SR PRABHU EXPOSES 10 UNKNOWN SHOCKING TRUTHS ABOUT TAMIL FILM INDUSTRY

A shocking realization came when it was looked into as to why the ownership was not transferred to the theatre owners - that the agreements were merely service agreements, and that the producers/distributors owned no projectors. Also, the agreements said that they may buy equipment from elsewhere if they felt like it, but only after informing the DSPs a minimum of six months before such purchase. If the contract was breached, a clause also provided for damages of Rs 10 lakh payable to the DSPs. (The E-Cinema projector itself cost only Rs 6 lakh). Such was the choking nature of the agreements. When the agreements of many came to an end, many signed new, one-sided contracts after receiving old/new projectors, bulbs, sound systems etc.