WHAT IS THE PROCEDURE OF FILLING DIRECTOR E – KYC?
INTRODUCTION
Director e-KYC is a process of verifying the identity and address of directors of a company electronically. It is a requirement of the Ministry of Corporate Affairs (MCA) in India. The process involves submitting certain documents online, such as a scanned copy of the director’s passport or PAN card, and a recent photograph. The MCA will then verify the documents and approve the director’s e-KYC. Director e-KYC is important for a number of reasons. First, it helps to prevent fraud and corruption. By verifying the identity and address of directors, the MCA can help to ensure that only legitimate people are directors of companies. Second, it makes it easier for companies to do business. By having an e-KYC, a company can avoid having to send physical documents to the MCA. This can save time and money
The procedure of filling director e-KYC is as follows:
- Go to the MCA website and click on the “Director e-KYC” tab.
- Create an account and log in.
- Enter the details of the director you want to e-KYC. This includes the director’s name, PAN number, date of birth, and address.
- Upload the required documents. These documents will vary depending on the director’s nationality. For Indian nationals, the required documents are a scanned copy of the director’s passport or PAN card, and a recent photograph. For foreign nationals, the required documents are a scanned copy of the director’s passport, visa, and work permit, and a recent photograph.
- Pay the fee. The fee for director e-KYC is ₹100.
- The MCA will verify the documents and approve the e-KYC. This process usually takes a few days.
- Once your director e-KYC is approved, you will receive an email confirmation. You can then start doing business with the MCA.
ADVANTAGES
- Increased security: Director e-KYC helps to prevent fraud and corruption by verifying the identity and address of directors. This is important because it helps to protect the interests of shareholders and other stakeholders in the company.
- Improved efficiency: Director e-KYC makes it easier for companies to do business by eliminating the need to send physical documents to the MCA. This can save time and money.
- Compliance: Director e-KYC is a requirement of the MCA, so all companies registered in India must have their directors e-KYCed. This helps to ensure that companies are complying with the law and that they are operating in a transparent manner.
- Cost-effectiveness: The cost of director e-KYC is relatively inexpensive, making it a viable option for all companies, regardless of size or budget.
- Ease of use: The director e-KYC process is relatively easy to follow, even for those who are not familiar with technology. This makes it a convenient option for companies that need to e-KYC their directors quickly and easily.
DISADVANTAGE
- Time commitment: The e-KYC process can take a few days to complete, depending on the MCA’s workload. This can be a challenge for companies that need to do business with the MCA quickly.
- Technical issues: The e-KYC process is conducted online, so it is susceptible to technical issues. If the MCA’s website is down or the e-KYC portal is not working properly, it can delay the approval of your e-KYC.
- Cost: The fee for director e-KYC is ₹100. This may be a barrier for some small businesses.
- Security concerns: Some people have raised concerns about the security of the e-KYC process. The MCA has taken steps to address these concerns, but it is still important to be aware of the risks.
CONCLUSION
The procedure of filling director e-KYC is relatively straightforward. However, it is important to make sure that you follow the instructions carefully and that you provide accurate information and clear documents. The MCA will not approve e-KYCs with errors or incomplete information. The cost of director e-KYC varies depending on the state in which the company is registered. However, it is generally a relatively inexpensive process.
