MUMBAI: Not to be cowed down in the alleged Rs 1 billion extortion case, Zee group chairman Subhash Chandra Sunday said he would file a defamation case against Congress MP Naveen Jindal?s company.

Chandra, who was earlier questioned by the Delhi police for the second consecutive day, told reporters that he would cooperate with the police if they called him again. "The questioning "has ended as of now", he added.

Chandra had come along with his son Punit Goenka to the Delhi Police Crime Branch office in the afternoon for the questioning. While Goenka was allowed to leave after a short period, Chandra was grilled for hours.

Chandra said he had no knowledge about the case and came to know about it five days (7 October) after the first information report (FIR) got registered by Jindal.

"There is no Rs 100 crore deal. We haven?t been saying anything," Chandra explained. "It is an attempt to prevent news reports on the coalgate scam."

Zee editors Sudhir Chaudhury and Samir Ahluwalia, who had been remanded to two days? police custody by a court for the alleged extortion bid, were brought to the Crime Branch office last night where Chandra and his son were being questioned.

The Jindal company had alleged that the Zee group tried to extort Rs 100 crore (1 billion) in exchange of not running negative stories about the company?s alleged involvement in the coal blocks allocations controversy.

On Sunday, Chandra was brought face-to-face with Chaudhary and Ahluwalia.

Earlier on 6 December, a court had granted Chandra and Goenka interim protection against arrest till 14 December.