The Tamil Nadu Film Distributors’ Association said on Thursday that it would initiate action against producers who took money through distribution rights for their films and then released them on OTT platforms.
“If producers cause any financial loss to distributors after receiving funds from them, we will take steps to recover the money and even pursue legal action against them,” association president T. Rajendar said in a statement.
The association again appealed to the State government to abolish the 8% local body tax. The burden fell on filmgoers, who had to pay for it through ticket prices, it said.
Addressing the recent developments, including the release of a few Tamil films on OTT platforms, the association said smaller films would lose out because only films that featured big stars and that came highly recommended would find a place on these platforms for release.
“We have always supported producers and theatre owners. While the industry has been affected by COVID-19, we expect theatres to be reopened soon,” the statement said.