In a significant development in a high-stakes corporate legal battle, Lodha Developers, one of India’s leading real estate firms, has been directed to deposit ₹520 crore as security in an ongoing case involving its group entity, Vilasrao Hiranandani Limited (VHL).

The order, issued by a Mumbai court, comes amid an escalating legal tussle over financial transactions and contractual obligations between the two affiliated companies. While full details of the dispute remain confidential, sources close to the case indicate that it pertains to alleged non-compliance with certain financial and commercial commitments.

The court has asked Lodha Developers to make the deposit to safeguard the interests of the complainant party while the case proceeds. Legal experts say such a directive typically aims to ensure that any potential liabilities or damages can be recovered if the verdict goes against the depositor.

Lodha Group has not yet released an official statement regarding the court’s order. However, industry analysts believe the move could have short-term implications for the developer’s cash flow and project timelines, depending on the duration of the legal proceedings.

The case marks one of the more high-profile internal disputes within the Indian real estate sector in recent times, drawing attention from both investors and regulators.