The Madras High Court declined to grant any interim relief to filmmaker Sudha Kongara, who sought recovery of alleged unpaid dues from the makers of ‘Parasakthi’, Dawn Pictures. Therefore, the court did not stay the theatrical release of 'Idhayam Murali' with Atharvaa.

Justice K Kumaresh Babu dismissed the plea seeking an interim injunction and permitted the film's release despite the financial dispute between the director and the production house.

Sudha Kongara sought to halt the film over alleged dues

According to Live Law, Sudha Kongara filed a plea in the High Court claiming that Dawn Pictures owed her Rs 8.39 crore as per a director’s agreement. She approached the court seeking a direction restraining the production company from releasing 'Idhayam Murali' until the dues were cleared.

However, the court refused to grant interim relief, meaning the Atharvaa-starrer will not face any legal hurdle ahead of its release while the dispute continues to be heard.

Dawn Pictures disputes the claim and cites earlier agreements

Dawn Pictures argued against the plea at the hearing, stating that the matter involved several related agreements. The production house told the court that Sudha Kongara had signed a director’s agreement with 2D Entertainment for ‘Parasakthi’ and later cancelled it after receiving Rs 4.12 crore.

Dawn Pictures further claimed that it subsequently acquired the film's intellectual property rights from 2D Entertainment for Rs 5.8 crore and had already paid Sudha Kongara Rs 8.5 crore (excluding GST).

The company argued that these transactions and counterclaims must be examined together before an arbitral tribunal rather than through an interim order.

Production house cites financial losses as legal battle continues

Dawn Pictures also informed the court that it had suffered financial setbacks during the making of 'Parasakthi.' The company said portions of the film were leaked online during production, forcing it to hire anti-piracy agencies and affecting the film's OTT value. It also pointed to a copyright suit filed by a scriptwriter before the film's release, which resulted in additional legal expenses. These factors indicate that both parties have financial claims that need to be looked into in detail, said the production house.

The High Court has declined to stay 'Idhayam Murali.' The film is facing legal proceedings, but is all set for its theatrical release.