It is heard that the production house had pledged the properties to buy loan for their production ventures and final talks are on with the bank for one-time settlement.
A spokesperson of Kavithalaya said, “KB’s house and office have not been pledged. Like any other business, our production house too took a loan. A substantial amount has been repaid and a process of negotiation for a one-time settlement is under way for the rest.”
Kavithalaya Productions have bankrolled many films including Mani Ratnam’s Roja, Rajinikanth’s Muthu, Annamalai and Kuselan, Kamal Haasan’s Punnagai Mannan, Enakkul Oruvan and Unnal Mudiyum Thambi, Vijay’s Thirumalai and Vikram’s Saamy.
Meanwhile, Balachander has also introduced many stars like Rajinikanth, Prakash Raj and Vivek to Tamil film industry.