Archive · 7 Jun 2025
Madras HC: 30% Interest by Film Financiers Not Usurious
Actor Vishal was taken to court by a film company called Lyca because he owed them money.
Lyca said Vishal borrowed about 30 crore rupees and agreed to pay 30% interest.
Vishal argued this interest rate was too high.
The court sided with Lyca, saying the interest was not illegal, and that Vishal had agreed to the terms.
The court also didn't believe Vishal's claim that he didn't read the loan agreement.
The court ordered Vishal to repay the loan.
Madras High Court ruled 30% interest by film financiers is not usurious.
The case involved actor Vishal Krishna Reddy and Lyca Productions.
The court found the actor made false statements regarding a loan repayment.
Lyca Productions sued to recover a loan with 30% interest.
Vishal denied the loan and claimed he signed the agreement without reading.
- Who
- Madras High Court, actor Vishal Krishna Reddy, and Lyca Productions.
- What
- The Madras High Court ruled against actor Vishal Krishna Reddy, stating that a 30% interest rate was not usurious.
- When
- The ruling was made on June 7, 2025.
- Where
- Madras High Court
- Why
- Vishal argued the interest rate was usurious, but the court sided with the financier, Lyca Productions.
Vishal Krishna Reddy
Lyca Productions
Interest Rate
Vishal Krishna Reddy
30% interest rate is usurious and exorbitant.
Lyca Productions
30% is the standard interest rate.
Agreement Validity
Vishal Krishna Reddy
Vishal claims he signed the agreement without reading it.
Lyca Productions
Vishal signed the agreement agreeing to the terms.
- Interest Rate
- 30%
- Plaintiff
- Lyca Productions
- Defendant
- Vishal Krishna Reddy
- Loan Amount
- ₹30.05 crore
- Case Filed
- 2021