Motion Picture Daily (July–Sept 1938)

MOTION PICTURE DAILY Tuesday, July 19, 193 Offer $500,000 to Settle Fox Action {Continued from page 1) Schwartz, made the offer. Hiram Steelman, trustee of the William Fox estate, and his counsel, William Elmer Brown, Jr., recommend that it be accepted and have petitioned the Federal Court to do so. Referee Endicott has set a hearing on this for August 15, after all creditors have been notified. Mrs. Fox is president of the AllContinent Corp., which Fox, according to his own previous testimony here, created at the end of 1930 as an irrevocable trust for his family, putting into it "about $6,900,000" in securities. Since May 29, 1936, when Fox went into bankruptcy, Mr. Steelman and Mr. Brown have sued All-Continent Corp., Mrs. Fox and the daughters, to recapture assets Fox transferred to them. This suit is pending in U. S. District Court. It is this suit which Mrs. Fox and the daughters offer to settle for $500,000. In addition they offer to withdraw an estimated total of $41,000,000 out of the more than $55,000,000 total of creditors' claims against Fox. The affairs of All-Continent Corp. were the bone of contention through months of bankruptcy hearings in 1936 to such an extent that both Mrs. Fox and Herbert Leitsteen, veteran Fox family bookkeeper, were adjudged in contempt of court for refusal to testify. Refuse to Collect Louisiana Sale Tax New Orleans, July 18. — Following conferences and correspondence with state tax officials and attorneys, three New Orleans film exchanges have adopted the position that they are not responsible for collection of the new sales tax. Four other major exchanges are billing exhibitors for the tax, which is levied on film "usage." Attorneys for 20th Century-Fox, Paramount and Grand National have given their New Orleans exchange rulings that the exchanges are engaged in interstate commerce and are not concerned with collection of the tax. These do not question the validity of the law, but hold that the bookers are not responsible for its collection. Meantime local exchanges of M-G-M, RKO-Radio, Warners and Universal are billing exhibitors with the tax along with the film booking charge. The tax is one per cent outside of New Orleans and two per cent in the city where a special one cent municipal sales tax is imposed. A showdown on responsibility for the tax is expected August 20 when the first month's return on the tax must be made by all businesses. Thorson to Schlesinger Hollywood, July 18. — Leon Schlesinger has signed Charles Thorson to a five-year contract as a character and model man. Mr. Thorson formerly worked for Walt Disney. Delay U.M.P.T.O. Again Philadelphia, July 18. — The meeting of the United M.P.T.O.A. here, ,-cheduled for today, again was postponed, this time until Thursday. Hollywood Letter Dear Editor: President Roosevelt didn't visit any studios while here. He is the only person arriving within striking distance of the production center since schools let out who hasn't wanted to. Everybody hereabouts wishes the presidential example were as contagious in this respect as it is where and when voting's to be done. It isn't, though, which is why the publicity directors of all the studios met with Thomas Pettey of the Hays Office on Friday last to devise ways and means of keeping the American Legionnaires, due here in mid-September, from tearing the studios down. A while back the studios were viewing with alarm the plans of the Shriners for convening in Los Angeles. So a deal was made, a supercolossal parade was staged, with all the companies furnishing floats, and the guests were appeased and sent home happy, while the newsreels picked up easy copy with definite prestige value. Friday's meeting of publicity minds was for the purpose of working out a similar technique for the handling of the Legionnaires. Tales of last year's proceedings in New York had been trickling in for a twelvemonth. Optimism was at low ebb. So up spake the Warner contingent, as it so often does, to proffer the big Burbank plant for the inspection of the veterans. The plan is to shut down production for a day, save a skeleton crew which will go through the motions of making scenes for something or other, and the buddies are to be invited, en masse, to come and see the wheels go 'round. At last report no other plant, conscious as are their agents of the direct advertising value to Warners of this wholesale hosting, had put in a competing or matching bid. Among the summer's visitors checking in at this office during their stay are Mr. and Mrs. Charles Swiercinsky, who operate the Major theatre at Washington, Kan. Mr. Swiercinsky's call was due, he said, to a 17year-old interest in Quigley Publications and a resultant determination to see some of the folks. It was that long ago when he signed his first subscription order and he hasn't missed a whirl of the presses since. Another visitor, nameless here for cause, operates seven theatres in as many Chicago neighborhoods. The best business is by one, in the heart of the colored district, and its patrons work for the WPA, which hasn't cut salaries. They like, incidentally, serious dramas and outdoor action pictures, no comedies of any kind. Why? Exploitation reaches both zenith and nadir in this intensely cinema-conscious area. The advertising campaign for "Marie Antoinette" at the sedate Carthay Circle would do honor to