{"id":40574,"date":"2022-02-26T12:00:29","date_gmt":"2022-02-26T06:30:29","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=40574"},"modified":"2022-03-04T12:45:20","modified_gmt":"2022-03-04T07:15:20","slug":"dir-12-form-norms-process-and-penalties","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/","title":{"rendered":"DIR 12 form: Norms, Process, and Penalties"},"content":{"rendered":"\n<p class=\"has-drop-cap\">Companies incorporated under the\nCompanies Act, 2013 are mandated to file a DIR 12 form on the official portal\nof MCA. The form is filed to notify the Registrar of Companies about the detail\nrelating to the Change\/ appointment\/Resignation of directors and other\nofficials. The filing of DIR 12 should be done within 30 days of such subject\nmatters. <\/p>\n\n\n\n<p>Rule 8, 15 &amp; 18 of Companies\n(Appointment &amp; Qualification of Directors) Rules, 2014, Sections 7(1) (c),\n168 &amp; 170 (2) of the Companies Act, 2013 and Rule 17 Of Companies\n(Incorporation) Rules laid out the conditions regarding such subject matters. <\/p>\n\n\n\n<div class=\"mt-3 mb-3 embed-responsive embed-responsive-16by9\"><iframe class=\"embed-responsive-item\" src=\"https:\/\/www.youtube.com\/embed\/BoLRdaFww9A\" frameborder=\"0\" allow=\"accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture\" allowfullscreen=\"\"><\/iframe><\/div>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/#Instances_when_the_filing_of_DIR_12_form_becomes_mandatory\" >Instances when the filing of DIR 12 form becomes mandatory<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/#Noteworthy_Norms_Regarding_DIR_12_form_Filing\" >Noteworthy Norms Regarding DIR 12 form Filing<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/#Procedure_for_filing_DIR_12_Form\" >Procedure for filing DIR 12 Form<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/#Attachments_to_be_affixed_with_DIR_12_form\" >Attachments to be affixed with DIR 12 form<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/#Penalties_for_delay_filing_of_DIR_12_form\" >Penalties for delay filing of DIR 12 form<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/dir-12-form-norms-process-and-penalties\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Instances_when_the_filing_of_DIR_12_form_becomes_mandatory\"><\/span>Instances when the filing of DIR 12 form becomes mandatory <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>DIR 12 form is filed in the following\ncircumstances: <\/p>\n\n\n\n<ul><li><a href=\"https:\/\/corpbiz.io\/appointment-and-resignation-of-directors\"><strong>Appointment of the Director<\/strong><\/a> <\/li><li>Resignation of the Director<\/li><li>Or Change in Director&#8217;s designation. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Noteworthy_Norms_Regarding_DIR_12_form_Filing\"><\/span>Noteworthy Norms Regarding DIR 12 form Filing<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>You\ncan file the DIR 12 form with different event dates (date of change in\ndesignation, date of appointment, date of cessation, and date of change in the\ndesignation) only if such dates are within thirty days of the filing date. If\nany of these dates fall beyond the said timeline, i.e. 30 days, then a separate\nform needs to be filed by the applicant for every such event date<\/li><\/ul>\n\n\n\n<p><strong><em>Let us understand the requirement of\nfiling the DIR 12 form through an example: <\/em><\/strong><\/p>\n\n\n\n<p><strong>Director A is appointed on 2nd July; Director B is appointed on 12th July. And Director C ceases to serve the company with effect from 19th July. In such a case, particulars of all such changes can be filed through the DIR-12 form only if the form is filed on or before 1st August, as all such events fall within 30 days. But, if the company files the DIR 12 form on 5th August, then a separate DIR 12 form should be filed in respect of Director A. <\/strong><\/p>\n\n\n\n<ul><li>For\nfiling of particulars of two or more events relating to the same official, you\nare mandated to file separate DIR 12 form. <\/li><li>It\nis recommended that you file the DIR form in chronological order of the events.\nIt indicates that before filing the said form, you must ensure that no DIR 12\nform is due to be filed for the particular company where the event&#8217;s date is\nearlier than entered in this form. <\/li><li>If\nthe DIR 12 form is being filed synched with a form like INC-2 or INC-7, then\nthe option &#8220;New Company&#8221; must be chosen. In all other events, an\noption like &#8216;Existing Company&#8217; must be selected.<\/li><\/ul>\n\n\n\n<p><strong><em>Note: A person acting as Director in more\nthan 20 companies doesn&#8217;t qualify for the post of directorship in a private\ncompany.<\/em><\/strong><strong><em><\/em><\/strong><\/p>\n\n\n\n<p><strong>The same is valid for candidates serving more than ten public companies in the case of a public limited company. <\/strong><\/p>\n\n\n\n<ul><li>The\ncompany is required to file a separate DIR 12 form in the case where a number of\nDirector is higher than 15 <\/li><li>DIR 12 form can be filed\nfor one CS as the company is restrained from appointing more than one person to\nserve such a position. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Procedure_for_filing_DIR_12_Form\"><\/span>Procedure for filing DIR 12 Form<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>1. Download the e-form DIR-12 <\/em><\/strong><\/p>\n\n\n\n<p>This would be the first step. Here you\nneed to visit the MCA portal and download the e-form DIR 12<\/p>\n\n\n\n<p><strong>2<\/strong>. <strong>Enter Company Identification Number &amp; tap on the Pre-fill option <\/strong><\/p>\n\n\n\n<p>Applicants can access the pre-fill\nfacility, which automatically files the e-form based on the particulars that\nhave been fetched out. <\/p>\n\n\n\n<p>The system shall automatically prompt the\nname, address of the company&#8217;s registered office and email contact. The details\nrelating to email contact is editable within the form.