Director Gautham Vasudev Menon in Supreme Court An earlier order of the Madras High Court has been upheld in the long-pending financial dispute involving RS Infotainment producer Elred Kumar. The Supreme Court dismissed the director’s appeal, making it clear that there was no reason to interfere with the High Court’s findings. so, Gautham Menon As per the court’s direction, Rs 425 crore must now be repaid with an annual interest rate of 12%. The ruling marks the latest development in a case that has been litigated for more than a decade.
The case dates back to a 2008 film deal with Silambarasan
According to The Hindu , the dispute began in 2008 when RS Infotainment and Gautham Menon agreed to produce a film starring Simbu. According to the producers, an advance of Rs 425 crore has been paid to the filmmakers for the project. During the proceedings, Gautham Menon’s lawyers said that the 2012 film Neethaane En Ponvasantham was made under the same agreement and the director had fulfilled his obligations under the agreement. But the division bench of the Madras High Court rejected this argument.
Court rejects Gautham Menon’s defense on ‘Neethaane En Ponvasantham’
During the proceedings, Gautham Menon’s legal team argued that the 2012 film Neethaane En Ponvasantham was shot under the same agreement and the director had fulfilled his contractual obligations. But the division bench of the Madras High Court rejected the claim. The court noted that Neethaane En Ponvasantham was produced under a separate agreement signed in 2011 and had nothing to do with the original contract signed with RS Infotainment in 2008. It also concluded that the Rs 425 crore advance received under the previous agreement was not used for the film.
Gautham Menon’s appeal dismissed, high court order stayed
Following the division bench’s decision, Gautham Menon and his flag-making company Photon Factory approached the Supreme Court challenging the high court order. The appeal was heard by a bench of Justices JB Pardiwala and K. Vinod Chandran. The judges, on the issue under consideration, said they did not find any good reason to interfere with the judgment of the Madras High Court and dismissed the appeal. The order directing Gautham Menon to pay Rs 425 crore with 12% annual interest from May 2010 has been finalized as the Supreme Court upheld the earlier order, ending the long legal battle.