OVERSEAS FILM SUPPLIERS

Evening Star, Issue 21583, 1 December 1933, Page 13

OVERSEAS FILM SUPPLIERS

METHODS CHALLENGED IN PARLIAMENT AN INVESTIGATION URGED [From Our Paeetamextary Reporter.] WELLINGTON, November 30. Serious allegations regarding the methods practised in connection with the film industry in New Zealand were made by members who supported a recommendation made to the House by the Industries and Commerce Committee that an exhaustive inquiry into the film industry in all its bearings be undertaken at the earliest possible moment. The committee* reported through its chairman, Mr M'Leod, that it had had before it Mr Lee’s Film Hire Hill, but owing to the large amount of evidence preferred, and the limited time available, an investigation should be recommended. and that meanwhile the Bill should not be proceeded with. The Bill sought to prevent film hire contracts specifying minimum admission prices. There was no intention of blocking the Bill, explained Mr M’Leod, but the committee did not feel justified in putting a large number of witnesses to the expense of coming to Wellington to give evidence, in view of the fact that it would be impossible in the time at their disposal to fully consider their statements, while the committee had other important matters before it. Mr Lee accepted the report, declaring that it proved that the committee was fully alive to the situation which existed. He trusted the Government would take seriously the recommendation for an exhaustive investigation. In his own electorate thousands of people were formerly able to see a film by paying sixpence admission. This satisfied the theatre proprietor, but the American firms stepped in and insisted on the price being raised to a minimum ot a shilling. M There is no doubt,” he added, “ th?it we are being dictated to by an external combine. Films which can be seen in America for ten cents, or in London suburban theatres for 4d, can be seen here only for a shilling. Notwithstanding that the majority of picture exhibitors want the right to charge a fee in keeping with the economic circumstances of their clients, ap American combination is holding the people of New Zealand up to ransom.” Mr Fraser (Wellington Central) suggested that either the whole of the Industries and Commerce Committee, or a selection of its members, should conduct an inquiry in the recess, not to stop simply at the question of the rental of films, but to go into all the problems of the industry. The Minister in charge of the department had endeavoured to pass certain regulations to control the whole industry, but they were declared ultra vires. The whole position should be investigated, because some of the bigger people in the industry could go to the exhibitors in the smaller towns and say: “We will come in here unless you give us so much of your profits. “ That,” declared the speaker, “ comes near to ‘ racketeering.’ There should be co-ordination in the industry throughout New Zealand with a view to preventing anything in the nature of blackmail, or the holding up of economically weaker competitors, particularly in the smaller towns.” The committee was unanimous, said Mr Harris (Waitemata) that it was urgently necessary to have a full investigation into all bearings of the film industry Some years ago there was an exhaustive investigation by a select committee into this subject, and the evidence was considered so gravely urgent that legislation followed. He believed that a similar position again existed, and that, in the public interest, investigation was necessary.

Mr Langstone (Waimarino) urged the Government to deal with the most urgent point in the Finance Bill of this session.

Mr Carr (Timaru) suggested that it would not be so bad if the practice complained of related only to big pictures, but it applied to ordinary ones rented on a flat basis. It was war to the knife in the film industry. Exhibitors were compelled to enter into cut-throat competition because of the monopolistic demands of the suppliers overseas.

Mr Stallworthy (Eden) expressed satisfaction that the committee had treated the matter seriously. The report was adopted.