The Film Daily (1940)

W*\&4IIY Tuesday, January 16, 1940 TO EXAMINE 26 TOP EXECS. IN EQUITY SUIT (.Continued from Page 1) lowing executives to appear: Harry Cohn, Jack Cohn and A. Montague, Columbia, for examination on Feb. 5; N. J. Blumberg, William A. Scully and Charles R. Rogers, Universal, Feb. 12; George J. Schaefer, Ned E. Depinet and Jules Levy, RKO, Feb. 19; Adolph Zukor, Barney Balaban, Neil F. Agnew and Y. Frank Freeman, Paramount, March 4. Also Harry M. Warner, Jack L. Warner, Joseph Bernhard and Gradwell L. Sears, Warners, March 11; Joseph M. Schenck, Sidney R. Kent, Darryl F. Zanuck and Herman Wobber, 20th-Fox, and Spyros Skouras, National Theaters, March 18; Nicholas M. Schenck, C. C. Moskowitz, William F. Rodgers and Louis B. Mayer, Metro, March 25. The notice provides that the examinations will continue from day to day until their completion. Two additional special assistants to the attorney general, besides Paul Williams, were named in the notice, one of whom was Robert L. Wright who tried the Government suit against B & K in Chicago. The other special assistant was Thomas J. Lynch. It is undei'stood that both these attorneys will be active in the Government suit. Reliable sources in the D of J stated that these examinations would not delay the trial of the suit. The Government move was made under rule 30 of the Rules of Civil Procedure, which provides that a party desiring to orally examine any person in a suit may do so upon giving reasonable notice in writing. Under this rule the majors may contest the notice "upon good cause shown" and obtain an order vacating the notice. As additional remedies, the majors, under this rule, may apply to the Court for any of the following; (a) That the examination be held elsewhere, (b) That it be held only on written interrogatories, (c) That certain matters shall not be inquired into, (d) That the scope of the examination be limited, (e) That the examination be privately held. (f) And finally, "any other order which justice requires to protect the party or witness from annoyance, embarrassment or oppression." United Artists will not be examined because the Government has previously taken the testimony of a number of its officials, it was stated. Appeal in Mori Trust Suit Will be Heard on Friday Philadelphia — Illness of defense counsel yesterday resulted in deferferment to Friday of the Circuit WEDDING BELLS National's Allied' s Board to Map Dieely Bill Passage Strategy at Washington Sessions Washington Bureau of THE FILM DAILY Washington — 'Representatives of Allied's Eastern units will meet here today, one day in advance of the national board meetings which are scheduled to get under way tomorrow. While no agenda of the three-day sessions has been announced, it is understood that business will include strategy in promoting the Neely Bill, election of officers and selection of a city for the 1940 convention. Maximum Drop of 40% Seen For Production in Britain {Continued from Page 1) porters at a press conference yesterday that he planned to return to England as soon as he concludes business matters here to start work on his next feature. Goldsmith is here to negotiate with several majors for a release of his latest production, "The Stars Look Down," adapted from the A. J. Cronin novel. Goldsmith said he hoped to make another Cronin story and would either go to the Coast or meet Cronin here to discuss the matter. He said that lack of markets presented a greater problem to the English producer today than financing, but unless American producers were active in England there would be few pictures made that would be double quota or over that in value. In the event conditions made it impossible to produce in England, he said he would like to produce in New York. Describing theater business in England as being only 20 per cent below normal and improving steadily, he stated that the English government was, and is, prepared to aid the film industry in every possible fashion. He cited the fact that film industry members were in great part exempted from army service, and that gasoline allowances for film business were way over the customary ration. He said that studio space was available, although Denham and Pinewood, the Stock Exchange and Lloyds, and Elstree is filled with sugar. Grecian Inspiration Miami — Next Fleischer cartoon feature for Para, will have a story from Greek mythology. Court of Appeals hearing of the appeal of Warner Bros. Theaters and major companies from the adverse decision in the so-called Mori antitrust suit originating in Vineland, N. J. Appleton, Wis. — Miss Dorothy Mollon, cashier at the Elite Theater, has been married to Bernard E. Ernst. Depositions to be Sought I by Plaintiff in Ford Suit Chicago — Counsel for