Single screen theatre owners plan ‘Diwali blackout’

The single screen theatre owners claimed that they are running losses,especially given their low ticket rates. A chunk of their profit is spent towards maintenance of halls in terms of picture and sound quality,seating,staff salary and hygiene. “As a result,561 of the 1,080 single screen theatres in Maharashtra have shut down in the last decade,” pointed out Manoj Desai,the owner of the iconic Maratha Mandir in Mumbai Central.

The single screen owners rue the fact that multiplexes,in the first five years,receive tax rebate -— 100 per cent exemption for first three years followed by 25 per cent tax payment in following two years. However,after the first five years,even multiplexes — Mumbai and Thane alone are home to 150 multiplex screens — pay 45 per cent entertainment tax,but they do not intend to join the strike. Single theatre owners attract a bulk of the lower to middle class movie-goers since the ticket price ranges between Rs 40 and Rs 150 compared to multiplexes where prices can be as high as Rs 375.

“The ones that have not been sold off to real estate developers are operating as marriage halls or community centres,” said Desai. Recently,Liberty cinema in New Marine Lines and Edward theatre in Dhobi Talao hosted live entertainment acts.

The association is demanding that the entertainment tax be done away with as is the case in several states,including Rajasthan and Punjab. However,they are prepared to settle for a sizeable concession. Another demand of the association relates to restriction that stops single screen owners from selling off their business.

“Not all theatre owners’ children want to carry on the business. This rule limits us from selling off the business to parties interested in taking the legacy forward. Instead,we are forced to sell our properties to real estate developers or lease it out for other purposes,” said Vidhani.

The strike is indefinite and is likely to dampen the festive mood,especially in small towns,as several big-ticket films are scheduled to release around that time,including Karan Johar-directed Student of the Year,Viacom 18’s Son of Sardar with Ajay Devgn in lead and Yash Chopra’s untitled next.

The alleged clash between the latter two further threatens to affect movie business as it is being said that Yash Raj Film is working towards opening Chopra’s film in close to 3,000 screens across India in an attempt to edge out Son of Sardar. While Viacom 18 CEO Vikram Malhotra refused to comment,an official said their strategy will not change since they are sure of their film and also that YRF is yet to announce their final date of release. (inputs Priyanka Pereira)