Is Ram Gopal Varma losing Rs 100 crore deal?

Jun 02, 2012, 07:29 IST | Hiren Kotwani

After the dismal show of Department, buzz is that a corporate company is calling off its deal for four films by RGV

If a hit can bring a string of offers, a flop can send them all packing. As Ram Gopal Varma is said to have learnt, after his last release Department bombed at the box office. Consequently, the deal a corporate company had inked for four of his films has been called off. 

According to our source, this particular company was entering into a Rs 100 crore deal with the producers of Ramu’s four films a couple of weeks before the release of Department. “Head honcho Sunil Lulla was keen to finalise the deal in April.

However, Ramu felt that he should wait till the release in May,” recalls our source, adding that eventually RGV’s producers, including Parag Sanghvi, finalised the deal and even made an advance payment of Rs 10 crore.

Further, we’re told that the four films included in the deal were Varma’s take on the November 26, 2008 terror attack in Mumbai, the sequel to Bhoot, sequel to Ab Tak Chhappan and the third Sarkar film, that was taking up Rs 50 crore of the entire deal.

Unfortunately for the director, Department crashed and banged, giving jitters to the corporate house regarding the Rs 100 crore deal. As our source reveals, “Considering the losses Department incurred, the Lullas had second thoughts about investing such a huge amount in RGV’s films.

They opted out and even asked for the refund of the Rs 10 crore paid as advance. However, the producers are maintaining that the money has already been spent on production and can’t be refunded soon, until they finalise the deal with another interested party.”

When contacted, Parag Sanghvi insisted the deal is on. “In fact, we’re starting our most prestigious project, on the November 26 terror attack by early July.”
However, our source stands by the story. 

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