Filmmaker Ram Gopal Varma has been handed a three-month jail sentence by the Andheri Magistrate Court in connection with a cheque bounce case that has dragged on for seven years. Adding to his troubles, the court issued a non-bailable warrant for his arrest after he failed to appear for the hearing.
The acclaimed director, known for films like Satya and Rangeela, addressed the matter in a statement, saying, “This case pertains to a seven-year-old issue involving ₹2.38 lakh related to an ex-employee. It’s not about the amount but about resisting fabricated exploitation. That’s all I can comment on since the case is still in court.”
The issue involves a dishonored cheque from Mr. Varma’s firm, constituting an offense under Section 138 of the Negotiable Instruments Act, which penalizes cheque dishonor caused by insufficient funds or exceeding the bank’s limits.
The court has further ordered Mr. Varma to pay ₹3.72 lakh as compensation to the complainant within three months, failing which he will face an additional three months of simple imprisonment.
Case Background
The case was filed in 2018 by a company named Shree, represented by Maheshchandra Mishra, alleging that a cheque issued by Mr. Varma’s firm was dishonored. Financial struggles, particularly during the Covid-19 pandemic, reportedly compounded Mr. Varma’s difficulties, forcing him to sell his office.
Although Mr. Varma was granted bail in June 2022 upon furnishing a personal bond and cash security of ₹5,000, Magistrate Y.P. Pujari clarified during sentencing that the filmmaker is ineligible for any set-off under Section 428 of the Code of Criminal Procedure, as he did not spend any time in custody during the trial.