Frank Ford, operating the Stadium at Evanston, | and plaintiff in the anti-trust suit pending against B & K and several of the majors, said yesterday that the return of Federal Judge James Wilkerson on Jan. 26 will bring motions to override pending defense motions as well as application for permission to take depositions. Second Television Report In Preparation, FCC Says {Continued from Page 1) stations and action on pending applications requesting television authorizations to operate stations as a service to the public. Reviewing 1939 television activity of the commission, the report states, 'During the past year increased interest was shown in television developments" and summarizes the report of the Television Committee issued several months ago. The tele industry is encouraged to undertake further practical research leading toward development of methods which will permit more stations to be accommodated in the limited space in the radio frequency spectrum, as well as facilitating lower costs in the production of good quality program service to the public. Examination of Hammons by Trustee's Counsel Set GN trustee, on Friday, date of the next creditors' hearing, it was learned yesterday. Saul E. Rogers, attorney for GN and Hammons, has agreed to present Hammons at that meeting for questioning, it was said. Harry Fromberg, GN trustee, is dickering with a number of motion picture companies for the sale of the major portion of GN's properties. Meanwhile, Peter B. Olney, Jr., has authorized Fromberg to open offices for GN at 300 4th Ave. for an additional 20 days in order to bring records up to date. Seven pictures distributed by GN have been ordered returned to producers by the referee. All machinery and fixtures located in Los Angeles will be sold under Court order on 10 days' notice. Auction of furniture here will take place today. Return of Orks Before A F of M Executive Board (Continued from Page 1) tackled by the A F of M executive board which yesterday opened meetings expected to span two weeks. Here for the parley, in addition to Prexy Joseph N. Weber are: C. L. Bagley, Fred W. Birnbach, N. E. Brenton, W. J. Kerngood, Chauncy A. Weaver, James C. Petrillo, J. M. Parks and W. Murdoch. Single board absentee is A. C Hayden, ill at his Washington home. Murphy to Oppose Schine Middlesboro, Ky. — W. K. Murphy is planning a new theater here, in opposition to Schine. BILL TO FORGE EARLY FIRST-RUNS PROPOSED (Continued from Page 1) excess tax collections, for a stab at the film or amusement industry. However, plans were made>^or the framing of an early measuR „-«oi the 1941 regular session, a bill which will be fronted for by Bob Livingston, Capitol theater manager, which will demand first-run play of contracted films within 45 days after national release date, after which time the first-run will pay full contract price, and film will be released to outside, or subsequent run sale. Livingston says such legislation will immediately make too costly for the circuit exhibitor, the privilege of being over-bought and that it will give the producer a run for his nationally spent opening advertising and publicity on a given picture. Livingston says a dozen of the legislators have all agreed to sponsor it, which gives him a quarter of the house strength. He believes it has the ingredients necessary to give all hands a fair break, split up the buying, open the field for independents, still allow the powerful circuits to align with the major companies (only as much as they can reasonably use), and will provide the film companies with a means of getting product played, or paid for within a short time after delivery. Beatrice, Neb., Exhibitor Threatens Trust Action Beatrice, Neb. — Frank Hollingsworth, operator of the New Pix and Rialto theaters here, said this week he will shortly file an anti-trust suit against the Fox Midwest Theater, Inc., whose Rivoli theater provides his opposition in Beatrice. Hollingsworth claims FM theater is heavily overbought, which works a hardship on him to get enough films for his two theaters. Hollingsworth indicated the filing would be made in Omaha. STORKS! West Coast Bureau of THE FILM DAILY Hollywood — A seven and one-half pound son, Patrick William, was born to Mr. and Mrs. W. E. Callaway at the Cedars of Lebanon Hospital. Father is the Warners Coast district sales manager. Cleveland— Perc Essick of the Scoville, Essick and Reif circuit, became a grandfather when a son was born to the wife of his son Ray, manager of the Highland Theater, Akron. Cincinnati — A daughter, Mary Jo, was born last week to the wife of John Patrick Hanna, M-G-M checking supervisor. Lawrence C. Caplan, Allied Theaters of Connecticut executive secretary, is the daddy of an 8-pound son, Stephen Mark.