The New York Clipper (June 1916)

34 TUB NEW YORK CLIPPER MOTION PICTURES Am 2* HARRY ErTHIS, MOTION PICTURE KDITOB. PARAMOURT'S NEWLY ELECTED EXECUTIVES RECEIVE PRODUCERS. UNQUALIFIED ENDORSEMENTS-NO RADICAL CHANGE IN POLICY CONTEMPLATED. HKJH ABRAHS, WHO SUCCEEDS W. W. HODDRSOD iS FRES 1DEHT, IS EXPERIENCED FEB HAH—ZDKOR ISSUES SIAl'fcHhM. At the annual election of officers, held in New York but week, Hiram Abrams, of Boston, waa elected to succeed W. W. Hodkln9on, of San Fran- cisco, as .president of the Paramount Pictures Cor- poration. Win. L. Sherry, of New York, replaces James Steele, of Pittsburgh, as -vice president, and Steele, In turn, becomes secretary and treasurer. The latter office was held by Raymond Pawley. Inasmuch, as Hodktnson and Pawley hare been more or less closely associated In the management of Paramount affairs during the past two years, it would seem that the powers that be in the or- ganization desire a change, and found a ions nought opportunity in the recent election. According to reports from headquarters Para* mount will not deviate greatly from Its present business policy. Some minor changes it is under- stood will be made In the pereonel of the office staff, hut these will not occur for a month or so. Hiram Abrams, the new president of the Para- mount organization, is an experienced film man who has been engaged In the exchange business In Boston for several years past. In every sense of the word Abrams is eminently fitted for the Job he has been selected to fill. Be will undoubtedly render a good account of himself. ABRAHS* STATEMENT. Immediately following his election, Abrams Is- sued the following statement: "The constantly growing Interest in the motion picture throughout the country permits us to an- ticipate a most active era for the Paramount Pic- tures Corporation in the future. The heads of the various producing companies releasing through Paramount have assured me that they will make every effort to surpass their artistic standards. On the roster of these companies are the most noted stars of the stage and screen. Including: Mary Pldsford, Geraldlne Farrar, Marguerite Clark, Marie Doro, Pauline Frederick, Blanche Sweet, and many others. "I was very gratified to receive these offers of continued co-operation from the producers. It la obvious their unJteti support Is essential to PSWO- mont's success. Their statements to me today set at rest all rumors of the possibilities of their affiliation with any other film Interest." •with the distribution of feature productions from the inception of this branch of the Industry, he possesses a sympathetic and comprehensive under- standing of the needs of the greatest number of exhibitors. To supply these needs be has com- mitted himself to bend every energy, and I am confident that the whole-hearted support -of the producers which will be extended him will aid In oecuring results which wilt be gratifying alike to producers, distributors, exhibitors and the photo- play public." ZDKOR ENDORSES ABRAHS. Adolph Zukor, president of the Famous Players Film Co-, endorsed the election of Abrams. His statement to the press follows: "I can only add to the statement Issued by Hiram Abrams, the newly elected president of the Paramount, which I have seen, that bis quotation of my promise to give the new Paramount regime my slncerest support Is fully justified by my In- tentions and desires. "Speaking for the producers, I can offer com- plete assurance that aoj- change of policy adopted by Paramount will be for the advanced inesjt oT the program and the greater good of exhibitors. Dur- ing Its former activities the Paramount Pictures Coiporatlon has established a high standard of efficient distribution and co-operative service to exhibitors. It Is in tbe nature of things that these principles should go steadily forward. The pro- ducers are determined to keep active pace with their advancement by producing constantly better photoplays so that tbe productions! and distribut- ing units of tbe program shall attain and maintain tbe highest possible degree of efficiency. "Mr. Abramg has the unlimited confidence of tbe producers and exhibitors throughout the coun- try. Being one of the oldest and most practical film men In the world, and having been Identified RECEIVERSHIP FOR GENERAL FILM ASKED BY WATERS & CLARK. Percy L. Waters and James B. Clark's action ngalnst the General Film Co.. in which they ask for a receivership fcr the film distributing con- cern seems to have gotten under the epidermis of A. E. Smith. Usually Qxmservative In has utterances, Mr. Smith, who Is an official of" tbe General Film, in discussing the receivership action, last week, gave voiced to same rather decided opinions In the press. According to a New York Sunday paper which devotes considerable space to the movies, Mr. Smith Is vastly annoyed by the legal action of •Messrs. Waters and Clark. A certain "trade" paper also seems to have aroused the Smithsonian ire. That's what Mr. Smith refers to when be mentions a "publication" in.the following disser- tation