According to sources, Zee Records is also in the process of setting up its own distribution network, as part of Zee Records' two-tier strategy. The tie-up with HMV will begin with the music for "Love You Hameshaa." The music is scheduled for release early next year the sources confirmed.

The cost of acquiring the music rights of the movie remains unknown at this stage. "Love You Hameshaa" is directed by Mr Kailash Surendranath and stars Akshay Khanna, Sonali Bendre and Riya Sen. The music for the movie has been composed by Mr AR Rahman. Saregama India, the owners of the HMV label, confirmed the development. When contacted, Mr Harish Dayani, Executive Director, Saregama India said the tie-up has taken place since Zee Records did not have large manufacturing or distribution facilities at this stage. "This is a tie-up, therefore, for manufacture, marketing and distribution between us," he explained. The advantage of this tie-up, he added, was that the albums could be promoted free of cost on Zee's television channels. According to Mr Dayani, "We have entered into a royalty sharing arrangemnet with Zee Records." He was, however, unwilling to divulge details of the royalty deal. The arrangement with Zee Records, he said, was till March 2001. The other releases from this tie-up, he said, would beanother Hindi film "Gadar" starring Sunny Deol and Amisha Patel besides three pop albums. Mr Dayani indicated that the arrangement with Zee Records will be reviewed in March next year.

When contacted, Zee Records was not willing to comment on the issue and said they would speak on the issue at an appropriate time. Zee Records, originally called Zee Music, was set up about six years ago as the music publishing arm of the Zee network. The company's focus has been on Hindi movies and the bigger releases include "Yaarana" and "Agnisakshi." Sources have indicated that Zee Records at this stage is in the process of a complete overhaul. Today, Zee Music is Zee Networks' music channel on satellite television.