However as part of the legal decree passed by the sole arbitrator allegations of 'material breach' and 'non-performance' have been unconditionally withdrawn.
Palador also unconditionally gets back its catalogue of nearly 100 films that was being claimed by UTV. This includes Kurasawa's films like Seven Samurai, Yojimbo, Throne of Blood and other classics by directors such as Lars Von Trier, Francois Truffaut, Jean Luc Godard, Michael Haneke, Abbas Kiarostami and Mohsen Makhmalbaf.
In turn, Palador, co-promoted by Gautam Shiknis and Mohan Polamarasetty, is 'committed to returning all expenses incurred by UTV on the venture UTV-Palador, to secure the release of the balance films that are being held as collateral by UTV till the time of the payment'. Palador will also get back the brand The Olive Collection. UTV and Palador will now separately develop the world cinema category.
Simultaneously Palador is also raising $6m from private investors after a 15% dilution of equ ity, raising its valuation to $40m. Shiknis, managing director and founder of Palador Pictures, said, 'We had no doubt that Palador would get back what was rightfully ours - 'The Olive Collection' and our coveted films that we have laboriously put together over three years. This puts Palador firmly on the path to be the largest player in this category.'
On the application of the investment, Shiknis said, 'The fund will be used towards the development of quality content, and advancing the content that has been acquired.' Palador is expecting to launch its DVD label in two months.
At the Cannes Film Festival this year, Palador acquired Gus Van Sant's Paranoid Park, which will see a simultaneous French and Indian release in September this year.