S.Shankar Vs Deputy Director (Madras High Court)
The Madras High Court issued an interim stay on the Enforcement Directorate’s (ED) provisional attachment order against director S. Shankar, concerning property valued at ₹10 crore. This attachment order stemmed from a private complaint alleging copyright infringement under Section 63 of the Copyrights Act, 1957, and Section 490 of the Indian Penal Code (IPC), related to the film “Enthiran.” The court noted that a related civil suit, C.S.No.914 of 2010, filed by the complainant, which also alleged copyright infringement, had been dismissed in favor of Shankar. Additionally, a criminal petition, Crl.O.P.No.20452 of 2023, seeking to quash the criminal proceedings, had been admitted by the court with an interim stay, recognizing the dismissal of the civil suit.
The court observed that the ED’s provisional attachment order, dated 17.02.2025, was issued despite the court’s prior acknowledgment of the civil suit’s dismissal and the ongoing quash petition regarding the scheduled offense. The court emphasized that the ED should not have proceeded with the attachment, especially considering the existing stay order, which had been in effect for three years. While the court reserved the final decision on quashing the attachment order, it acknowledged a prima facie case presented by Shankar, leading to the interim stay. The ED’s counsel sought time to file a counter-affidavit, and the matter was adjourned for further hearing.
