Several film producers and the Multiplex Association of India have approached the Karnataka High Court against Karnataka’s new rule capping the price of movie tickets at Rs 200, which came into effect last Friday as part of an amendment to the Karnataka Cinema (Control) Rules 2014.
The cap will be enforced from the time the rules are published in the official gazette. Multi-screen premium cinemas with fewer than 75 seats are exempt from the price cap.
A single-judge bench of Justice Ravi V Hosamani heard the matter on Tuesday.
Appearing for the Multiplex Association, senior advocate Mukul Rohatgi questioned the rationale for fixing prices at a particular point when a customer may be willing to pay more for a luxury. Drawing an analogy with aeroplane seats, he argued that just as it could not be mandated that all plane seats be economy seats, movie tickets also ought not to be capped in such a way.
Senior advocate Dhyan Chinappa, appearing for Hombale Films, said the new regulation had been added to a rule related to the setting up of ticket booths, with no connection to the pricing of tickets. He argued that investments of filmmakers had not been taken into account while calculating the new price, asserting that there had not been application of mind in this case.
Appearing for another petitioner, senior advocate D R Ravishankar stated, “The fundamental question is whether the rule is traceable to any of the powers within the statute… In order to say that we are fixing this price, why did the government not think about telling all the hoteliers who are also regulated by similar regulations that you should not charge more than an Indira Canteen. Why not, if this is the kind of legislation? This is what is in the ambit.”
Making submissions on behalf of the state, Additional Advocate-General Ismail Zabiulla said the step had been taken in the public interest. After hearing the parties, the court reserved its interim order in the matter.