The 2014 Rajinikanth-starrer Kochadaiiyaan has been at the receiving end of recent legal woes, with the Madras High Court giving a powerful ultimatum to its producer. Justice Sunder Mohan ordered J. Murali Manohar of MediaOne Global Entertainment to pay a fine of ₹2.52 crore within four weeks in a long-standing cheque bounce case. Not following this order would lead the producer to face six months of simple imprisonment, the court noted.
Cases Past: Post-Production Debts
The lawsuit dates back to the post-production of Kochadaiiyaan, a high-budget animated film. In order to cover the rising costs, MediaOne Global Entertainment had secured a ₹10 crore loan from an advertising company. Murali Manohar sent a ₹5 crore cheque in the repayment process. But the issue became legal when:
- The producer had put its hand to the bank and said “stop paying.”
- The advertising company lodged a complaint pursuant to Section 138 of the Negotiable Instruments Act, claiming that the instruction created a false impression that a valid debt was not being discharged.
The High Court Verdict
After a review of the appeals made and a history of the liability, Madras High Court upheld the need for the fine imposed thereby. The court highlighted that the ₹2.52 crore is the legal fine and compensation for the bounced instrument that came with it. Manohar is allowed to deposit the amount only within four weeks. It is a major milestone in the 10-year history of movie funding scandals dating back to when it was first released.
