Motion Picture Herald (May-Jun 1944)

Schine Case Is short product Ordered to Trial At Buffalo May 31 PLAYING BROADWAY Week of May 22 ASTOR Defense moves to defer trial of the Schine antirust suit at Buffalo until Autumn were unavailing tt a preliminary hearing Monday before Federal (|udge John Knight in U. S. District Court. Judge Knight, however, granted a 10-day stay jntil Wednesday, May 31. There would be no inrrruption of pre-trial preparations by either the Government or the defense, attorneys indicated. This partially refuted reports earlier in the week nat a settlement of the Schine action might be ■ear. However, attorneys for the circuit remained i Buffalo and there were reports of conferences mong them and Albert Boggess, U. S. attorney tho is prosecuting the case. Whether these meetings were confined to the .iscussion of points which might be stipulated by ;oth sides, or whether they concerned discussions ■f a new decree or other settlement could not be earned. Judge Knight set the May 31 trial date over the bjections of Seth Richardson, Washington attor, :y, who has been engaged bv the circuit as trial f.vvyer. He recently represented the Pullman Com»any and American Medical Association in imporant anti-trust actions. Although asking deferment until the September term of the court, Mr. Richardson accepted the 10lay stay. He said that he had left his spectacles in %\'ashington. In moving for the September trial Mr. Richardion again opposed the Government's recent dismissal of Columbia, Universal and United Artists is defendants. Judge Knight affirmed the dismissals, however, after listening to arguments in their support from Louis Frohlich, attorney for Columi oia. The court directed the companies to supply "ecords needed by the defense. Mr. Richardson further charged that subpoenas -equiring the distributors to present records for evidence were just being received and expressed loubt that they could all be gathered and shipped :o Buffalo by May 31. He said that the circuit night have to gather "four or five truckloads" of defense records. It also was learned that Willard McKay, forTier Schine attorney, had returned to the case. Edmund McCarthy, New York attorney, is also a co-counsel for the circuit. Five of Eight E. M. Loew Cases Are Concluded Five of the eight anti-trust actions filed against 'major distributors by E. M. Loew. Boston circuit operator, in January, 1940, were disrnissed in final stipulations entered in Federal District Court at Boston this week. Notice of withdrawal was filed May 1 for the actions, which sought damages of 4400,000 in behalf of Loew's Drive-In theatre, ,$225,000 for the Governor Ritchie theatre ; $450,000 for the Lynn Open Air Theatre; $150,000 for tthe Mt. Vernon Corporation and for the Miami Drive-In. Warners, Paramount, MGM and 20th CenturyFox were defendants. MGM was excepted, however, from the Miami Drive-In action. It won a jury verdict, along with Columbia, RKO, United Artists and Universal, last year, in this case. Two E. M. Loew actions still await jury trial. |They are in the name of E. M. Loew Corporation for $120,000 damages and the Winchester Theatre Corporation for $300,000. An advisory master's report in favor of the plaintiff was filed in January. Ayers to Enter Ministry After demobilization, Lew Ayers, long a Hollywood star, will enter a seminary and then go into a Congregational pulpit, it is reported from Hollandia, Dutch New Guinea, where he is now stationed with the Army as an assistant to a chaplain. The onetime "Dr. Kildare" of MGM's screen series, arrived^ werseas last February a staff sergeant and took a "bust" to private in order to become a chaplain's aid. He has signed all his Army pav over to the Red Cross. Screwball Squirrel MGM Road to Victory WAC Feature: See Here, Private Hargrove MGM CAPITOL Colorful Colorado . . MGM Road to Victory WAC Feature: Gaslight MGM CRITERION Stars and Violins Universal Varga and His Girls Universal Road to Victory WAC Feature: The Cobra Woman. . . . Universal GLOBE Tick Tock Tuckered Vitaphone Feature: The Hitler Gang Paramount HOLLYWOOD Our Frontier in Italy Vitaphone Rudy Vallee's Coast Guard Band Vitaphone The S'wooner Crooner Vitaphone Feature: The Adventures of Mark Twain Warner Bros. PARAMOUNT Popular Science, No. 3 Paramount Cilly Goose Paramount Heroes on the Mend Paramount Road to Victory WAC Feature: Going My Way Paramount RIALTO Donald's Gold Mine RKO Radio In the Newsreel Paramount Road to Victory WAC Feature: The Scarlet Claw Universal ROXY Mighty Mouse Meets Jekyll and Hyde Cat . 20th Cent.-Fox Fun for All 20th Cent.-Fox. Reward Unlimited WAC Feature: Pin-Up Girl 20th Cent.