ROC Imposes Penalty for Duplicate DIN Despite Alleged MCA System Error:

The Ministry of Corporate Affairs (MCA), through the Registrar of Companies (ROC) Mumbai, imposed a penalty of Rs 49,060 on director Krishna Ajit Mehta for violation of Section 155 of the Companies Act 2013, relating to the possession of multiple Director Identification Numbers (DINs).

As per the adjudication order dated 25 May 2026, the Registrar of Companies, Mumbai, received a suo motu adjudication application from the director admitting that a duplicate DIN had been generated in her name. The first DIN, 06799908, had been allotted on 28 November 2014 and was used for compliance in Mehta International Private Limited. However, while filing the FiLLiP form for the incorporation of KY Buildcon LLP on 12 December 2022, another DIN, bearing number 10033128, was allegedly generated automatically due to a system-related issue during the portal migration.

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The director contended that she had never intentionally applied for a second DIN and discovered the duplication only while reviewing the MCA master data. It was further submitted that a DIR-5 form had already been filed for the surrender of the duplicate DIN, though a copy of the same was not available on record.

The ROC observed that Section 155 of the Companies Act expressly prohibits any individual from obtaining or possessing more than one DIN. The adjudicating authority noted that although the violation was not intentional and no prejudice was caused to stakeholders, the director remained in possession of two DINs simultaneously from 12 December 2022 till 25 May 2026, amounting to a continuing default of 1261 days.

Considering the bona fide conduct of the applicant and the mitigating circumstances, the ROC imposed a base penalty of Rs 10,000 along with an additional penalty calculated at Rs 31 per day for 1260 days, aggregating to Rs 49,060 under Section 159 of the Companies Act, 2013.

The order further directed the noticee to rectify the default and pay the penalty within 90 days through the MCA e-adjudication portal. The director has also been granted liberty to file an appeal before the Regional Director, Mumbai, within 60 days from receipt of the order.