The ongoing financial dispute involving actor Rajpal Yadav gained fresh attention after businessman Madhav Gopal Agarwal detailed how the controversial Rs 5 crore deal was finalised.
The amount, linked to the 2010 film Ata Pata Laapata, was not an investment but a loan backed by personal guarantees, Agarwal claimed in an interview with News Pinch. He said the funds were disbursed through his company, Murali Projects Private Limited, after he was introduced to the actor by MP Mithilesh Kumar Katheria.
According to Agarwal, Rajpal informed him that the film was nearly complete and urgently required financial assistance. Though he initially declined, he eventually agreed following repeated requests and emotional messages from Rajpal’s wife, Radha Yadav.
Trouble began when the repayment did not arrive on time. Agarwal alleged that new agreements were drafted and fresh cheques were issued, but those too bounced, pushing him to seek legal action. During the film’s promotional phase, including its music launch by Amitabh Bachchan, Agarwal even moved court seeking a stay on the release due to unpaid dues. The stay was later lifted following discussions.
After the film failed at the box office and the payment dispute remained unresolved, Agarwal approached the court again in 2013. A settlement of Rs 10.40 crore was reached, but he claims the cheques issued under that agreement also bounced.
Agarwal further revealed that he had borrowed money from others to arrange the original Rs 5 crore. He described the situation as emotionally distressing, stating that he was hurt and even broke down when the promised repayments did not materialise, despite multiple assurances.
"I cried in front of him like a child," he reportedly said.
Rajpal has been granted interim bail by the Delhi High Court and he walked out of Tihar Jail on Tuesday (February 17) after spending 10 days behind bars. His relief, however, is temporary, with the court allowing bail only until March 18, the date of the next hearing.
Soon after his release, the actor addressed media and expressed gratitude. “I have been in this profession, in Bollywood for 30 years. Every single person in this country is with me that’s why I have been here for so long. Every person in Bollywood is with me; every person of this country whether a child, young or old is with me," he said.
Thanking the Delhi HC, he said, "I have attended every single hearing of the court and I will continue to do so. I am receiving so much love on social media. I have a relationship with the 150 crore people of this country. Thank you High Court, you gave me a chance to share my side of the story."
According to reports, the court approved his interim bail after Rajpal deposited Rs 1.5 crore into the complainant’s bank account, complying with an earlier directive. As part of the conditions, he has been asked to surrender his passport and has been barred from leaving the country without prior permission.
