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Wednesday, February T, 194S PICTURES INDIES CRACK WHIP ON RAW FILM Chi Court Washes Out Anti-Trust Liability of AH Majors in Thalia Suit Chicago, Feb. 6. ♦ In a sweeping decision washing out all liability of all major dis- tributors in $3,000,000 Thalia theatre anti-trust suit, Judge William H. Holly, exercising unusual powers' of referee in Federal cases, entered a judgment on Monday (5) of not guilty for 20th-Fox and Loew's, Inc., thus disregarding the jury's verdict of guilty last week, on the grounds that evidence of conspiracy brought by plaintiff counsel against the two distribs was insufficient to justify jury's findings of. $105,000 damages for Thomas A. Murray, former owner of the Thalia. Judge Holly, who sprang the sur- prise judgment, when defendants' counsel appeared to make motions for a new trial, following a tedious two-week hearing, said he had been reviewing the record of the case all week, and that although he disliked setting aside the jury.'s findings, felt Harold W. Norman, Murray counsel, had complicated the case unneces- sarily by dragging every exchange in town into it. He also said that Murray's case was hurt by charging distribs with conspiracy to keep first-run pix from him when he wa3 being supplied with them all the time. Holly hod already dismissed United Artists, Warners, RKO, Para- mount, Universal. Columbia, Mono- gram and others, in a prior decision. However, four defendants were, left in the case although date for hearing for a new trial for them will be set by Holly later this week. They are Milo Theatres Corp. and its president, John L. Manta; Van A. Nomikos, operator of 14 Chi the- atres, and Henry Elman of PRC and Capitol Exchange. In reviewing the case, according to Holly, there was no evidence to justify jury's findings that distribs were guilty of the same type of con spiracy charged against remaining defendants. "I have given thought to this case," Judge Holly said. "Plaintiff has received a judgment in the amount of $105,000 and he should not be deprived of that, nor should he be put to the expense of fighting the appeal unless arguments war- ranted. However, I have gone over the evidence carefully and find Fox sold regularly to Thalia right up to *39-'40 season, when Murray closed down, and quit selling only after some of Murray's checks came back marked insufficient funds. As for tioew's, they became . angry with him when he kept the picture 'The Huddle' on the shelf in the summer time and they rented it to the Milb (Thalia's rival) instead." Special Event Shows Ease Radio Squeeze For Indie Producers Unable to buy choice spots, which are virtually, sewed up by local and national sponsors, independent film producers are turning more fre quently to special-event radio pro- grams in exploiting product. Pro gram directors on many stations, it is reported, are prepared to open up sustaining time for film compa- nies if suitable ideas are presented With spot: buying for "Tomorrow the World" opening in Cincinnati sharply limited, Martin Starr, United Artists' radio director, set special event programs over stations WCPO and WCKY. In case of WCKY, UA wanted to buy time on the one pro- gram but found that airer sold-out An interview with Lester Cowan (scripted by Starr) was used on the show, however, with the film re ceiving a plug on the 15-minute Program without cost. _ Most of the major film companies have choice spots tied up the year round, with independent producers mainly affected by the time squeeze. Sheehan Critically 111 Hollywood, Feb. 8. Winfled Sheehan is critically ill in • local hospital, Hl» "Wdcenbacker'MIlm U about eomplekd.for ZOth-Fox releas*. Washington Rejects Pickford on Stock Hollywood, Feb. 6. Ed Raftery has apprised Mary Pickford that she can get raw film only for "One Touch of Venus," and that Washington rejected her. film quota for three pictures she intends doing this year. Mary''Martin is due here in March to recreate her "Ve- nus" role, to be co-produced with Sam Coslow. Miss Pickford complains she pio- neered the picture industry but Washington is adamant. Understand Fred MacMurray, Preston Sturges and kindred new independent pro- ducing units are in similarly embar- rassing position tor raw stock, espe- cially since distributing companies are likewise curtailed. Discrimination Unabated-SPU Hollywood, Feb. 6. A new complaint was filed Mon- day (5) by the Screen Players Union with the War Labor Board, charging studio discrimination against SPU members continues. In a wire to Gene Green, WPB dis- putes chief, Mike Jeff era, SPU busi- ness representative, claimed that last Friday's strike was called off with the understanding that discrimina- tion would end with removal of picket lines from studios. Jeffers disclosed that unemploy ment insurance of extras who failed to report for work was being held up, and calls for $5.30 extra players are being filled by V. S. Employ- ment office. Screen Actors Guild sent bulletin to its members urging them to report any employment of non-Guilders for acting . work. SAG declared it would take prompt action to en- force its contract. Meanwhile, de- cision is expected soon by National Labor Relations Board on appeal of producers from SPU certification