Exhibitors Herald (Dec 1917 - Jun 1918)

X H B R H R United Theatres Sues M. P. World For $250,000 Alleging Libel Organization Resents Insinuations Printed in Trade Journal That Exhibitors' Funds Are Not Being Safeguarded Universal Swells Liberty Bond Fun( Suit has been hied in the United States Supreme Court by the United Picture Theatres of America, Inc., against the Chalmers Publishing Company of New York for several alleged libelous statements published in the Moving Picture World recently. The damages asked are $250,000. The action followed a meeting of the board of directors of the United Picture Theatres, at which attorney Milton M. Goldsmith, general counsel for the concern, was directed to bring suit. It is charged that the Mining Picture World printed attacks upon the honesty of the men back of the United Picture Theatres, relative to an alleged trust fund which is said to have been deposited with the Guarantee Trust Company of New York City. A statement issued by the United Picture Theatres sets forth the fact that the money received from exhibitors would be deposited in a bank with the understanding that 90 per cent of the same would be returned to the members in case the United Theatres enterprise did not go through. It is at this statement that the World has directed its shafts of criticism. World's Editorial Attacks In its issue of April 27 the World, in commenting editorially upon the matter, said: "Just what effect the disclosures mande by the Moving Picture World regarding the non-existence of the 'trust fund' alleged to have been established by the United Picture Theatres of America, had upon the gathering of motion picture men at the Hotel Astor we have not attempted to ascertain, but it is quite evident that the picture men there assembled to discuss plans for cooperative booking of pictures got the measure of the little coterie of promoters who are trying to put over the United Picture Theatres plan, for they have turned that proposition down and will have nothing of it." In the same issue the World says : "It was very essential that the 'trust fund' should have been established as promised as a mark of good faith. It was not established and, so far as we can discover, no attempt was made to establish it." These statements are denied by the United Picture Theatres and the organization further alleges that the World printed them without making an attempt to discover or ascertain the facts; that they did not approach the officers or directors of the society with inquiries as to the truth of the statement and did not conduct any real investigation. Accountants' Report The United Picture Theatres has sent out a report from Quinn, Berran & Co., public accountants, with offices in the Woolworth Building, New York, to the effect that the accountants have verified the existence of a fund and that 90 per cent of the stock subscribed by members of the organization is intact. The statement appears elsewhere in this issue of the Herald. The Commercial Trust Company of New York, it is said, has agreed to act as depository of the fund. The directors of the United Picture Theatres have also instructed their attorney to prosecute any others guilty of making libelous or slanderous statements against the organization and will take prompt action to defend themselves against insinuations or challenges of their integrity. The outcome of the libel suit will be watched with considerable interest. It is pointed out that the principal charge of the Chalmers publication was that the 90 per cent of the monies collected was not held in a trust fund by a recognized trust company. This charge seems to be borne out by the auditor's report which states that the 90 per cent was only "on deposit in a special fund." The Universal Film Manufacturi Company, its executives and emploj will subscribe $300,000, it is said, to t third Liberty Bond issue. The total subscriptions of the ho' office in New York amounted to $195,( on Friday, April 19. All of the emploj throughout the country have been urg by President Laemmle to strain ev( effort to take as many bonds as possit Through the generosity of C Laemmle every employe may subscr for as many bonds as the employe financially able to carry and pay for th at the rate of one dollar a week'for ev< fifty dollar bond taken. President C Laemmle has subscribed $25,000; Vi president R. H. Cochrane, $10,0 Treasurer P. A. Powers, $10,000; oft employes, $50,000. Theatre Musicians Subscribe to Los Chaplin Waives Rights Subject to June Draft Charlie Chaplin has waived his rights as an alien and made himself subject to service in the National army, according to an announcement made at the studio of the comedian during his absence in a tour of the United States in behalf of the third Liberty Loan. According to information obtained from the Los Angeles local exemption board where Chaplin registered, his action will make him liable to the draft among the men called in the June quota. After having subscribed liberally the first and second Liberty Loans, members of the orchestra at the Rial Theatre, New York, have bought boi . of the third loan to the amount of o $16,000, it is announced. The men the Rivoli orchestra last week took $ 350 worth of the present bond iss , bringing the total for the musicians I the two Rothapfel houses to more tl i $26,000. Mr. Rothapfel himself, it is annount ,j took $1,000 worth of bonds subscril I for by each orchestra. The men exposing the two organizations are of tionalities representing practically ev) nation now at war, but all have ta out American citizenship papers and backing Uncle Sam in this fight to limit of their resources. DIRECTOR GRIFFITH POSES WITH MARY MILES MINTER 1+ 9 LEFT TO RIGHT— D. W. GRIFFITH, CHARLOTTE SHELBY, MARY MILES MINT .5 MOTHER; MARY MILES MINTER. AND HER SISTER, MARGARET SHELBY, A1 1 OPENING OF DIRECTOR GRIFFITH'S MASTERPIECE, "HEARTS OF THE WOR>. IN LOS ANGELES. 16