The Supreme Court yesterday awarded the case of possession of Four Frames Theater, filed by GV films Limited, in favour of Priyadarshan and his wife Lissy. By today"s order, the Supreme Court has confirmed the sale of the Prestigious Theatre in favour of Priyadarshan and Lissy. The appeal filed by GV Films Limited filed against the Income Tax Department and Lissy Priyadarshan was dismissed by the Supreme Court today.
Senior Advocates Mukul Rohtagi and S. Vasudevan, PB Suresh and Mr. Vipin Nair appeared for Lissy and Priyadarshan in the court. The Supreme Court today affirmed the Judgment of the High Court, Madras confirming the sale of the theatre. The property originally belonged to GV's Sujata Films Private Limited. This was purchased by S. Priyadarshan and his wife Lissy, through a public auction conducted by the Income Tax Department for recovery the Income Tax dues of Sujata Films Private Limited.
But GV Films had throughout been opposing the sale and delivery of possession of the theatre to Priyadarshan and his wife Lissy, on the ground that they are lawful tenants of M/s Sujata Films Private Limited. It is to be seen that Sujata Films Private Limited was owned by Late G Venkateshwaran and his wife Sujata.
It was found by the Court that there was a clear case of collusion between GV Films Limited and Sujata Films Limited to deprive the Income Tax Department of tax arrears amounting to more than 19 crores and also to prevent Lissy and Priyadarshan from taking possession of the property. The Courts had also found that GV Films has been set up by Sujata Films Private Limited to wage a proxy war against the Income Tax Department and Lissy and Priyadarshan.
The Supreme Court today orally observed that GV Films should bring the tax arrears of around 19 crores to Court in order to prove their bonafides. As their lawyer was not in a position to bring the money into Court, the Supreme Court confirmed the finding of the High Court, which held that this was a case setup by GV Films and Sujata Films and their Directors.