Nivin Pauly and director Abrid Shine have received relief in the Action Hero Biju 2 film rights dispute, with the Kerala High Court quashing the cheating case registered against them. The verdict comes after the members involved reached an out-of-court settlement over the financial disagreement linked to the Malayalam film. The complaint was filed by producer PS Shamnas, who alleged that the film’s overseas distribution rights were sold to another party without his knowledge. The latest news on this follows a series of legal proceedings between the actor, director and producer over the investment and production arrangements for the film.
Kerala High Court Quashes Cheating Case Against Nivin Pauly, Abrid Shine
As per The Hindu, The Kerala High Court has quashed the cheating case registered against and director at the Thalayolaparambu police station over a dispute involving Action Hero Biju 2. Justice PV Balakrishnan mentioned that the parties had reached an out-of-court settlement, bringing the criminal proceedings to an end.
The complaint was filed by producer PS Shamnas, who alleged that he had entered into an agreement to produce Action Hero Biju 2. According to his complaint, the film’s overseas rights were later sold to a Dubai-based company without his knowledge. The reported deal was valued at Rs 5 crore. The dispute was also linked to an investment in Mahaveeryar, another Malayalam film. Shamnas alleged that Nivin Pauly and Abrid Shine had assured him that losses arising from his investment of Rs 3.5 crore in Mahaveeryar would be compensated through Action Hero Biju 2.
Nivin Pauly Gets Relief In Action Hero Biju 2 Legal Dispute, Kerala HC Quashes Cheating Charges Over Film Rights
While quashing the case, the High Court observed that the alleged offences were not grave and did not have a serious impact on society. The settlement between the parties formed the basis for the court’s decision.
What Led To The Legal Dispute Between Nivin Pauly And PS Shamnas?
The dispute had earlier led to allegations that Nivin Pauly and Abrid Shine had cheated Shamnas. In his complaint, the producer claimed that Nivin Pauly had promised to pay him Rs 95 lakh following the commercial failure of Mahaveeryar and had offered him a partnership in Action Hero Biju 2. He alleged that he contributed Rs 1.9 crore towards the latter film’s production.
In a separate development in January 2026, a Vaikom court ordered criminal action against Shamnas over allegations that he had submitted a false affidavit. The court noted that he had failed to disclose a related dispute pending before the Ernakulam Commercial Court, where an injunction had been issued against him.