Section 164(2)- Disqualification of directors not deactivate or cancel DIN

Mukut Pathak & Ors. Vs. Union of India and Anr (Delhi High Court) It is important to note that whereas a DIN is necessary for a person to act as a director; it is not necessary that a person who has a DIN be appointed as a director. Section 164(2) only provides for temporary disqualification for a period of five years for a person to be appointed/re-appointed as a director. Thus, it is not necessary that the DIN of such person to be deactivated. Conclusion: On analysing section 164(2) it was concluded that the same operates prospectively and a director would not demit office in terms of S...