Flagging the high cost of tickets and other utilities in multiplexes, the Supreme Court on Monday warned that cinema halls will have to run empty in future if the rates are not brought down.
Presiding over a two-judge bench, Justice Vikram Nath said this as it paused the conditions imposed by the Karnataka HC while upholding the stay on the state’s decision to cap movie tickets at Rs 200.
Issuing notice on the appeal by the Multiplex Association of India (MAI), Hombale Films LLP and others, the bench, also comprising Justice Sandeep Mehta, ordered “in the meantime, the effect and operation of the impugned order shall remain stayed”.
A single judge of the HC had on September 23 stayed the operation of the Karnataka Cinemas (Regulation) (Amendment) Rules-2025, which sought to cap movie tickets at Rs 200.
On appeal by the Karnataka Film Chamber of Commerce, a division bench of the HC on September 30 upheld the single judge order but imposed certain conditions.
The HC asked multiplexes to maintain an auditable record of every ticket sold, including mode of booking and payment. It also directed digitally traceable receipts be issued and daily cash registers be countersigned by the manager-in-charge.
The HC directed that if it finally upholds the state’s decision, all amounts collected through electronic means during the pendency of the ligation must be refunded to the consumers.
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Hearing the appeal filed against the HC order through Advocates Kanu Agrawal, Amit Pai and Khaitan and Co, Justice Nath said “you charge 100 rupees for a water bottle, 700 rupees for coffee…!”
Appearing for Hombale, Senior Advocate Mukul Rohatgi said, “Taj will charge Rs 1,000 for coffee, can you fix it?”
Justice Nath, however, said it “should be fixed”.
Rohatgi contended that “it is a matter of choice”, to which the judge said, “As it is, the cinema is declining. Make it more reasonable for people to come and enjoy. Otherwise, the halls are empty.”
“Let it be empty, this is only for multiplexes. You can go to the normal ones. Why do you want to come here only,” submitted Rohatgi.
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But Justice Nath pointed out that “there are no normal ones left…we are with the division bench that it should be Rs 200”.
Rohatgi argued that the conditions ordered by the HC were “unworkable”.
Appearing for MAI, Senior Advocate Shyam Divan contended that the relevant statute did not empower the state to fix ticket rates.
The court posted the matter for further hearing on November 25.
