A Malaysia-based film distribution company has approached the Madras High Court seeking to stall the release of superstar Rajinikanth's Tamil film 'Darbar' claiming the producer Lyca Productions owed it Rs 23.70 crore on account of business transactions.

When the civil suit filed by DMY Creations SDN BHD came up for hearing, vacation judge Justice M Govindaraj adjourned it to January 2 enabling the counsel for Lyca Productions to get instructions. Darbar, also starring Nayanthara and directed by A R Murugadoss, is set to hit the screens on January 9.

According to M Baskar, counsel for the Malaysian firm, Lyca Productions owed it Rs 23.70 crore in connection with the distribution of various Tamil films produced by the latter including "2.0", "Kaala" and "Vada Chennai" in Malaysia.

He further submitted Lyca had promised to clear the payment before the release of their latest production Darbar. But "we have learnt that Lyca is negotiating with some others to give territorial rights in the Malaysian region for Darbar against the promise," he added.

DMY has borrowed heavily on the exorbitant rate of interest from private financiers and if the issue was not resolved or further delayed it would sustain irreparable financial losses and definitely be on the verge of bankruptcy, he submitted.

If the court does not protect the firm with an interim order restraining Lyca from releasing Darbar before settling the dues, the chances of recovery will become very slim, DMY said. The petitioner sought attachment of the positive and negatives of the movie Darbar and all other materials which aid transmission of the film pending disposal of the suit.