Sony takes MX Player to court over non-payment of dues

In a significant development, Culver Max Entertainment Private Limited (formerly known as Sony Pictures Network India) has taken MX Player to the Delhi High Court over the non-payment of its dues for the services it provided to the latter.  

The Delhi High Court, in its May 27 order, directed MX Media to preserve Rs. 31.25 crore from the proceeds of any sales. 

Sony had filed an urgent petition under Section 9 of the Arbitration and Conciliation Act, 1996, seeking interim measures to protect the outstanding amount owed to it by MXP Media India and its affiliates MX Media & Entertainment Pte Ltd. (Singapore) and MX Media Co. Ltd. (British Virgin Islands). 

“MX Media & Entertainment Pte Ltd. (Singapore) terminated the Distribution Agreement but is deliberately avoiding payment of the admitted outstanding amount being Rs. 31.25 Cr,” Sony’s petition stated, making the other two entities liable for payment of dues of their Singapore arm.

The Delhi Court issued instructions that if any assets of MX Media & Entertainment Pte Ltd. (Singapore) are sold, Rs. 31.25 crore should be payable to Sony and must be safeguarded from the proceeds. Additionally, it mandated that Sony be informed through its legal representatives upon the conclusion of any asset sale.

Notably, MX Media & Entertainment Pte Ltd., registered under Singapore law, is currently undergoing compulsory liquidation or winding-up proceedings before the High Court of Singapore. A winding-up order has been issued in this regard. However, the process was halted until 20.06.2024 by the Singapore High Court, following an application by MXP Media India Ltd. and MX Media Co. Ltd. (BVI) seeking to annul the winding-up order.

Sony was represented by Adv Gaurav Pachnanda and his team. 

e4m reached out to Times Internet Ltd, which owns MX Player, for their version. Their response is awaited.