The release of Rajinikanth's "Kabali" is likely to land in trouble in Andhra Pradesh and Telangana (AP/T) as the distributor of "Vikrama Simha," the dubbed version of "Kochadiyaan," is set to stall it.

Kalaippuli S Thanu, the producer of "Kabali," confirmed on Saturday that the Telugu version of the Rajiniikanth and Radhika Apte-starrer has got a 'U' certificate from the censor board and it would be released in theatres on July 22. But now, reports suggest Sobhan Babu of Lakshmi Ganapathi Films is threatening to stall its release, if Rajini does not settle his losses suffered from "Vikrama Simha."

Sobhan Babu had acquired the theatrical rights of "Vikrama Simha" for Andhra Pradesh and Telangana for a whopping amount. While signing the deal, Rajini's wife Lata had reportedly assured to give Rs. 7.60 crore to the owner of Lakshmi Ganapathi Films in case of a loss. International Business Times, India reported in May 6 that the movie bombed at the box office and she failed to keep the promise. Babu then filed a complaint against the makers of "Kochadiyaan," requesting the TFCC to get the losses compensated.

The latest we hear is the financial issues are unsettled till date. Hence, Sobhan Babu is planning to take a legal route and stop the release of Rajinikanth's latest outing "Kabali," if he does not pay back the promised amount. Before this, he has requested the producers' council to mediate and get him justice.

Dasari Narayana Rao, the president of the Chamber, has come to the rescue of Sobhan Babu. He has reportedly initiated the talks with Rajini and is trying to settle the issue out of the court. He is expected to bring both the parties to a common agreement, thereby paving a way for the safe release of "Kabali" in the Telugu-speaking states.

The theatrical rights of the Telugu version of "Kabali" were in a huge demand, as Rajinikanth has a large number of Telugu speaking fans. Abhishek Pictures has reportedly bagged its distribution rights of Andhra Pradesh and Telangana, shelling out Rs. 32 crore. But if the financial issue of "Vikram Simha" is not settled in time, the "Kabali" distributor is likely to land in a big problem.