Producers turn to FI's for money

The fate of the Hindi film industry, now being financed by financial institutions, continues to hang in balance as these institutions have decided to seek legal opinion before arriving at a final decision.

The legal opinion is being sought with special reference to the overseas as well as domestic film distribution rights.

At a meeting of senior executives of the inter-institutional group on this issue in Bombay, it was discussed that with reports of Bollywood being financed by underworld, it will be difficult for the institutions to finance them.

It will be possible for the FI's to lend to a corporate entity or production unit and that to for those involved in the television industry since they are produced by either of them.

These deals can be known as the films or serials are sold to various channels, whereas in the case of a feature film involving production, prints and distribution, it will be difficult to keep a tab on them.

The IDBI had recently held elaborate discussions with the film industry, which had been pleading for financing their productions.

PTI