Complainant Kumaresan alleged that Palanivel and his wife Kalpana of Saligramam in Chennai have promised to give him the distributor rights of their films, and had paid Rs.1.47 crore as the deal, police said.
The couple had produced a movie called "Kandha," in 2013, but neither given him the distributorshp nor repaid the amount, he claimed.
The crime branch police has registered a case and investigations were on, police added.