Nagarjuna, who is the managing director of Annapurna Studio, and other officials were negotiating with the banks and were hopeful of an amicable settlement within a week.
Akkineni family reportedly owes Rs.32.3 crore to Andhra Bank and Rs.29.7 crore to Indian Bank. The banks asked the family to clear the dues, failing which they will seize the studio.
The actor in 2012 had announced Rs.100 crore investment in new facilities including state-of-the art climate-controlled movie production studios. The family had raised Rs.70 crore as loans from a consortium of banks and invested about Rs.25 crore of their own funds.