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Company Director KYC Now Due Once in Three Years

3 January 20261 min read
BANKING & FINANCECompany DirectorKYC Now Due Oncein Three Years3 January 2026safalsetu.com

Why in the news

The Ministry of Corporate Affairs announced a compliance relief: director KYC moves from a yearly filing to a three-year cycle, easing the load on a very large number of directors.

Key facts

  • Earlier: every year. Now: once in three years.
  • Start date: March 31.
  • Legal hook: Section 12A of the 2014 Directors Rules.

About KYC

  • A check on identity, address and financial profile of customers, meant to stop money laundering, terror financing, fraud and identity theft.
  • Prescribed and supervised by: Reserve Bank of India; SEBI and IRDAI also follow it for their entities.

About CKYC

  • A centralised system: do KYC one time, reuse it across many financial institutions.
  • Registry run by: CERSAI.
  • Law: Prevention of Money Laundering Act (PMLA), 2002.

Exam angle

  • Ministry behind the relief: MCA.
  • CERSAI expands to Central Registry of Securitisation Asset Reconstruction and Security Interest of India.

Test yourself

1. Under the revised MCA norm, how often must eligible company directors file KYC?

KYC changed from annual to once in three years.

2. Which body manages the CKYC Registry in India?

The CKYC Registry is managed by CERSAI.

3. CKYC in India is implemented under which Act?

CKYC works under the PMLA, 2002.