Press Information Bureau

Government of India

Ministry of Corporate Affairs

11-July-2011 17:42 IST

Guidelines for Declaring Financial Institution as Public Financial Institutions Under Section4a of The Companies Act,1956

The Ministry of Corporate Affairs has framed following criteria for declaring any financial institution as a Public Financial Institution (PFI) under under section 4a of the Companies Act,1956:

decided that with effect from 12th June, 2011, all DIN-1 & DIN-4 applications has to be digitally signed by the practicing Chartered Accountants, Company Secretaries or Cost Accountants who shall also verify the particulars of the applicant given in the applications. All these applications will be approved online.

At present, the PAN of the applicant is not a mandatory field in DIN eform-1. In order to examine DIN e-forms through the system and to avoid duplicate DIN, it has been decided that all existing DIN holders who have not furnished their PAN earlier at the time of obtaining DIN, are required to furnish their PAN by filing DIN-4 e-form by 30th September, 2011 failing which their DIN will be disabled and they shall also be liable for heavy penalty

It may be noted that the Ministry has already issued instructions on April 7 this year regarding the intention to allot all DIN applications online and to examine the DIN-1 and DIN-4 e-form through the system. Accordingly, following fields in the DIN e-form will be mandatory :

(i) Name of Applicant

(ii) Father’s name of the Applicant

(iii) Date of Birth

(iv) Income Tax Permanent Account Number (PAN) in case of all Indian Nationals.

(v) Passport in case of all Foreign Nationals.

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Digital signature requirement for DIN applications mandates professional verification; PAN mandatory for Indian nationals with compliance consequences. All DIN-1 and DIN-4 applications must be digitally signed and verified by a practising CA, CS, or Cost Accountant and will be approved online. DIN e-forms require applicant name, father's name, date of birth, PAN for Indian nationals and passport for foreign nationals. Existing DIN holders who did not previously furnish PAN must file DIN-4 with PAN by the prescribed deadline or face DIN disablement and penalty.