The Supreme Court on Monday stayed the Karnataka High Court's order asking multiplexes to maintain a comprehensive and auditable record for every movie ticket sold.
The high court's division bench had passed the direction on Sept. 30 while hearing a plea against an order of its single judge that had granted an interim stay on the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, which sought to cap cinema ticket prices at Rs 200.
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A plea challenging the division bench order came up for hearing on Monday before a bench of Justices Vikram Nath and Sandeep Mehta.
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"This should be fixed," the bench said, while observing that multiplexes were charging Rs 100 for a water bottle.
"As it is, the cinema is declining. Make it more reasonable for people to come and enjoy. Otherwise, the halls are empty," the bench said, adding,
"We are with the division bench that it should be Rs 200." The bench agreed to hear the plea filed by Multiplex Association of India and others.
It issued notice to the Karnataka State Film Chamber of Commerce and others seeking their responses on the plea within four weeks.
"In the meantime, the effect and operation of the impugned order shall remain stayed," the bench said.
The top court said it would be open for the single judge to proceed with the matter.
The single judge had passed the order on Sept. 23 on the pleas challenging the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025, which capped the ticket price at Rs 200.
The single judge had granted an interim stay on the amendment until further orders.
When the matter came up before the division bench, it said an interim arrangement was required to be made to protect the financial interests of all concerned, pending final adjudication of the petition.
It passed directions, including that multiplexes would maintain comprehensive and auditable records for every ticket sold and the records must include the date and time of sale, mode of booking, mode of payment, amount collected and the GST component.
"Digitally traceable receipts must be issued for all cash transactions, and daily cash registers must be countersigned by the manager-in-charge of the multiplex," it said.
The division bench said that for cash-based ticket sales, multiplexes must issue numbered, time-stamped receipts to the consumers.
It posted the matter for further hearing on Nov. 25.
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