Netflix Vs Vashu Bhagnani: Mumbai EOW Says Streaming Giant Not Cooperating

The Mumbai Police’s Economic Offences Wing (EOW) has alleged that Netflix India is not cooperating with them in connection with the investigation on the complaint filed by Bollywood producer Vashu Bhagnani alleging that the streaming giant owes him INR 47.37 Cr.

“This amount of INR 47.37 Cr is what Netflix owes to the complainant Vashu Bhagnani. But Netflix is not cooperating. We sent them two summons, but they are not appearing. They haven’t replied to the letter sent to them by us…” Hindustan Times quoted the investigation officer of the case, Ravindra Avhad, as saying. 

The officer added that Netflix India content head Monika Shergill should appear before the EOW, but Netflix India has been sending lower level staff.

At the heart of the matter is a complaint filed by Bhagnani alleging cheating and conspiracy by Netflix-linked Los Gatos Production Services India and 12 others. Los Gatos is the entity through which Netflix reports its content investments in India.

Netflix India has denied the claims and stated that Bhagnani-led Pooja Entertainment owes it money. 

The development comes at a time when Netflix has been facing multiple troubles in India for different reasons. Earlier this month, news agency Asia News International (ANI) sued Netflix and the producers of “Watch IC 814: The Kandahar Hijack” for alleged copyright and trademark violations. 

The web series also faced backlash for allegedly misrepresenting the real-life hijacking incident, prompting the information and broadcasting (I&B) ministry to summon Netflix for an explanation.

In response, Netflix assured the government that its future content would respect the “nation’s sentiments”. It also agreed to update the opening disclaimer of the series to include the real and code names of the hijackers.

Adding to the pressure, Indian authorities are currently investigating Netflix’s business operations in the country for various allegations, including those of visa violations and racial discrimination.

Netflix competes with the likes of JioCinema, Disney+ Hostar, SonyLiv, Amazon’s Prime Video, and multiple other homegrown platforms in India’s competitive OTT market. While Netflix has faced troubles in increasing its user base in India, the company said that the country emerged as the second biggest market in terms of paid subscriber addition in the June quarter of 2024.