The CBI said the FIR was related to GS Entertainment Pvt.’s criminal misappropriation of funds and breach of trust.Ltd. (GSEPI) and its directors and promoters
Posted Date – Mon, 5/29/23 at 12:59am
Photo: IANS
New Delhi: The Central Bureau of Investigation (CBI) has launched an FIR investigation against Bollywood producer Bunty Walia and others over a loan fraud case, an official said on Sunday.
According to IDBI Bank, the loan was for the movie “Lamhaa” starring Sanjay Dutt.
FIR has been lodged after CBI received complaint from IDBI Bank. Bunty Walia and a Stany Saldanha have been named as defendants by the FIR.
The CBI said the FIR was related to GS Entertainment Pvt.’s criminal misappropriation of funds and breach of trust. Ltd (GSEPI), its directors and promoters.
In June 2008, GSEPI secured a Foreign Currency Loan (FCL) of USD 2.35 million (equivalent to Rs. 1 crore at the time) and a Rs. The movie “Lamhaa”. Rahul Dholakia stars Sanjay Dutt, Bipasha Basu and Kunal Kapoor.
It was originally planned to be released in May 2009, but since March 2009, due to disputes between the organizer and exhibitors, the release time has been postponed.
As a result, the account was converted to non-performing assets on September 30, 2009.
As GSEPL failed to distribute “Lamhaa”, IDBI Bank appointed PVR Pictures Pvt. to distribute the film. Ltd. (PVR), as the sole distributor for worldwide distribution of the film, shall execute a proper tripartite agreement between GSEPL, PVR and IDBI Bank, and PVR commits to invest Rs. Make the balance of the job.
“Subsequently, the Bank, GSEPL and PVR signed a tripartite agreement on June 2, 2010. However, PVR failed to fulfill its commitment as it allegedly suffered a loss of Rs. 7,419.1 crore while they incurred Rs 825.8 crore in promotion/distribution), the FIR read.
The cost of the project was wrongly overestimated in order to get more money from the bank.
“Concluded that, based on the audit results in 2011, GSEPL received Rs 75.2 lakh in another account opened with another bank under clause 3.1 of the ‘Film Distribution Agreement’ and collected Rs 5.2 lakh from box office. The above The preliminary results of the investigation show that GSEPL has committed fraud, deceit, tampering with records; report to the Reserve Bank of India on April 20, 2020,” the FIR wrote.