on the ethics of the Waters-Clark suit Says Mr. Smith: "In the first place the bin is not brought by 'Messrs. Waters and Clark as a protective committee representing the other pre- ferred stockholders of the General Film Company, but is brought by tbem as Individuals and as rec- ord holders of substantially leas than 800 shares of tbe capital stock of this company out of a total capltallzatmn of 11,000 shares. "This contest Is the outgrowth of a contention on the part of the preferred stockholders of the General Film Company that certain large earnings of this company for tbe years 1910 to 1914 Inclu- sive, over and above what was necessary to pay the dividends on the preferred stock of the com- pany and a twelve per cent, dividend upon the common stock of the company, was improperly dis- tributed among the common rtockholders because by their consent it was paid to them as the pur* chase price of film instead of being paid in the form of an increased dividend. "The contention of tbe General Film Company jnd its common stockholders Is that It Is no con- cern of the preferred stockholders how it was dis- tributed, inasmuch as It belonged absolutely to the company. "This Is the whole question at issue, and all other matters contained in the bill are merely Incidental thereto. "Certain significant facts respecting this con- troversy are entirely overlooked in this article. "in 1913 Richard A. Bowland, president of tbe Metro Pictures Corporation, an active rival of the General Film Company, and a former partner of one of the plaintiffs, and Joint owner with bkn In the preferred stock of the General Firm Company, brought suit In tbe same court to accomplish sub- stantially this same purpose, and upon tbe filing of an answer thereto by the General FlBn Com- pany, setting forth the above cited facta, the bDl was .withdrawn and the case discontinued. "That during most of tbe time covered by these payments and during which tbe bill of complaint alleges the company wss mismanaged, Percival L. Waters, one of tbe plaintiffs herein, was the gen- eral manager of the General Film Company and was active in controlling Its basiness policy and carrying Into effect the very transactions of which lie now complains. "In 1915, upon a change of management. Mr. Waters resigned as general manager and at the same time was elected as a director of the com- mon stockholders against whom, he is now bring- ing salt. "That in tbe suit instituted by the United States Government against the General Film Company et al_, both Waters and Clark, tbe present plain- tiffs, were witnesses for Ibe General Film Com- pany and testified to tbe legal and proper manner In which the business of the company -was con- ducted during the very periods covered by their present complaint. "These facts speak for themselves and tbe ex- hibitors, and the public generally may draw their own inferences therefrom. "The motive of the publication in selecting my name from the entire group of common stock- holders and directors of the General Film Company end placing It in the forefront of the article clearly Indicates that the article In question Is In- tended to do something more than convey to the 'motion picture Industry Information respecting a pending lawsuit. "The business of tbe General Film Company is being conducted as heretofore. It stIU maintains Its numerous branches, covering the entire United States and Canada, and supplies over 6.000 cus- tomers regularly and promptly with the product of many of the leading film manufacturers of tbe country, and Is constantly Improving Its facilities end Its service and will continue to do so. "When these facts are understood, I am sure that the publication of the article referred to will Dot cause any dismay or lack of confidence in the minds of the customers of the General Film Com- pany." 5L P. PATENTS CO. LOSES BIG DffRIRGEHENf SUIT. The M. P. Patents Co. lost again, last week, in their efforts to collect the $2.00 royalty fee from some twenty-two thousand exhibitors using motion picture machines utilizing alleged patents of tbe above mentioned concern. Some months ago the Federal District Court rendered a decision against the Patents Co. in favor of tbe Universal Film Co. and the Prague Amusement Co. of New York. ■ The Prague Amuse- ment Co. Is the corporate title under which an uptown New Tork picture house operates. Four years ago the Universal Film Co. sold a reel of film to the Universal Film Exchange, and the latter rented tbe film to tbe Seventy-Second Street Amusement Co. In turn, the Seventy-second Street Amusement Co. rented It to the Prague Amuse. Co. This list of cumulative transactions resulted In the patent suit which the Federal Dis- trict Court later decided against the Patents Co. Now Judge Hand, In the Court of Appeals, has affirmed the decision of tbe lower court, and the WOLLIAM A. BRAD Y tS ASSOCIATION' WITH WOBJLD FIJLH CORPO RATIOS FHE8EST8 FRANCES NELSON ASD ARTHUR ASHLEY IS S'mT HAPPENED IN 221 A LOVBABLE HERTHg Df A BOHAK1IO ADVE5TC&B Produced by FROHMAK AMUSEMENT CQRPORATIOM