The Film Daily (1939)

m r \>\U) I) a i) i st W DAILY Wednesday, August 16, 193 COASrPRDBE INFO. TO JURY NEXT MONTH (Continued from Page 1) bor racketeering and charges that $100,000 was paid to William Bioff, former IATSE representative on the Coast, by a major producer, Carr will question attorneys for labor unions in studio business, agents of unions and studio officials. Carr has already questioned Herbert Sorrell, business representative of the Motion Picture Painters, Local 644, regarding methods of negotiating wage scale and about the activities of the IA representatives in the 1937 strike. Carr, who arrived here Monday, lost no time in swinging into action. He established headquarters yesterday and, it is understood, dispatched his first "invitations" immediately. Heads of major studios, business agents of studio labor unions and scores of others are reported on the bid list. While Carr is prepared to proceed slowly and carefully, it is understood that he plans to present Washington Bur., THE FILM DAILY Washington — Next "form letter" anti-trust suit to be brought against film biz will probably be filed in Florida, it was reported here last night. his evidence then available to a Federal Grand Jury which will be impaneled here in mid-September. Attorney General Frank Murphy has indicated he wants quick action. Racketeering Charges First Just which of the three cases, socalled, will have Carr's first attention is not definitely known, but it is reliably reported that right of way will go to the charges of labor racketeering in the IATSE. Additionally, Carr will concern himself with the reorganization of Fox Film into 20th Century-Fox and alleged income tax irregularities. It is significant that Carr is not delegated to take over the Fox West Coast investigation, in progress for about two years. Carr's letter of appointment, filed here, in part says "You are hereby appointed a special assistant to the Attorney General under the authority of the Department of Justice, to assist in the trial of the case growing out of the proceedings hereinafter mentioned, in which the government is interested, and in that connection you are directed to conduct in the Southern District of California, and in any other judicial district where the jurisdiction thereof lies, any kind of legal proceedings and proceedings before committing magistrates which district attorneys are authorized by law to conduct." On Carr's Bid Test Representatives of companies and individuals whom Carr will interrogate include officers of the A Rose, etc. Detroit — And then there's the one about the local exhib. who walked into the Metro Exchange and demanded "that Mickey Rooney picture, 'The Artist's Right Eye'." He left with "The Hardys Ride High." Estimate $8,095,000 "Take" in Okla. for Fiscal Year (Continued from Page 1) the sales tax collections from theaters reveal. Based on receipts of the two per cent collected, it is estimated that during March, Oklahoma patrons paid some $750,000 to the box offices of state theaters as $14,489.92 tax was reported. Total for the fiscal year ending June 30 showed $161,881.59 sales tax collected by theaters which represents approximately $8,095,000 in box office receipts. An average of 202 theaters reported returns each of the 12 months of the fiscal year. Figures for the 12 month period show estimated box office receipts as reflected by tax collections, as follows: For 1938— July, $610,000; August, $675,000; September, $690,000; October, $675,000; November, $680,000; December, $727,500. For 1939 —January, $687,356; February, $681,181; March, $724,486; April, $634,721; May, $614,625, and June, $687,111. JLS Threatens Court Action Over Product for Oriental (Continued from Page 1) Schaefer circuit, unless the distributors themselves "correct" the Loop release situation for the new season. He declares he will go to the Federal Court for relief if necessary. Jones further said that double features are here to stay, but added that he is against premiums, believing that the province of the theater is to sell entertainment. He predicts good business for the coming months unless the European situation leads to war. Loew's Calling 1947 Realty Bonds at 102 on Sept. 15 (Continued from Page 1) 15. The bonds, which were due on July 31, 1947, are being called at the redemption price of 102 p.c. of the principal amount, together with interest accrued to Sept. 15. IATSE; Local 37; George Browne, IATSE prexy; William Bioff, former Browne personal representative here; MPPDA; Association of Motion Picture Producers; Loew's, Inc.; RKO, Warner Brothers, Twentieth Century-Fox and United Artists. Others with whom he is scheduled to have conferences are Joseph M. Schenck, Joseph Moskowitz, Arthur Stebbins, William Goetz. Darryl F. Zanuck, William B. Dover and Harry Kadis, latter a former Internal Revenue agent. HEARINGS NEXT WEEK ON