Film director Sudha Kongara tangled in legal trouble over finances with two production companies. Dawn Pictures Private Limited claims she received ₹4.12 crore from 2D Entertainment Private Limited for Parasakthi but failed to inform Madras High Court.
In court, Dawn Pictures argued Kongara signed a director's agreement with them on July 2, 2024, for ₹15 crore. But she had already terminated a 2021 contract with 2D Entertainment on December 18,2024, after collecting ₹4.12 crore for same project. Dawn Pictures says they bought Parasakthi rights from 2D for ₹5.8 crore and paid Kongara ₹8.5 crore, unaware of termination details.
Claims emerged in a counter affidavit to Justice K. Kumaresh Babu,who hasn't decided on Kongara's attempt to block Dawn Pictures from releasing Idhayam Murali,featuring Atharvaa. Kongara wants release stopped until her ₹8.39 crore dues are settled .
Senior counsel P.H. Arvindh Pandian, representing Dawn Pictures, argued Kongara's contract shouldn't be viewed in isolation. He asked court to see how agreements are interconnected. Kongara first signed with 2D Entertainment on June 6, 2021,for ₹12.5 crore . Project stalled, so she moved to Dawn Pictures .
By December 18, 2024,Kongara transferred all film rights to 2D Entertainment. Two days later,Dawn Pictures got rights from 2D to continue production. Film released January 10,2026.
Dawn Pictures said termination deal required Kongara to hand over all rights once paid ₹4.12 crore. They claim they paid her ₹8.5 crore,unaware of key clauses.
And Dawn Pictures faced losses when film leaked during production in November 2025. Hired anti-piracy experts to clean up digital mess,hurting OTT sales.
Adding to woes,a scriptwriter filed copyright suit days before film's release,claiming script authorship. Legal battle cost Dawn Pictures heavily.
Dawn Pictures argued complex financial issues should go to arbitration. They said Kongara shouldn't get interim relief, like blocking Idhayam Murali's release, while issues hang unresolved…
