The ED initiated an investigation following a complaint alleging fraudulent financial activities within the film industry.
Published Jun 12, 2024 | 1:26 PM ⚊ Updated Jun 20, 2024 | 11:57 PM
The ED is investigating any instances of black money transactions associated with the production of 'Manjummel Boys'. (X)
Manjummel Boys (2024), which made history as the first Malayalam movie to enter the elite ₹200-crore club, has been in the spotlight for all the wrong reasons.
The makers are facing a cheating case, and in a new development, the Directorate of Enforcement (ED) has launched an investigation into a money laundering case against them.
The ED officials filed an Enforcement Case Information Report (ECIR) against the producers and issued notices to the founders of Parava Films—Soubin Shahir, Babu Shahir, and Shawn Antony—to appear for interrogation.
According to reports, the makers did not respond, prompting the investigation agency to plan another summons. Shawn Antony has reportedly been summoned by the ED for questioning, while Soubin Shahir and his father Babu Shahir are expected to be summoned soon.
In 2023, the ED began investigating cases of money laundering and black money in the Malayalam film industry. Following reports of black money transactions, the ED conducted raids at several production house offices to probe these allegations.
‘Manjummel Boys’ created history by grossing ₹200 crore club in Malayalam. (X)
According to reports, Manjummel Boys grossed more than ₹220 crore at the box office. However, trouble arose for the producers when they faced allegations in a cheating case. The Ernakulam Maradu police registered a case against producers Shawn Antony, Soubin Shahir, and Babu Shahir in April this year, following a directive from the Ernakulam First Class Magistrate Court.
Siraj, a resident of Aroor, filed a petition in court alleging that the makers of Manjummel Boys cheated him by failing to repay the amount they borrowed from him.
According to his petition, the makers approached him for investment in film production, promising him a 40 percent share in the profits post-release. Siraj entered into an agreement with Parava Film Company on 30 November 2022, to invest ₹7 crore in various instalments.
Siraj alleged that he was misled by the producers into believing they had invested ₹22 crore in the film, when in fact, the actual investment was only ₹10 crore.
Also read: Police report confirms financial fraud by ‘Manjummel Boys’ producers
He further claimed that the producers failed to fulfill their promise of sharing profits or repaying the invested amount. Siraj accused the producers of deceiving him by falsely stating that the first shooting schedule had been completed when it had not yet begun.
Despite being promised a 40 percent share in profits, Siraj claimed he did not receive any payment, alleging a loss of approximately ₹47 crore. Legal proceedings were disrupted when Babu Shahir, one of the producers, sought relief from the High Court, leading to a one-month stay on the fraud case proceedings.
In their anticipatory bail plea, Soubin and his co-accused argued that Siraj began demanding inflated sums following reports in online media stating that the film had grossed ₹250 crore. They clarified that any dues would be settled according to the terms outlined in the investment agreement, which includes a comprehensive assessment of revenue and expenses.
(Edited by S Subhakeerthana)
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