Madras HC sets deadline for Pyramid dues

The High Court here directed Pyramid Saimira Theatre Ltd (PSTL) today to pay back its dues to Patni Financial Services before Thursday, failing which an official liquidator will be re-appointed. The company had earlier said it was planning to raise Rs 50 crore in Qualified Institutional Placement and told the court it would pay the money to Patni by early next year.

Mumbai-based Patni, which had given a 5 crore loan by way of inter-corporate deposit to PSTL, said the company did not repay as promised. The last deadline which PSTL had agreed on to repay, before the court, was October 31. The total due is around Rs 5.2 crore, according to Patni’s counsel.

He added: “During today’s hearing, the court has given time to them (PSTL) till Thursday to pay back the dues, failing which OL will take over.” In July, the court asked the OL, appointed in mid-June to take charge of PSTL’s assets, to wait for some more time before doing so.

Patni had earlier asked the court to wind up PSTL and appoint a PL; the latter was appointed after this.

Meanwhile, PSTL today told the court it would pay the interest on a monthly basis and the principal money by February 10, 2010. The company also said it was ready to pledge the promoters’ share in the production company as security; Chairman P Saminthan says this is worth Rs 300 crore.