ROC Action on Directors for Failure to Mention DIN in Signed Financials

The Registrar of Companies (ROC), Uttar Pradesh, imposed a monetary penalty on a company called Kashi Gramin Vikas Mutual Benefit Nidhi Limited and its officers in default for signing the financial statements without mentioning their Director Identification Number (DIN).

Background of the Case

The Serious Fraud/Concerned Authority (SCA) of MCA directed an inquiry under the Companies Act. During the inquiry, it was found that in the financial statements filed by the company for FY 2016-17 to 2019-20, the directors did not mention their DIN below their signatures.

As per section 158 of the Companies Act 2013, not mentioning DIN is a violation. Therefore, penal action under Section 172 was suggested against the Company and its officers in default.

E-hearing

An e-hearing was scheduled on 25.03.2026. A Show Cause Notice was issued to the company and its officers in default for the violation. During the hearing, Mr. Jai Shankar Agrahari appeared on behalf of the company.

He submitted that Mr. Banarasi (DIN 08671111) and Mr. Pavan Kumar Chaubey (DIN 08671116) were appointed as directors only from 28.01.2020, and Mr. Peter Damien (DIN 07467676) was a director from 11.03.2016 to 26.10.2016. Therefore, they were not associated with the company at the time of the non-compliance.

Order

It was confirmed that for the fiscal year ending 31.03.2018, the directors who signed the financial statements did not mention their DIN, which is a violation of Section 158.

Accordingly, the ROC imposed a Rs 3 lakh penalty on the company and Rs 1 lakh on each officer in default.