The entire issue cropped up when popular Malayalam actor Dileep, who was to act in a film being directed by Tulasidas, refused to act in the movie after taking an advance, allegedly because the director's last film was a big flop. Based on a complaint from Tulasidas on the issue, the MACTA Federation came forward to defend Tulasidas and banned Dileep from acting in other films till he acted in Tulasidas' film. This led to a crisis in the Malayalam industry, resulting in a split in the MACTA Federation.
Speaking to reporters after the meeting, AMMA president Innocent said that Dileep would return the advance amount of over Rs. 40 lakh he had taken from director Tulasidas, for acting in his (Tulasidas) film.
Innocent said the meeting had also decided not to take any disciplinary action against veteran actor Thilakan after discussing the comments he reportedly made against AMMA and actor Nedumudi Venu. AMMA has also decided to hike the pension given to financially weak artistes. The amount had been hiked from Rs. 2000 to Rs. 2500. Seven more artistes would be given the pension, taking the total number covered under the scheme to 54.
Meanwhile, MACTA has decided on Sunday to look into the allegation that certain financial irregularities had taken place during the term of the previous executive committee. The meeting, which was attended by 123 members, also decided to take steps to end the abuse of its title and logo by others. Explanation will be sought from the former office-bearers Vinayan and Ramachandra Babu for making misleading statements about Sunday's meeting.