Netflix on Vashu Bhagnani's Claims of Non-Payment of Dues: 'They Owe Us Money'

A source close to The Quint said, "No money is due and payable by LG India to Pooja group of companies."

Netflix responds to Vashu Bhagnani's claims that the streaming service 'cheated' him.

(Photo Courtesy: IMDb/ Altered by The Quint)

The Economic Offences Wing (EOW) of the Mumbai Police is reportedly investigating a complaint by Bollywood producer Vashu Bhagnani against Netflix and its partners. Bhagnani claims he was cheated and conspired against regarding the rights to three films.

As per reports, Bhagnani claims that although he gave Netflix the rights to these films, he hasn't received the Rs 47.37 crore payment owed to him. However, a source claims, the total amount is Rs 70 crore.

Netflix has denied these allegations. A spokesperson from the streaming platform told The Quint, "These claims are completely unfounded; indeed, it's Pooja Entertainment that owes Netflix money. We have a strong track record of partnership with the Indian creative community and are working with the authorities to resolve this dispute.”

The complaint, filed against Los Gatos Production Services India, Zoo Digital India, and several executives, focuses on the SVOD (Subscription Video on Demand) rights of the films Hero No 1, Mission Raniganj, and Bade Miyan Chote Miyan.

Additionally, reports allege that Bhagnani's company, Pooja Entertainment, was compelled to renegotiate the terms of the deal and coerced into delivering one of the films to Zoo Digital India. This film was reportedly leaked online prior to its theatrical release, resulting in substantial financial losses and reputational harm for Bhagnani.

A source close to The Quint further spoke about the allegations,

"No money is due and payable by LG India to Pooja group of companies. LG has to receive money for which the matter is pending adjudication before the Bombay High Court in an arbitration petition filed by LG India."

"Another matter is pending arbitration before Justice Kathawalla," the source went on to add.

Crew Members Had Earlier Alleged Non-Payment of Dues by Pooja Entertainment 

Earlier, Pooja Entertainment had been involved in a controversy over unpaid dues to crew members, following reports that the production house was in debt. Many crew members had turned to social media to raise their concerns.

The Quint had spoken with several talents associated with Pooja Entertainment's projects over the years, who expressed frustrations about being "pushed around" and the lack of transparency over when they would receive their payments.

Puja Sharma (name changed), had alleged that the crew and vendors of one of its recent films are owed Rs 2 crore, said, "This was the first time I worked for Vashu and Jackky Bhagnani's production house. When we started shooting, our payments would come on time. During my time, I did hear from other people that those who had worked on the Akshay Kumar-starrer Mission Raniganj were still awaiting their payments. As the months progressed, the payments started coming in a little late, but they would come."

Sharma had further alleged that people had been visiting the Pooja Entertainment offices over and over again but only got more dates in return,

"They are being made to wait for hours, and they are told their dues will be eventually cleared, but months have gone by. One colleague even spoke to the accountant and said that they will take legal action. The accountant showed them a bunch of files, which were cases pending against the company. He said we will also become one of the files."

Puja Sharma (name changed) to The Quint

This is an ongoing story, and we have reached out to the Pooja Entertainment for further comments and updates.