and intervenor filed by SAG stat- ing decision is confused as SAG claims exclusive jurisdiction over all acting work. Unless certification is confirmed, NLRB will probably order hearings in Washington to determine whether certification will be clarified to eliminate overlapping jurisdiction of actors between SPU and SAG. New move is. likely to effect a compromise between SPU and SAG setup, with both groups being queried on the deal. It's hinted that SPU may be offered an extras union up to $25 a day with automatic waivers on $35, adjustments. .etc ... If agreement is made, SAG would probably assist SPU in getting im- mediate closed shop and turn over certain finances to aid union getting started. RKO JOINS MEX COS. TO DO STEINBECK PIC Mexico City, Feb. 6. RKO is joining with the Aguila and Fama producing firms to finance and produce John Steinbeck's"The Pearl of La Paz." Mexican com- panies will furnish production facili- ties, crews, technicians and equip- ment. RKO will handle world-dis- tribution of the film, which will be made in both Spanish and English. For the latter version Hollywood actors may be brought south to top the cast. WB Sights on Nips Again Hollywood, Feb. 6. Warners will aim another dra- matic raid at Tokyo in its forthcom- ing picture, "Target Japan," to be produced by Jerry Wala and direc- ted by Bryan Foy. Script calls for the same male cast that appeared in "Objective Burma," headed by Errol Flynn. IN POSITION FOR I Black Market in Uncensored Pix 'BEST' DISTRIB Uncovered by Pennsy Censors Recognition of the right of inde- pendent producers to secure allot- ments of raw film in the same way as distributors through War Pro- duction. Board quotas is reported creating uneasiness among major distribs who release a large num- ber of indie films. According to in- terpretation of WPB plans, under the proposed new regulations, inde- pendent producers would be placed in a powerful trading, position since they would be able to take their film allotments to other distribs if unable to come to terms. Much, Of course, will depend on the base year to be used in de- termining allocations. If future al- locations are based on the volume of footage used by a producer from 1941 to 1944, some distribs. might lose millions of feet in the event producers change releasing outlets. The allocation problem, according to some major execs, is still clouded with disturbing uncertainties. A company such as International, for example, which produced no pic- tures until last year, might be given 12,000,000 or 15,000.000 feet from-the RKO allocation. As long as this or any other production unit releases through RKO, the latter, of course, would suffer no loss of raw stock. But if the producer is empowered to take the film allocation elsewhere the distrib would be seriously af- fected. If the 19*1 base year is. used to determine allotments, then a pro- ducer such as. Samuel Goldwyn might be allotted around 5,000,000 feet of film in his own quota, and he would be permitted to take the film with him if he changed distribs. If the 1941-44 base is used Goldwyn might be allotted 8,000,000 or 10,000,- 000 feet of film. According to film execs in N. Y., the question of determining who is to be recognized as an independent producer considered eligible for raw film allocations has yet to be de- cided. New producers may . not be granted allocation rights. In some quarters it is stated that the question of the use of a base year or years to determine allocations is not yet fully defined, although it haB been assumed that the 1941-44 period would be employed by WPB of- ficials for this purpose. - Distrib execs are uncertain about the exact position to be accorded indies, and further representations to the WPB are likely. WPB officials have intimated they plan to provide against inequitable trading advan- tages for producers in deals with distribs to avoid use of film alloca- tions for that purpose. Latest WPB decisions do not, of course, increase raw film allocations for the industry although United Artists is being granted 1,000,000 feet quarterly over the base estab- lished and Monogram Is also being a.Uoti*A.e:riM ...footage, Yank Rescue on Luzon To Be Filmed by 20th Hollywood. Feb. 6. Story of the rescue of American war prisoners on the Isl-nd of Luzon will be rushed to the screen by 20th- Fbx under the title. "California, Here We Come." ■ Bryan Foy has jecn handed a $1,500,000 budget to produce the film, based on the repatriation of Major Carl R. Ring, former Holly- wood cameraman who won an Acad- emy Award seven years ago for photographing "Lives of a Bengal. Lancer." Stress Need For New Writers Hollywood, Feb. 6. While here, Jacob Wilk, eastern production exec for Warners, is huddling with Jack Warner on a method to encourage new film writers. Wilk points to other in- dustries, such as chemistry, engi- neering, law, etc., which cull from the nation's schools annually the best potential candidates for prac- tical work after graduation. Wilk points out that Hollywood does lit- tle or nothing of the sort, but when- ever the problem arises of "we need writers" and/or "whom can we get?" the studios turn to either the flctioners, radio, the Broadway play- wrights or newspapermen. Wilk's proposal is to cull from