<\/p>\n\n\n\n<p><strong><em>3. Enter Managing Director&#8217;s number and particulars <\/em><\/strong><\/p>\n\n\n\n<p>In this step,\nyou must add the company&#8217;s managing director particulars and numbers. You can\ntake advantage ofthe\ninstruction kit for simplifying the filing process. <\/p>\n\n\n\n<p>Next, the form must be filled out\ncarefully, and all the details it asks for must be provided. Please make use of\nthe instruction kit<\/p>\n\n\n\n<p><strong><em>4. Enter contract number and detail of\nthe company&#8217;s managers, CFO, secretary<\/em><\/strong><\/p>\n\n\n\n<p><strong><em>5.\nAttach Documents<\/em><\/strong><em><\/em><\/p>\n\n\n\n<p>Next, upload the requested documents as\ncited later in this write-up. <\/p>\n\n\n\n<p><strong><em>6. Enclose the Digital Signature and Submit the form <\/em><\/strong><\/p>\n\n\n\n<p><strong>Before furnishing the DIR 12 Form,\nre-examine the same for errors. Enclose your digital signature to authenticate\nthe form, and then tap on the option called &#8220;Submit&#8221;. <\/strong><\/p>\n\n\n\n<p><em><strong>7<\/strong>. <strong>Pay the e-form fees and secure SRN <\/strong><\/em><\/p>\n\n\n\n<p>After uploading the e-form, the portal\nshall prompt you to submit transaction fees. Do the needful to complete the\npayment process. <\/p>\n\n\n\n<p>Post-successful payment, the portal shall\ngenerate the SRN number for future reference.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Attachments_to_be_affixed_with_DIR_12_form\"><\/span>Attachments to be affixed with DIR 12 form <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>a. In Case of Appointment<\/strong>:<\/p>\n\n\n\n<ul><li>Appointment\nletter of the Director\/CS\/Manager\/CFO\/CEO<\/li><li>Declaration\nfrom the appointee director, MD, in case of appointment of a\nManager\/Director\/CS\/CFO\/CEO<\/li><li>Interest\nin other companies of Director in the event the number of companies entered is\nmore than one.<\/li><li>Declaration\nfrom the first director in Form INC-9 in case of a new company<\/li><\/ul>\n\n\n\n<p><strong>b. In case of Resignation:<\/strong><\/p>\n\n\n\n<ul><li>Resignation\nnotice in case of cessation of a Director or other key officials such as\nCompany Secretary \/ CEO \/ CFO<\/li><li>Proof\nw.r.t cessation in case of cessation of a Director or other key officials such\nas Company Secretary \/ CEO \/ CFO<\/li><\/ul>\n\n\n\n<p><strong>c. Any other information can be provided\nas an optional attachment(s).<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Penalties_for_delay_filing_of_DIR_12_form\"><\/span>Penalties for delay filing of DIR 12 form<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p> Penalty in the form of additional fees shall come to effect in case of delay filing of DIR 12 form. The following penalties shall be levied in accordance with the number of days delayed. <\/p>\n\n\n\n<table class=\"table table-bordered\"><tbody><tr><td>\n  <strong>Period of delay<\/strong>\n  <\/td><td>\n  <strong>Additional Fee<\/strong>\n  <\/td><\/tr><tr><td>\n  Up to 30 days\n  <\/td><td>\n  2 x of standard fees\n  <\/td><\/tr><tr><td>\n  More than 30 days &amp;&nbsp; up to 60 days\n  <\/td><td>\n  4 x of standard fees\n  <\/td><\/tr><tr><td>\n  More than 60 days &amp;&nbsp; up to 90 days\n  <\/td><td>\n  6 x of standard fees\n  <\/td><\/tr><tr><td>\n  More than 90 days &amp;&nbsp; up to 180 days\n  <\/td><td>\n  10 x of standard fees\n  <\/td><\/tr><tr><td>\n  More than 180 days\n  <\/td><td>\n  12 x of standard fees\n  <\/td><\/tr><tr><td><\/td><td><\/td><\/tr><\/tbody><\/table>\n\n\n\n<p>In the case of an IFSC company, the\npenalty amount shall be applicable only after the expiration of sixty days of\nthe event date. But, while filing form after sixty days, an additional fee\nshall be estimated given the time limit of 30 days. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Top management is less prone to changes, unlike middle and lower-level management. But when the changes occur in the top management, the same has to be intimated with the governing authority. Any contravention to such a condition could incur severe penalties for the company. Hence, companies under the <strong>Companies Act, 2013<\/strong><sup><a href=\"https:\/\/www.mca.gov.in\/content\/mca\/global\/en\/acts-rules\/companies-act\/companies-act-2013.html\"><strong>[1]<\/strong><\/a><\/sup> must do the needful to comply with the aforesaid norms.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/mca-extends-due-date-for-filing-mgt-7-and-aoc-4-for-fy-2020-21\/\">MCA Extends Due Date for Filing MGT-7 and AOC-4 for FY 2020-21\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Companies incorporated under the Companies Act, 2013 are mandated to file a DIR 12 form on the official portal of MCA. The form is filed to notify the Registrar of Companies about the detail relating to the Change\/ appointment\/Resignation of directors and other officials. The filing of DIR 12 should be done within 30 days [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":40582,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[120],"tags":[2146],"acf":{"service_id":"321"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":56051,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/40574"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=40574"}],"version-history":[{"count":16,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/40574\/revisions"}],"predecessor-version":[{"id":40852,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/40574\/revisions\/40852"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/40582"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=40574"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=40574"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=40574"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}