NEWS ALERT

If you are an Australian company Director, then you must act quickly to apply for the new Director Identification Number (otherwise known as the Director DI).

What is a Director Identification Number?

A DI is a unique identifier that a Director of a company will apply for once and keep forever which will inevitably help prevent the use of false and fraudulent director identities.

Why Do I Need To Apply For The New Director ID?

The main purpose of the DI is to stop phoenixing in Australia by allowing Directors to be traced across companies. It will also prevent the use of false identities being listed as a director. The DI will allow regulators such as ASIC to identify Directors of failed companies who use fictitious identities.

When will applications open?

The deadline for existing Directors to apply is 30 November 2022. However, Directors appointed between 1 November 2021 and 4 April 2022 must apply within 28 days of their appointment.

Don’t Wait!

Any failure to apply for the Director ID before that time may result in fines of over $1,000,000 for directors of corporations, governed by the Corporations Act 2001 (Cth) and fines of up to $200,000 for directors of indigenous corporations governed by the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (Cth).

When applying for the ID, Directors must produce their MyGov ID and information from two documents that verify your identity (for example, bank documents and ATO Notice of Assessment). The new ID will be attached to a Director permanently, even if they stop acting as a Director or move overseas permanently.

Once you have your Director ID, you can view, update and manage your details online at any time.

What happens if I don’t apply for a Director ID?

Under Australian Law, Directors who fail to apply for a Director ID risk the imposition of criminal or civil penalties, which have been described above. Penalties will also apply for undermining the requirements, such as intentionally applying for multiple Director IDs and/or providing false information regarding your identity.

Why you need to contact Ryan Murdoch O’Regan Lawyers

For more information about the Director ID and how we can advise you for all your Commercial and Litigation Law Dispute matters, contact us for advice at Ryan Murdoch O’Regan Lawyers on 1800 999 529, or fill in the enquiry form here and like us on Facebook.