per practical situation, after filing of documents/ forms for Surrender of DIN Regional Director is asking for the acknowledgement of Compounding Petition. Therefore, one can opine that along with surrender of second DIN, compounding Is mandatory.
Regional Director Northern Region, Delhi having power to deal with all the matters of DIN. Power to cancel DIN is also vested with RD Northern Region.