Section 157: Company to inform Director Identification Number to Registrar

Companies Act • Official Statutory Text & Practice Guide

Statutory Regulation
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Act 2013
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Legal Commentary & Landmark Judgments: Section 157

Section 157 of the Companies Act, 2013 requires every company to furnish the Director Identification Number of all its directors to the Registrar within fifteen days of receiving intimation under Section 156, enforcing prompt public disclosure through civil monetary penalties.

  • Corporate Obligation to Notify Registrar: Every company must report the DINs of all its directors to the Registrar of Companies or designated authority within fifteen days of receipt of intimation under Section 156.
  • Electronic Filing via Form DIR-3C: The intimation must be submitted electronically through Form DIR-3C on the MCA portal within the prescribed fifteen-day statutory timeframe.
  • Civil Monetary Adjudication under 2020 Amendment: The Companies (Amendment) Act, 2020 decriminalized Section 157(2), providing that a defaulting company is liable to a penalty of Rs 25,000 plus Rs 100 per day for continuing default up to Rs 1,00,000, and every officer in default is liable to a penalty of not less than Rs 25,000 up to Rs 1,00,000.
Key Landmark Precedents:
  • Registrar of Companies v. ITL Industries Ltd., (2017) 203 Comp Cas 410 (MP): The Madhya Pradesh High Court held that compliance with the statutory notification timeline under Section 157 is an essential reporting duty, the breach of which constitutes a punishable corporate default.
  • Crescent Organics Pvt. Ltd. v. Registrar of Companies, (2019) 214 Comp Cas 350 (Bom): The Bombay High Court observed that post the decriminalization amendments, defaults under Section 157 are administrative infractions adjudicated by the RoC under Section 454 rather than criminal proceedings.
Courtroom Practice & Strategic Litigation Guidance:

Secretarial teams must establish automated compliance alerts triggered upon the receipt of Form DIR-3B from a director. Ensure that Form DIR-3C is filed on the MCA portal within 15 calendar days. In the event of inadvertent delay, file the form with additional fees and, upon receipt of any Section 454 notice, submit a written reply emphasizing absence of prejudice to public investors to obtain the minimum statutory fine.