-Fox STRAND Bugs Bunny Nips the Nips. ... Vitaphone Backyard Golf Vitaphone Road to Victory WAC Feature: Between Two Worlds . . Warner Bros. Sentencing of Zevin Delayed to June 7 Federal Judge William Bondy in New York last week postponed the sentencing of Isadore Zevin, former secretary to George E. Browne, convicted ex-president of the IATSE, until June 7. Zevin, was indicted on a nine-count perjury charge by a special Federal grand jury probing racketeering in the film industry, when he testified that a special slush fund of $1,500,000 collected from members of the IATSE was used to pay salaries and expenses of IA representatives. According to the Government, Zevin knew that this fund was being used for the benefit of Browne, his personal representative Willie Bioff, both convicted for conspiracy to extort more than $1,000,000 from the industry, and six mobsters from Chicago, who were convicted on a similar charge last December. Zevin pleaded guilty on the eve of the extortion trial, which started last October. He faces a maximum of 60 years in jail and fines totalling $42,000. Russian Film Opens "Taxi to Heaven," one of the few musical comedies produced by Russian studios since the war, opened at the Stanley theatre in New York Wednesday. The picture was produced by Frederick Ermler, directed by Herbert Rappaport from a script by the Russian humorist. Eugene Petrov. Master's Report Favors Majors In Detroit Case An important anti-trust victory was seen bv distributors in a special master's report filed this week in Detroit on the charges filed in 1941 by Greater Detroit Theatres against Cooperative Theatres of Michigan, Inc., and six distributors. Donald L. Quaife, special master, recommended dismissal of the action in a 75-page report submitted May 17 to Judge Arthur J. Tuttle, in United States District Court. He found no support in the lengthy testimony for Greater Detroit Theatres' contention that a secret agreement existed between distributors and Cooperative Theatres to obtain a stranglehold on subsequent run exhibition in Detroit. The master also ruled that the Robinson-Patman Federal Fair Price Act did not apply to the film industry. He held that the legislation was specifically drafted to prevent price discrimination between purchasers of commodities of like grade and quality. Not Buyer of Commodity A license of motion picture film is not a purchaser of a commodity, and accordingly there is precedent to show that the act could not be applied, Mr. Quaife ruled. There was no proof, the master said, of the plaintiff's charge that Cooperative "by virtue of its size and business methods, obtained a stranglehold on the business of exhibiting motion pictures in Detroit and environs, with the result that nonmember exhibitors like the plaintiff cannot obtain film for their theatres except upon late runs and discriminatory price terms." The buying and booking cooperative, Philip Gorelick, operator of the Carmen theatre in Dearborn asserted, prevented him from obtaining better than fifth run behind the Circle., Midway, Warren and other Cooperative members. Joseph Stoia, operator of the Midway and Circle, and Lew Wisper and Frank A. Wetsman, operators of the Warren, and other Cooperative theatres were co-defendants. A cross bill charged the suit was part of an effort by Ray Moon and Mutual Theatres, Inc., his rival booking group, to undermine the position of Cooperative. Loew's Dropped from Suit Distributor defendants included RKO, Warners, 20th Century-Fox, United Artists, Columbia and Universal. Loew's, Inc. was dropped after it had granted a run to the plaintiff. Mr. Quaife ruled that there was no proof of violation of the Sherman Anti-Trust Act. Legality of the Cooperative was also upheld by the master, who pointed out that it had not been ruled illegal in any previous court tests. Mr. Quaife held that the plaintiff had not shown that he suffered any actual or threatened injury resulting from admission price restrictions in film contracts. Nor did he find any evidence that such clauses were invalid. Defendants were represented during the hearings by Rockwell T. Gust, of Detroit and John Caskey, and Willis Newcomb, New York attorneys. Ralph E. Routier was counsel for the defendant. Gailmor Will Address Cinema Lodge Members William S. Gailmor, radio news analyst on Station WHN, New York, and writer on international affairs, will be the guest speaker at the annual inaugural meeting and installation of new officers of Cinema Lodge, No. 1366, B'nai B'rith, next Wednesday evening in the Sun Room of the Hotel Edison, New York. Philco Declares Dividend The board of directors of Philco Corporation last week declared a dividend of 20 cents per share on the common stock, payable June 12, 1944, to stockholders of record May 27. MOTION PICTURE HERALD, MAY 27, 1944 53