CHENNAI: The Tamil Nadu Theatre Owners Association has demanded that actor Vijay , whose 50th film 'Suraa' was a total washout, compensate the theatre owners for their losses, to the tune of 35 per cent of the Minimum Guarantee (MG) amount that they paid up to screen the film.
In Chennai, a system is followed by which both theatre owners and distributors share the profits or loss that a film makes. The rest of the State, however, follows the Minimum Guarantee system.
By this method, theatre owners pay up a specific amount upfront to the distributor, and if the film makes more than the MG amount, the distributors and theatre owners share profits at an already-specified percentage, usually 50-50. This partnership system is followed usually for upcoming actors, while the MG method prevails for films of big actors.
"By the MG system, when a film flops, the losses are borne by the theatre owners solely. And the practice of screening preview shows for us before the movies are sold, was stopped more than 10 years ago. So we do not know how good a film is, until we actually buy it. We want to stop acquiring films by this method, or seek at least a reduction in the rates at which movies are sold to us," said Rohini Paneerselvam , president, Tamil Nadu Theatre Owners Association.
Such continuous losses have forced many theatres to shut down. From over 2,500 in 2000, today, the State has only about 1360 theatres.
When Rajinikanth-starrer ‘Kuselan’ had flopped in 2007, the theatre owners had similarly sought a refund, and the actor had done it to the tune of 35 % of the MG amount paid.
'Suraa', by Sun Pictures, was released on April 28. The film was produced by Murugan Cine Arts. "This film was bought at high rates because expectation were high as this was his 50th film. 'Suraa', however, turned out to be a flop, and theatres have totally incurred a loss of Rs 10 crore. Two hundred and forty theatres released this film in the State," said Paneerselvam.
The theatre owners are seeking a refund.
'Suraa' is Vijay's sixth flop in five years, and his fifth consecutive flop, after 'Vettaikaaran' (2009), 'Villu' (2009), 'Kuruvi' (2008) and 'Azhagiya Tamil Magan' (2007). In 2006, his film 'Aadhi', produced by his father SA Chandrasekar, flopped, forcing theatre owners to seek compensation. No compensation, however, was paid then. "The overall losses incurred by theatre owners because of these films totals to Rs 30 crore," said Sridhar, executive committee member, Tamil Nadu Theatre Owners Association.
"When we tried to contact the actor, he remained unreachable. If he still refuses to pay heed to our demands, we will decide our further course of action at an executive committee meeting to be held later in June," Paneerselvam added.