The director is the principal head of the company. The PAN card details can reveal the authenticity of the director and this could potentially help to prevent several fraudsters creating fake IDs as directors.
The Companies Act, 2013, stipulates public companies have a minimum of 3 directors, private companies have a minimum of 2 directors, and a One Person Company has a single director. The predominant role a director has to play in a company is to handle the day-to-day operations of the company. The director also takes a keen interest in devising strategic plans that enable the organization to meet its goals and objectives. Additionally, the director of a company is also accountable to the shareholders of the company and is responsible for the company’s corporate policy. Having said this, the position of a director of a company is prone to threats. There is always a risk of fake directors pretending to be the original ones with respect to established companies. Company director fraud has been happening for a long time now and to curb the menace, the Ministry of Corporate Affairs (MCA) has joined hands with the Finance Ministry to verify the PAN card details of Directors. The Companies Rules, 2014 mandates all Directors to acquire a Director Identification Number (DIN). A DIN is a unique eight-digit number that is allotted to every Director of a company.
DIN Registration for Directors
The DIN is a unique identification number that is allocated to the director of the company, after having made an application through form DIR-3 as directed by the Companies Act, 2013. This number makes it possible to manage the details of all the directors collectively in the database. Prior to obtaining the DIN, an application for Digital Signature Certificate (DSC) is to be made. It is mandatory for a director to possess a DSC, in order to sign the forms and various other documents electronically. A DSC is a secured digital key that authorises the identity of the certificate holder. Once a Din is issued, it does not require any renewal or resubmission. Directors can apply for DIN by filing one of the forms among SPICe, DIR-3, or DIR-6.
DIN Verification for Indian Directors
Directors can verify their DIN details online on the MCA portal by following these steps:
- Click on the MCA Services tab. The list of MCA services will be displayed
- Under the DIN services, click the verify DIN/PAN details. The user is led to the Verify DIN/DIN-PAN Details of Director/Designated Partner page
- In the DIN or DPIN field, type in the DIN of the Indian director or the DPIN of the assigned Indian associate
- Hit the Submit button, and then the details of the director or designated partner (Director’s or Assigned partner’s name, Father’s name, and date of birth) as per DIN or DPIN database will become visible
- In the income tax permanent account number (PAN) handle, type in the PAN (permanent account number) of the director or the assigned partner.
- Click the Submit button. Subsequent to submission any one of the below messages will emerge on the screen:
In case there are no PAN details present against the DIN inserted in the DIN database, an error message stating that “Income tax PAN does not exist in the DIN database in regard to the DIN inserted” will be displayed. It would be ideal if the form DIR-6 is filed and updated along with the PAN details. In case the form DIR-6 has been documented, the user will have to wait until it is approved. If the entered PAN does not belong to the DIN as stated in the DIN database an error message is received: “The PAN entered does not coordinate with PAN present in regard to the DIN/DPIN according to the MCA database.” If the DIN details match with the PAN database, the user will be shown the accompanying affirmation message: “DIN details are coordinating with the PAN database.”
The following details of the director can be derived using the PAN
- Name of the director (PAN card holder)
- Father’s name of the PAN card holder
- Date of birth of the PAN card holder
- Photograph of the PAN card holder
- PAN number
- Signature of the PAN card holder.
The Pan Card Details Can Also Be Obtained From Income Tax Department’s E-filing Website
- Log in to the Income Tax department’s official website
- The user has to click the ‘Register’ button in the top right corner
- On clicking the button, the user is redirected to e-filing page
- The PAN number has to be entered in the PAN dialog box
- The registration form should thereafter be filled and submitted
- A link is sent to the registered e-mail id and the same has to be clicked to activate the account
- On visiting the profile, and selecting PAN details, the required details about the PAN holder are obtained.
Thus, the details of the director can be effectively retrieved by using either the MCA portal or the income tax portal. The prospective shareholders of a company can look through these details to check the authenticity of the director of a company and this would definitely help them to make well-informed decisions.
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