Is llp registration temporarily suspended in india?

LLP Registration process is not put on suspended but due to temporary suspension of DIN application, the partners not having DIN are unable to register an LLP. The process of LLP registration is as followed:

• Application of DIN allotment for Designated Partners
• Application of Name Reservation by Partners
• Application for incorporation
• Filing of LLP Agreement in LLP form 3

It is the primary requirement that minimum two designated partners shall be appointed while registration of LLP. The appointment of designated partners must hold DIN (deemed DPIN). But the barrier arises at the DIN stage itself. Hence, the registration process cannot be commenced. And thus practically, the LLP registration is suspended till there is any further announcement with regards to DIN application.

If the partners already hold DIN, they can register an LLP without any hassle by following the subsequent steps.

LLP is not suspended rather DIN of the partners can be got suspended on the application of the partners/LLP. 

After long period of suspension and uncertainty, Ministry of Corporate Affairs announces, the application for DIN allotment will be restored for proposed Designated Partners. By enforcing Limited Liability Partnership (Amendment) Rules, 2018, Rule 10 of Limited Liability Partnership Rules, 2009 is amended to effect the restoration of the said application.

The amendment prescribes that “Every individual, who intends to be appointed as a Designated Partner of an existing Limited Liability Partnership, shall make an application electronically in Form DIR – 3 under the Companies (Appointment and Qualification of Directors) Rules, 2014 for obtaining DPIN under the Limited Liability Partnership Act, 2008 and such DIN shall be sufficient for being appointed as Designated Partner under Limited Liability Act, 2008.”

An explanation to this amendment follows as below:

• The form DIR – 3 will allow only application for DIN allotment by for the individual willing to appointed as Designated Partner of any existing LLP.
• To form a new LLP, the proposed Designated Partners cannot make an application for DIN allotment.
• The Designated Partners do not require DPIN (Designated Partner Identification Number). The Director Identification Number allotted is sufficient for said purpose.
• The amendment is also brought the Companies (Appointment and Qualification of Directors) Rules, 2014 along with LLP Rules for enforcement of said change.

However, the prescribed restoration limits only to allotment application by the individual who has agreed to be appointed as Designated Partner in already incorporated LLP.

The Amendment Rules further says that if the individual holding DIN or DPIN needs to change the particulars, he or she can make the application through e-Form DIR – 6.

Mentioned e-form DIR – 3 and DIR – 6 will be revised on June 15, 2018, to deploy the changes required to implement the amendment.