schools and journalistic cou;\ ■; a selected few every year, bring them to Hollywood under six-month trial contracts, and thus build up a con- stantly refreshed source of writing material. The WB exec ■points out that the only personal equation that still ob- tains so far ; as the writing phase is concerned is when he negotiates with this or that Broadway play- wright. Otherwise, the Hollywood method is thoroughly impersonal so far as writers are concerned. Slash Reaches 5%; Drop of 16,000,000 Ft. Washington, Feb. 6. Studios got the bad news on their film allotments for the first quarter of the year last Thursday (1). Not quite as bad as originally expected, the slash is roughly 5%. or an over- all drop of. about 16:000,000 feet from the quotas for the final quarter of 1944. . The allotment for 11 majors - Is 255,997,440 feet, as against the .271,- 689,797 feet during October, Novem- ber and December. Other highlights of the meeting held here by industry and WPB officials: Features will be limited to 285 prints, but this is informal and is not a WPB rule. Fewer prints will mean that pix will reach the neigh- borhood houses more slowly and it will take longer for a studio to earn its nut on each pic. In cases where prints are worn out; while the pic is still making ''money, WPB will probably not stand in the way of additional prints. Question of reissues came up. Stanley Adams, head of the WPB Consumers Durable - Goods Division, (Continued on page 17) DE HAVILLAND DECISION UPHELD BY HIGH COURT Hollywood, Feb. 6. Olivia de Havllland was sustained by the State Supreme Court In her contract battle with Warners. Cali- fornia's highest tribunal approved the lower court's decision that the actress had Served out her' term of employment and was under no fur- ther obligation to the studio. Warners cqntended Miss De Havll- iand owed The company 29 weefcg'Of her time beyond the expiration of her pact as a result of various sus- pensions. Kohhnar Leaves Par Hollywood, Feb. 6. Fred Kohlmar, currently produc- ing "The Well Groomed Bride" at Paramount, obtained p. release frdm his contract and will check off the lot a month after finishing the pie- ture. His future connections will be announced later. At- Paramount for five years; Kohl- mar made numerous features, in- cluding "Take a Letter, Darling/' "Lucky Jordan,". "The Glass Key," "Let's Face ,11," "And Now Tomor- row" and "Bring On the Girls." Dorothy McGuire's Hiatus Hollywood, Feb. 6. Dorothy McGuire took a voluntary suspension from David O. Selznick's payrbll when she went east to join her husband, John Swope. Temporary parting, mutually ar- ranged, was due to a lack of suitable roles on Selznick's immediate sched- ule. •' Actress will return in autumn tor "Wings of the Dove." Philadelphia. Feb. 6. A black market in uncensored films is being set up in Pennsyl- vania, according to the State Board of Motion Picture Censors. Ac- cording to Mrs. Edna Carroll, chair-r man of the board, State investiga- tors have uncovered flagrant viola- tions of the Slate's code governing motion pictures. The violators, she said, were mainly smalltime New York dis- tributors dealing in single pictures who sought to bypass the . Peni f • censors and sell direct to exlubs in this State. . Mrs. Carroll sent a letter to the 1,200 exhibitors in Pennsylvania warning that anyone showing pic- tures without the State seal would be fined heavily. First exhib to be caught was one in East ' Mauch Chunk, said Mrs. Carroll. He Was fined and warned that another vio- lation might be dealt with mora stringently. Mrs. Carroll said that the exhib said he made the deal with the N. Y. distrib because "it was cheaper", than buying the same picturt through Pennsylvania distributors. • Ruggles Would Train English Technicians, Answers Brit Beef: Responding to outbursts in the British press on bringing American film technicians overseas, Wesley Ruggles. stated in New York last Friday (2) that he had planned to take two or three technicians along to London chiefly to train and de- velop English personnel; to- create more jobs rather than take 'em away. Ruggles, who is scheduled to leave N. Y. for England in about a week, plans starting "London Town," first under his deal with J. Arthur Rank, in July. Earlier shooting date is ngt feasible because of lack of studio spacer He may make a deal to use either the Pinewood or Denham studios if the Government, now us- ing space for storage and other pur- poses, permits. Ruggles explained that he It head- ing up his own independent produc- tion unit with Rank financing. Trad* Hark R»ft*ter*d FOUNDED BT SIMB BILVBRMAN PublUtwd Weekly by VAHETY, be. Sid Silverman, Prteldent 1(4 Weat «f th 8t., New Tork It, N. T. SUBSCRIPTION Annual. .T.T.liO"" "" VbraiiVT'.: . .fit Single Copies. .W Cente Vol.157 No. 9 INDEX Bills 47 Chatter ........,7 51 Film Reviews .. 23 House Reviews .. 20 Inside Legit '.. W Inside Music 40 Inside Orchestras 40 International ...... 17 Joe Laurie ...... 4 Legitimate 48. Literati • 51 Music- ... 40 New Acts 46 Night Club Reviews, .. 4b Obituary 47 Orchestras 40 Pictures 3 Radio 28 Radio Reviews . 38 Frank,Scully ........ .... 2 Vaudeville ................ 45 DAILY VABIBTY (Published In Hollywood or Dally Variety. Ltd.) . $1S a Tsar—111 roiwlga