Cartier. It will get into the sourcebooks. Yet the same newspaper page that carries the impeccable "Marie Antoinette" display brings into the home a fleshly enticement paid for by the New Follies theatre, which profferes "burlesque as you like it" and (as printed in a box alongside a quasi-nude) the "famous burlesque comedian, Joe Yule, father of Mickey Rooney, picture star." Sex rears its costly percentage in price scales governing employment of he and she talent for the more rigorous chores imposed by the outdoor films just now in favor. He will take $11 a day for straight horseback riding, $16.50 for pretending to be the star while doing the riding, $35 for falling off, being dragged or shot off, departing the saddle in any fashion. She starts at $35, tilts the ante to $50 for leaving the steed's back, but will crash an automobile for the same figure, although she demands $75 for skidding one — per skid — and $100 for turning over. High diving starts at $35 for 35 feet and goes up, indefinitely, at $1 a foot. The figures are furnished by Samuel Goldwyn's Al Vaughn, who had to find them out before "The Lady and the Cowboy" could get started. M-G-M has bought 110 new arc lamps equal to Technicolor requirements. They had 45. . . . Paramount has built a new $25,000 film library building on the lot. . . . Dark Canyon Road, Warner studio link with the outside world (except by way of Universal^and how that hufrt) is open again after being closed since the flood. . . . Next really big construction news out of here will be about NBC's place at Sunset and Vine, already stopping traffic at that crossroads of this small world. William R. Weaver English Union May Seek National Deal London, July 18. — The National Association of Theatrical and Kine Employes will discuss a resolution of the management committee asking the power to initiate and conduct negotiations to establish a national wages and hours agreement with studios and theatres, at the annual conference opening next Monday. The report of the year's work published today by the union, indicates a record membership of 16,000 with 11,213 new members added during the past year. Paramount 's British Plans to Be Delayed Paramount plans to make no further production or distribution commitments in England for another four to six months, the company stated yesterday. The three pictures already announced will form a working nucleus during the period and plans for the acquisition or production of additional pictures will then be formulated. David Rose, supervisor of the company's British production activities, will return to New York from the studio Thursday or Friday and will sail for London next week. U.S. Firms Listing 8 For Multiple Credi (.Continued from page 1) ists, Universal and 20th Century-Foj The first triple credit release wa M-G-M's "A Yank at Oxford." Virtually all companies are aimin their British production at the worl market, Mr. Allport said, but whethe the new requirements will work 01 depends on how the larger bud films are accepted outside the Uf Kingdom. It is only through wt distribution that the American coir panies will be able to recoup their ir vestments in British production, r. pointed out. On the basis of approximately 5C features exported to Great Brita; from America last year, the Amer can companies will have to make \ singles or 45 doubles to meet the r^ quirements, he said. This represem a minimum expenditure of about $6 500,000, but actually the total wi| amount to a much larger figure, Y said. Single Credits for Warner A number of single credit films ha\ been produced since the new act b< came effective, and Mr. Allport's is formation is that Warners intend \ continue making single credit flirt, rather than risk a larger investmen Regarding the Anglo-America trade treaty, on which discussior have been started in Washington, M Allport said that industry circles i London have heard that the negotij tions are moving "very slowly" an no prediction is ventured as to rf date of its consummation. The Brr ish industry is not greatly intereste in the treaty, he said, intimating th; British interests generally are avers to considering concessions, especia'l since the Dominions must be take into account. Not Limiting Budge\ In England — Schena London, July 18. — Joseph I Schenck, chairman of the board ( directors of 20th Century-Fox, dt clared here today that he has no oi jection whatever to spending £150,0C (about $750,000) on a British pictur if the result can profit the America and British markets. He said he wd interested in having Marie Tempe; star in "Old Folks at Home," to t produced here. He declared his corr pany will not set up its own studic in England as long as there is spac available to rent. Mr. Schenck will fly to Paris t( morrow to meet Darryl F. Zanucl vice-president in charge of productioi who is vacationing. "Antoinette" Museum Has 22,000 Visitor A total of 22,000 visitors to tb "Marie Antoinette" museum at th Astor Theatre since it was opened t the public last Thursday was reporte by M-G-M last night. More tha 11,000 persons were admitted over th weekend, it was said. Carl E. Milliken of the Hays offic addressed several hundred educators! a special gathering at the theatre yes terday afternoon. He called the dis play a "pioneer piece of work" an stressed its educational value. In th gathering were teachers from through out the United States and Canada.