Apex court pulls up Latha for failure to fulfil undertaking

The Supreme Court on Tuesday took exception to Tamil actor Rajinikanth’s wife, Latha, not complying with an undertaking to pay Rs. 6.2 crore owed to a movie distribution company for the post-production work of the Tamil film

A Bench of Justices Ranjan Gogoi and R. Banumathi remained unmoved by a submission made by Ms. Latha’s counsel that she had not authorised to give such an undertaking in the apex court. Justice Gogoi said the court had kept the case pending solely on the belief that the amount due would be paid. The Bench posted the matter to July 10. On February 20, the apex court had said if the firm — Mediaone Global Entertainment Ltd., a company in which Ms. Latha is a director — does not pay the dues to Ad-Bureau Advertising Pvt. Ltd. within three months, then Ms. Latha would have to pay the amount as per her undertaking. The court was hearing an appeal filed by Ad Bureau against an order passed by the Karnataka High Court on March 10, 2016 quashing criminal proceedings pending before a magistrate court in Bengaluru. Though an FIR was registered by the Karnataka police, the Single Judge order quashing the criminal proceedings proved to be a roadblock for further investigation into the case.

‘Played fraud’

The distribution firm alleged that she had mala fidely re-sold the exclusive distribution rights of the film to some other party, thus “playing fraud” on it. It alleged that Ms. Latha “even failed to make the entire payment of principal amount along with guaranteed profit.”

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