Axis Bank subsidiary directs legal notice to Zee promoters demanding repayment of dues

Axis Finance, a subsidiary of Axis Bank has sent a legal notice to promoters of Zee Entertainment over non-repayment of loans worth ₹146 crore.

Axis Finance, a subsidiary of Axis Bank has sent a legal notice to prototers of Zee Entertainment over non-repayment of loans worth ₹ 146 crore, the Economic Times reported.

In case of non-repayment prior to closure of the Zee-Sony Pictures Network India merger, Axis Finance admonished that it will drag Subhash Chandra, the chairman of Essel Group and his son Punit Goenka, the Managing Director & CEO of Zee Entertainment Enterprises, to court and notify to the market regulator-SEBI.

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In its notice, Axis Finance has claimed the clearing of the loans of two entities of the Essel Group namely, Cyquator Media Services and Primate Infra power & Multiventures.

“Please note that if the payment is not made to our customers by you or your group of companies within a period of seven days from the date of receipt of payment, our customers will have no choice but to initiate appropriated legal proceedings against you, including a protest,” said the notice.

The notice affirmed that the lender had accorded a credit facility to both the Essel Group companies and the pledges are formed in various group companies, including Direct Media Distribution Ventures, Essel Corporate LLP and Primat Infrapower & Multiventures.