The Supreme Court of India on Monday stayed the Karnataka High Court order directing multiplexes to maintain comprehensive and auditable records for every movie ticket sold. This order was passed by the High Court’s division bench in late September as part of ongoing litigation surrounding the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, which sought to cap cinema ticket prices at ₹200.
A bench of Justices Vikram Nath and Sandeep Mehta heard a plea filed by the Multiplex Association of India challenging the division bench’s order. The Supreme Court issued notices to the Karnataka State Film Chamber of Commerce and others, seeking their responses within four weeks, while temporarily staying the effect of the High Court’s record-keeping directive. The stay means multiplexes are not currently required to maintain the detailed logs as ordered, pending further judicial review.
During hearings, the Supreme Court expressed concern over the rising cost of cinema tickets and snacks in multiplexes. The judges observed that exorbitant pricing—with ticket costs running as high as ₹700 and water bottles priced at ₹100—could drive audiences away, resulting in empty halls. The bench reiterated support for the ₹200 ticket price cap cited by the Karnataka High Court’s division bench but highlighted the need to ensure affordability to revive cinema attendance.
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The record-keeping order from the Karnataka High Court had required multiplexes to maintain detailed transaction records including date, time, mode of booking, payment details, amount collected, and GST components. Cash sales were to be backed by digitally traceable and time-stamped receipts countersigned by a multiplex manager. However, multiplex operators argued that complying with these directives was impractical, especially due to the predominance of online bookings and operational difficulties in managing cash transaction audits.
With the Supreme Court’s stay in place, the battle over the enforceability of the ₹200 price ceiling and record-keeping requirements remains unresolved. The High Court’s single judge bench, which earlier granted an interim stay on the 2025 Amendment Rules, may continue hearing the matter independently. The case epitomizes the complex balancing act between protecting consumer interests through price regulation and safeguarding the financial viability of multiplex operators.
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