Summary: A Director Identification Number (DIN) is a unique identification issued by the Ministry of Corporate Affairs for individuals intending to serve as company directors in India. While previously anyone could apply for a DIN through Form DIR-3 without being linked to a company, the legal framework changed significantly after the 2018 amendments to the Companies (Appointment and Qualification of Directors) Rules, 2014. Under the current Rule 9, a DIN can only be obtained when a person is being proposed for appointment as a director in an existing company. Rule 9(3)(a) specifically requires filing DIR-3 along with a board resolution and verification from the company proposing the appointment, making board approval a mandatory prerequisite. As a result, individuals can no longer obtain a DIN independently; they must first have a company willing to appoint them. The process ensures greater control, accountability, and authenticity in the directorship framework.
DIR-3 DIN Application: Can You Apply for a DIN (Director Identification Number) Without Being Appointed in a Company?
A Director Identification Number (DIN) is a unique identification issued by the Ministry of Corporate Affairs (MCA) to individuals who intend to act as directors of companies in India. While DIN has always been mandatory for directorship, the way to obtain a DIN has changed significantly, leading to a common question:
Can a person apply for a DIN without being appointed or proposed to be appointed in any company?
What is Form DIR-3?
DIR-3 is the e-form used to apply for a DIN. Earlier, anyone could file DIR-3 even without association with a company. However, major amendments in 2018 restricted who can apply.
Current Legal Position: DIR-3 Only When a Company Is Proposing Your Appointment
Under the updated Companies (Appointment and Qualification of Directors) Rules, 2014, a person cannot apply for a DIN unless they are being proposed to be appointed as a director in an existing company. This comes from Rule 9.
Specific Rule Requiring Board Resolution for DIR-3
Rule 9(3)(a) states that DIR-3 must be filed along with:
“…the verification by the company in which he is to be appointed as a director, along with the resolution of the Board proposing his appointment….”
This means a Board Resolution is a mandatory attachment and DIR-3 cannot be filed without it. Thus, it becomes mandatory for the person to get the board approval through a resolution for even getting a DIN and further approval of board of directors or shareholders of the company, as the case may be for appointment as a director in the company.
Key Takeaways
– DIN cannot be obtained independently.
– Form DIR-3 requires a Board Resolution as per Rule 9(3)(a).
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