Under this article, we will discuss section 153 read with rule 11 (f) of companies act, 2013. This section contains the procedure for the surrender of DIN by a person.
Section 153 read with rule 11 (f) of Companies Act 2013
As per rule 11(f)- when a person made an application for surrender of his DIN to regional director has to ensure the following condition.
- That he has never been appointed as a director in any company and
- The said DIN has never been used for filing any documents with any authority.
FAQ on Surrender of DIN by a Person
1. Which form required to filed for Surrendering the DIN ?
E- Form No DIR-5 required to file for Surrendering the DIN. This form can be downloaded from the MCA website.
2. What are the reason for Surrendering the DIN ?
There are many reason for Surrendering the DIN like:-
- Death of DIN Holder
- DIN holder declared as the unsound mind by the competent court
- DIN Holder has been adjudicated as insolvent
- DIN holder never used the DIN and not intended to use in future also
- Having Multiple DINs
3. What are the documents required to Surrendering the DIN ?
- Copy of pan card of DIN holder
- Copy of Aadhar card DIN holder
- Passport size photo DIN holder
Also Read:- Stamp duty on mutual funds from 1st July 2020
4. Can any person have more than one DIN ?
In general rule, any person can not have more than one DIN. if any person have obtained more than one DIN it will be considered as non-compliance of company law.
5. What is the validity period of DIN ?
Once obtained, DIN is valid for the lifetime of the person. Although as per government rule every DIN holder is required to file DIR-3 KYC every year.
Important Note– Before Surrendering the DIN, the person has to make sure that the DIN he is going to surrender is never used by him since the time he has to obtain the DIN. If such DIN is used by him to get an appointment in the company in the past then such DIN cannot be surrender. In such a case DIN can be surrender only on death/unsound mind of that person.
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Disclaimer: The information contained in the above article are solely for informational purpose after exercising due care. However, it does not constitute professional advice or a formal recommendation. The author does not own any responsibility for any loss or damage caused to any person, directly or indirectly, for any action taken on the basis of the above article.
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Compiled by- CA Chirag Agarwal (Practicing Chartered Accountants)