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CHINESE GOVERNMENT CHARGES THEATERS WITH FRAUD

June 2, 2014 by · Leave a Comment 

In what appears to be an expanding scandal, seven Chinese movie theaters have been banned from screening new movies after two film associations found that they were cooking their books by keeping one set of figures showing actual number of tickets sold and another set with far lower numbers. The double-accounting system, said the China Film Producers’ Association and the China Film Distribution and Exhibition Association, was intended to avoid sharing box office earnings with film production companies. The Xinhua news service reported that another movie theater had reported falsified box office figures and three others were punished for screening “unlicensed” movies. In February similar punishment was meted out to nine other movie theaters.