Buisnessman debunks Rajpal Yadav’s defense in Rs 9 Crore case: ‘Strictly a loan, not an investment’

Buisnessman debunks Rajpal Yadav’s defense in Rs 9 Crore case: ‘Strictly a loan, not an investment’

• Rajpal Yadav in legal trouble over Rs 9-crore bounced cheque
• He was jailed, then granted interim bail until March 18 hearing
• Agrawal demands loan repayment from Yadav for film investment

Did our AI summary help?

Veteran Bollywood actor Rajpal Yadav has once again found himself at the centre of a long-running legal dispute after businessman Madhav Gopal Agrawal publicly spoke about the decade-old Rs 9-crore cheque-bounce case linked to a loan he gave the actor for his directorial debut.

Madhav, who represents M/s Murali Projects Pvt Ltd, said the money he extended to Yadav was a loan, not an investment, and that he had been trying for years to recover the amount amid emotional and legal turmoil.

The origins of the dispute date back to 2010, when Rajpal borrowed Rs 5 crore from Agrawal to finance his film Ata Pata Laapata. According to Madhav, Rajpal told him the project was nearing completion and in urgent need of funds, claiming “everything would go to waste” without immediate backing. Initially hesitant, Madhav said he was persuaded after Rajpal’s wife Radha Yadav sent heartfelt messages asking for help.

The businessman told News Punch, that the agreement clearly stated the amount would be repaid regardless of the film’s box-office performance, censor certification or other outcomes — and that Yadav had provided a personal guarantee and post-dated cheques.

However, repayment deadlines passed without any closure, and Madhav said he visited Rajpal’s residence multiple times over the years pleading for repayment, even crying “like a child” in a personal appeal because he had borrowed funds from others to finance the loan. As sessions stretched on, supplementary agreements were signed on three occasions and fresh cheques were issued, but ultimately they were dishonoured, leading to legal escalation.

The case eventually landed in court under provisions of the Negotiable Instruments Act after seven cheques bounced, leading to a conviction and a prison sentence that Rajpal was ordered to serve. He surrendered to authorities earlier this month and was in Tihar Jail before the Delhi High Court granted interim bail. Under the bail order, he has been released until the next hearing on March 18, having deposited a portion of the dues as a bond.

Madhav Agrawal maintained that his only aim as a businessman has been to recover the funds he loaned — not to undermine Rajpal Yadav’s career — and stressed the importance of honouring repayment commitments, regardless of whether the arrangement was for filmmaking or any other business purpose.

Also read: Rajpal Yadav’s lawyer accuses complainant of ‘malicious intent’ following interim bail: “It was never about the money”

Rajpal Yadav has since been granted interim bail in the case. The next hearing is scheduled for March 18.