1.
Surrender of DIN

2.
INTRODUCTION
Director Identification Number (DIN) is the unique number allotted to Director as their identity of being Director.
The Central Government has been entrusted with the power to allot DIN to applicants who are aspiring to become
Directors. This power of Central Government is delegated to the Regional Director (Northern Region), Noida generally
known as DIN Cell.
A person can be allotted DIN once and it will remain same through the life-time of the applicant and shall not be allotted to
any other person.
However, it could happen that sometime need arises to cancel or deactivate the already allotted DIN. In such case the
Central Government has power to deactivate/cancel/surrender DIN suo-motto, provisions of which is given under
Companies Act 2013.
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3.
GROUND TO CANCEL/ DEACTIVATE DIN?
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As per rule 11 of Companies (Appointment and Qualification of Directors) Rules,2014 in below given scenario DIN can be
deactivated/cancelled by the central government:
a. the DIN is found to be duplicated in respect of the same person;
b. the DIN was obtained in a wrongful manner or by fraudulent means;
c. death of the concerned individual;
d. concerned individual has been declared as a person of unsound mind by a competent Court;
e. concerned individual has been adjudicated an insolvent;
f. concerned individual is/was not associated with any company/LLP since inception.

4.
HOW TO APPLY FOR DIN SURRENDER
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 Pursuant to section 153 of the Companies Act 2013 and rule 11 of the Companies (Appointment and Qualification of
Directors) Rules, 2014, form DIR 5 is required to filed to make an application for surrender of Director Identification
Number.
 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 may deactivate the DIN.

5.
SURRENDER DIN BY APPLICANT
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 When an existing Company wants to appoint new person as director, it proposes for allotment of DIN for such
applicant and also certify DIN application form DIR 3.
 After allotment of DIN, person can act as Director if he/she fulfils other criteria of eligibility of being Director. It could
happen a person has been allotted DIN but later on Company decides not appoint such person as Director in that
Company and if in future also such person have had never became Director in any Company than he/she may
surrender DIN by making application in DIR 5.
 An application made in Form DIR5 by the DIN holder to surrender his or her DIN should be submitted 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.

6.
DIN DEACTIVATION – OBTAINED IN WRONG MANNER
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As per rule 11 the Companies (Appointment and Qualification of Directors) Rules, 2014 , DIN can be deactivated if it is
obtained in “wrongful” and “fraudulent” manner. Below given is the explanation for both terms:
"wrongful manner" means if the DIN is obtained on the strength of documents which are not legally valid or incomplete
documents are furnished or on suppression of material information or on the basis of wrong certification or by making
misleading or false information or by misrepresentation;
"fraudulent means" means if the DIN is obtained with an intent to deceive any other person or any authority including the
Central Government.
The Central Government shall in such case, provide an opportunity of being heard to the concerned individual before
cancellation or deactivation of DIN.

7.
DIN DEACTIVATION BY CENTRAL GOVERNMENT
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DIN can also be deactivated in accordance with rule 11(2) of the Companies (Appointment and Qualification of Directors)
Rules, 2014.
Every DIN holder is required to submit DIR 3 KYC or DIR KYC web form under rule 12 the Companies (Appointment and
Qualification of Directors) Rules, 2014.
An individual who does not intimate his particulars in form DIR-3-KYC 3 [or the web service DIR-3-KYC WEB as the case
may be within stipulated time in accordance with rule 12A then his/her DIN will be deactivated and can be activated only
after filing form DIR-3-KYC 3 or the web service DIR-3-KYC-WEB as the case may be with fees of Rs. 5000 as delayed
charges.
Every Director who are actively working as Director must file their KYC and it is advisable if DIN has never been used by
the Director or fulfils conditions as mentioned in the article , must apply for surrender/cancellation of DIN to prevent further
misuse of DIN.

8.
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