MCA asks all current company directors to fill new KYC form till Aug 31

It is verifiable that to represent the whole domain of corporate affairs of India in a foolproof way, the Companies Act 2013 should be consistently corrected and changed. The arrangements of the Companies Act are should have been changed by the changing existing conditions. The assignment of adjustment and refreshing the arrangements of the annual compliances for all the business substances is finished by the Ministry of Corporate Affairs of India. 

#1. WHAT PROVISION HAS BEEN PROPOSED BY MCA FOR DIRECTORS OF ALL THE COMPANIES? 

As of late, the Ministry of Corporate Affairs (MCA) has advised that with a specific end goal to refresh its database, it will go to lead an annual 'Know Your Customer' or KYC session of the Directors of the considerable number of companies through a recently presented frame, i.e. DIR-3 KYC, which will be informed and flowed soon.

#2. WHAT DOES IT IMPLY FOR THE DIRECTORS OF THE COMPANIES?

Therefore, every one of the Directors who has been assigned the Director Identification Number or DIN at the very latest 31st March 2018 and the status of which is appearing as 'Endorsed' on the MCA site, will now document the compulsory frame DIR-3 KYC most recent by 31st August 2018.

#3. In what capacity WILL THE FORM DIR-3 KYC BE AUTHENTICATED?

For effectively documenting the shape DIR-3 KYC, the candidate (director) will require to enter his Unique Personal Mobile Number alongside his Personal Email ID. From that point, his shape will be properly confirmed with the assistance of a One Time Password (OTP).

#4. Will's identity THE UNDERSIGNED WHILE FILING THE FORM DIR-3 KYC?

The shape DIR-3 KYC will be documented by each Director with his own particular DSC (digital signature) on it.

#5. By what means WILL THE DSC OF THE DIRECTOR BE VALIDATED?

The DSC of the director must be appropriately guaranteed by a practicing professional, which for this situation, would be a qualified CA, CS or CMA.

#6. IS THE FILING OF DIR-3 KYC FORM MANDATORY FOR DISQUALIFIED DIRECTORS TOO?

Truly. Recording of DIR-3 KYC would be obligatory for Disqualified Directors moreover.

#7. Imagine a scenario where DIR-3 KYC FORM IS NOT FILED TILL THE DUE DATE.

On the off chance that any director neglects these annual compliances and  to meet the due date for recording the KYC frame, the MCA21 framework will just check all the affirmed DINs that were apportioned prior to 31st March 2018 and against which DIR-3 KYC shape has not been documented, as 'Deactivated' with an elucidation

'Non-filing of DIR-3 KYC'

Besides, the late recording of such DIR-3 KYC shapes for whom the DINs have been deactivated will be allowed on payment of a specific late fee, without prejudice to whatsoever other action that might be taken.