RKO STOCK PRICE (Continued from Page 1) the proposed underwriting agreement of Atlas Corp. was filed in the U. S. District Court yesterday. Under the order the Special Master is also directed to determine the "relationship if any of the compensation of an underwriter to the price per share at which the stock is underwritten." Hearings may be held after two days' notice to parties interested. The SEC was directed, and has filed, a notice of appearance in the proceedings and will file an advisory opinion. Judge Bondy's order stated. It was learned yesterday that in all likelihood no hearings will be held this week, but will start next Monday or Tuesday. Judge Bondy yesterday approved of an allowance of $7,000 to Alger as an ad interim allowance for hearings held by him, which commenced on July 18, 1938, on modifications to the plan of reorganization. Previous allowances to Alger totaled $27,500. Judge Bondy also approved of the reduction of claims of six creditors of RKO from $2,241,463 to $411,685. Industry Escapes Adverse Legislation in Bay State (Continued from Page 1) fore the first biennial session prorogued. A proposed sales tax, one that would include theater admission threatened throughout the nearly eight months. A group of labor bills, several of which were protested by the industry, has been given a recess commission for study. A bill for a 9:30 curfew was tossed. Laughed out was another bill by Rep. Francis -X. Coyne, the much publicized true name act, which would make stage names illegal. A move to invalidate daylight saving was put over to the next session. Failing to pass also was a measure that sought "nothing in the laws respecting gambling, lotteries or games of chance shall be held to render illegal Bank Night." Two drastic bills seeking imposition of film and vaudeville censorship were given the hook. Also nixed was a bill that projectors be "equipped or fitted with a safety control devise that will automatically interpose an opaque heat resisting shutter or guard between projection light and film" upon breakage or stoppage. A bill pertaining to libel of human races, one dangerous to films, also did not pass. Proposed to legalize state lotteries failed to get far. Jitterbug Case Deferred Chicago — So-called Sam Herman jitterbug case was put over to Sept. 15 yesterday. Meanwhile, contests are out of B & K theaters, with EXPECT EARLY EQUITY SUIT TRIAL ORDEI Ushers' Strike Extended as Peace Parleys Start (Continued from Page 1) when a group of ushers at the Broad, way in Chelsea walked out. Spokes men for both sides got together yesterday afternoon in their initial meeting but did little more than lay the basis for continued negotia tions. A second meeting has been arranged for this morning. No official move has been made yet to draw associated IATSE unions into walkout. Sears, Bernhard, Goldberg Speak at S-W Philly Meet Philadelphia — Stressing service as the keynote of Warner Theater operation Joseph Bernhard yesterday gave the principal address at a meeting of the executives and managers of Warner's Philadelphia zone. Details of the Warner line-up for the new season were presented by Gradwell L. Sears. Meeting was also addressed by Ted Schlanger, local number one Warnerman, Lester Krieger and Harry Goldberg. Time was taken out to attend the Aldine, where "The Old Maid" was screened to an ovation by the 143 conferees. (Continued from Page 1) Midway Corp., former operators olj the reorganization of the Beacon anili the Beacon Theater, severely critiH^ cized the situation in the motion pic ture industry and stated that i warranted an early trial of thjjK.ov ernment's action, reliable sourk W re vealed yesterday. Judge Knox's remarks were madi when the Beacon Theater Corp offered to rent the Beacon Theate. for four years at a $40,000 yearrij rental, with a guarantee of pay ment by subsidiaries of Loew's, RKC and Skouras. The Judge stated tha' for a long period of time he has at tempted to lease the theater to an in. dependent exhibitor and has beei unable to do so. It is understooc that he directed the trustees of Bea con and Midway Corp. to make one more attempt to lease the theatei to an independent and to report bad on Monday. On that day, Judge Knox, upor learning that no independent lessoi could be obtained, approved the lease offered by the Beacon Theater Corp It was in reference to this situation that Judge Knox stated at the hear ing for a preference in the Government suit that he was unable to obtain pictures for "love or money." It was learned that Judge Knox is attempting at present to fill vacancies on the bench and that one of his objectives is to assign a new judge to hear the Government suit, if possible, in the early Fall. However, since the Judge will go on his vacation on Friday for two or three weeks, no decision is expected on the preference motion till his return. I VitA. ».&& Hi