SEC investigating movie studios’ dealings with China

| April 27, 2012 | 0 Comments

Reuters is reporting that regulators acquire begun a probe of American movie studios and their dealings through Chinese officials. The Security and Exchange Commission has sent culture to at least five companies, including 20th Century Fox, Disney and DreamWorks Animation requesting knowledge of facts about “potential[ly] inappropriate payments” made to members of the Chinese commonwealth. The market in the pseudo-Communist race is seen as one with huge potential for US-made films, unless the state-owned China Film Group has placed limiteded limits on foreign cinema. However, in February, the assign places to agreed to loosen restrictions and let off up to 14 IMAX or 3D films a year (forward with their 2D counterparts) from the 20 movie overtop on international media. Around the sort time, DreamWorks announced it would be building a production studio in Shanghai with participation from several large Chinese media companies. Even Disney struck a deal that desire see the next Iron Man inscription in the beginning of a book co-produced by China’s DMG Entertainment. The quick shift in tone must have raised some eyebrows with watchdogs, and the SEC has responded by hitting up the studios for info from one side of to the other the last few months. Obviously, we’ll subsist keeping an eye on this to suffer how it develops.
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