The Connecticut labor news., 1921-09-16
Combination Indicted Following Investiga- ton Has Fought Union Labor a II d Kept Theaters at Its Mercy.

 petition i'll violation of the Federal Trade Commission act and the purchase of stock in competing concerns in violation of the Clayton antitrust law are charges ob- tained in formal complaint issued by the Federal Trade Commission against the Famous Players-Lasky corporation and eleven other respondents, producers and distributors of Paramount Aircraft and Realart pictures.
 Some interesting information is dis closed in the complaint. showing that the motion picture industry has become one of the most gigantic trusts ever formed, extending to all parts of the habitable earth
 The complaint sets out that as a re- suit of the conspiraces and cOmbina- tions, recited in detail, the Famous Play ers-Lasky corporation IS now the largest concern III the moving picture industry and is the biggest theater owner in the world, having title to more than 400 theaters in the United States and Canada, and has numerous other theaters affiliated with 1t.
 It has formed producing companies in Great Britain, France, Belgium, Spain, Scandinavian countries, Poland CzeCho- Slovakia and $3,000,000 corporation for the production and distribution of pie lures in India. It has branch offices in 28 of the principal cities of the United States and Canada, in London, Sydney, Wellington, Mexico City. Paris, Copen hagen, Barcelona, Buenos Aires, Rio de Janciro Santiago, Havana, Tokio Shanghai and Manila, and it has 40 sub- sidiary corporations engaged in either producing, distributing or exhibiting mo- ton pictures.
 The corporation distributes more than 30OO0 films every week throughout the United States and foreign countries. During the calendar year 1920, says the complaint, there were approximately 18,000 theaters exhibiting motion pic lures in the United States, and that about -20000000 people every day spent approx imately $4,000.00 in cash to see exhibi- tions of motion pictures This sums Up a grand total of $1 $1,460,00O,O00 for the year.
 So strong had become the Famous Players-Lasky combine that 6,0O0 Amer ican theaters showed Paramount-Art- craft pictures exclusively, and that about 67 cents of every dollar that was paid to enter motion picture theaters was paid Ato enter theaters showing Paramount and aramount- Aircraft pictures only.
 Ut IS told how first shoWings of film ware released in 38 'key cities" in the United States before distribution is made to other theaters Feature pictures are not released to any theater that does not agree to show films of the corporation kclusively, thus depriving all independ-
 producers of market for their pic
 S unless they have complied with the
 Inns of the Zukor-Lasky trust.
 The complaint declares that Adolphe Eul<or and Jesse L. Lasky combined and wConspiTed to secure control and nonopo- lize the motion picture industry, and to restrain, restrict and suppress competi- t1On Tn interstate commerce in motion picture films. Certain independent pro- ducers have entered into agreement for release of their films as Paramount and Aircraft pictures on terms dictated by the trust. These independents are Thos. H. Ince, Mack Sennett, Cosmopolitan (Hearst) production Mayfower produc- tions, George Fitz Maurice, Sidney Chap lin, Lois Webber, William D. Taylor, George Milford and William A. Brady
 Zukor and Lasky incorporated the Realart Picture Corporation as a sepa- rate business to conduct selling agencies for theater managers who had declined to deal with the trust. conCealing the ownership and holding out to the trade and the public that Realart was in no way affiliated or connected with the trust.
 Acquisition of moving picture theaters through coercion and intimidation of owners into selling after threats of erecting competing houses and of in terfering with their film service is charged in the complaint This usually resulted in the trust being granted ex- elusive rights to book pictures in these theaters. This policy has resulted in pie lures of independent producers being kept out of many big cities of the country.
 Having secured what amounts to prac- tically a monopoly of the moving pic ture business, the trust, according to the Federal Trade Commission, began to drop it's star performers and employ cheaper talent, with the result that Par amount and Aircraft pictures have great ly deteriorated in quality At the same time drive was inaugurated to cut wages of all studio employees and in the thea ters owned or controlled by the trust
 Formation of the trust resulted in such stars as William H. Hart, Charlie Chap lin, Mary Pickford, Douglas Fairbanks and others organizing their own inde- pendent producing companies. They are forced in many cities to lease thcaters in order that the public may have the op- portunity of seeing their films. None of these stars has joined in the drive to cut wages of their artists nor their stu dio employees.
 Zukor and Lasky are given thirty days to answer the specific allegations in the complaint, after which date will be set for trial of the charges before the Fed