In a major blow to Tamil cinema fans and the trade sector, the Madras High Court has refused to vacate the interim stay order on the release of actor Karthi’s highly anticipated film, Vaa Vaathiyaar. The Division Bench, comprising Justices S.M. Subramaniam and C. Kumarappan, made it clear that the film will not see the light of day this Friday, December 12, 2025, unless the production house, Studio Green, clears its substantial pending financial liabilities.
This development has thrown the industry into a state of panic, as theaters across Tamil Nadu had already begun scheduling shows for what was expected to be one of the biggest closers of the year.
The Legal Barrier: Unpaid Dues Haunt Studio Green
The roadblock stems from a long-standing financial dispute involving the film’s producer, K.E. Gnanavel Raja of Studio Green, and the estate of the late businessman Arjunlal Sunderdas. According to court records, the production house owes a staggering sum to the Official Assignee, who manages the assets of the insolvent businessman.
The dispute dates back to 2011 when Gnanavel Raja reportedly entered into a co-production agreement with Sunderdas. Over the years, the original principal amount of approximately ₹10.35 crore has ballooned due to interest accumulation. As of the latest hearing, the total outstanding dues reportedly stand at a massive ₹21.78 crore.
During the hearing, the judges took a stern stance, refusing to accept mere assurances from the production house. The bench noted that Studio Green had been granted multiple extensions in the past and had a history of seeking last-minute relief without fully settling debts. “The court cannot be taken for granted every time a film release is around the corner,” the bench reportedly observed, insisting that a substantial payment must be made to lift the prohibition.
Deja Vu for Studio Green
This is not the first time Studio Green has faced such a nail-biting legal crisis days before a major release. Industry insiders point out that a similar pattern emerged during the releases of their previous big-ticket films, including Chiyaan Vikram’s Thangalaan and Suriya’s Kanguva.
In those instances, the production house managed to secure last-minute clearances by depositing a portion of the dues or reaching an interim settlement. However, the High Court’s refusal to vacate the stay this time suggests that the judiciary is tightening the screws on financial indiscipline within the industry. The court has signaled that it is no longer willing to allow the “release first, pay later” model that has become all too common in Kollywood’s high-stakes financial ecosystem.
Vaa Vaathiyaar: A Film with High Stakes
The potential delay is a significant setback for actor Karthi, whose career has been on an upward trajectory. Vaa Vaathiyaar is a project that has generated immense curiosity because of its unique combination of talent. It marks the first collaboration between Karthi and the acclaimed director Nalan Kumarasamy, known for his cult classics like Soodhu Kavvum and Kadhalum Kadandhu Pogum.
The film is touted to be a quirky action-entertainer where Karthi plays a die-hard fan of the legendary MGR (M.G. Ramachandran), bringing a nostalgic flavor that has excited family audiences. With music by Santhosh Narayanan and Krithi Shetty playing the female lead, the film was poised for a strong opening weekend.
Trade analysts estimate that a missed release date could cost the producers crores in lost revenue, especially with the holiday season approaching. Theater owners, who were banking on Vaa Vaathiyaar to drive footfalls, are now left in lurch, scrambling to find alternative programming if the “content not delivered” message flashes on Friday morning.
The Fan Reaction: Disappointment and Anger
Social media platforms have erupted with frustration following the news. Fans of Karthi have taken to X (formerly Twitter) to express their disappointment, using hashtags like #ReleaseVaaVaathiyaar to urge the producers to settle the issue.
“Every time a Studio Green movie releases, we have to go through this court drama. Why can’t they settle their debts beforehand? Karthi deserves a smooth release!” wrote one frustrated fan.
Another user commented on the recurring nature of the problem: “It feels like a tradition now. No promotion, only court motions. Hope they pay up before the first show.”
What Happens Next?
The clock is ticking for Studio Green. With less than 24 hours to go before the scheduled premiere, K.E. Gnanavel Raja is reportedly in frantic discussions with financiers and the Official Assignee to arrange the necessary funds.
Legal experts suggest that the only way to save the Friday release is for Studio Green to deposit a significant chunk of the ₹21.78 crore immediately and provide a bank guarantee for the remainder. If they fail to satisfy the court’s conditions by the end of business hours today, the stay order will remain in effect, and the film’s release will be indefinitely postponed.
For now, the screens remain dark for Vaa Vaathiyaar, and the industry watches with bated breath to see if Studio Green can pull off yet another eleventh-hour escape.