Allegations Against Netflix by Vashu Bhagnani
Film producer Vashu Bhagnani has accused Netflix affiliates of failing to fulfill payment obligations after the release of films produced by his company, Pooja Entertainment. Bhagnani claims Netflix owes him ₹47.37 crore for granting SVOD rights to three films: Hero No 1, Mission Raniganj, and Bade Miya Chote Miya.
Mumbai Police Investigation
Following Bhagnani’s complaint, the Mumbai Police Economic Offences Wing (EoW) summoned executives from Los Gatos Production Services India, Netflix’s local subsidiary. Authorities are conducting a preliminary investigation into the matter.
Netflix’s Response
In response to the allegations, Netflix has denied any wrongdoing, calling Bhagnani’s claims baseless. A Netflix spokesperson stated that Pooja Entertainment actually owes money to Netflix and assured cooperation with authorities.
Claims Against Zoo Digital India
Bhagnani also accused Zoo Digital India, a media localization service provider, of leaking one of his films before its theatrical release, leading to financial and reputational losses. Zoo Digital India is named as a defendant in the case alongside Netflix.
Licensing Agreement Details
In 2021, a content licensing agreement was signed between Bhagnani’s Pooja Entertainment and Netflix’s Los Gatos Production Services for three films. Under this agreement, Pooja Entertainment was responsible for producing the films with a total budget of ₹64.5 crore, while Netflix was to pay ₹28.1 crore.
Broader Investigation into Netflix India
This dispute comes at a time when Indian authorities are investigating OTT platforms like Netflix over alleged visa violations and racial discrimination. Earlier, Netflix was summoned by the Ministry of Information and Broadcasting over backlash regarding its series Watch IC 814: The Kandahar Hijack.
Ongoing Developments
As the investigation proceeds, Mumbai Police will decide whether to convert the preliminary investigation into a formal First Information Report (FIR). Meanwhile, Netflix continues to address these challenges, maintaining that its content complies with national sentiments and regulations in India.
