The Supreme Court on Monday stayed the Karnataka High Court’s directive requiring multiplexes to maintain a “comprehensive and auditable record” for every movie ticket sold. The direction had been issued by a division bench of the high court on September 30 while hearing a plea concerning the cap on cinema ticket prices at ₹200 under the Karnataka Cinemas (Regulation) (Amendment) Rules, 2025.
A bench of Justices Vikram Nath and Sandeep Mehta, hearing a plea by the Multiplex Association of India, issued notice to the Karnataka State Film Chamber of Commerce and others, seeking their response within four weeks. “In the meantime, the effect and operation of the impugned order shall remain stayed,” the court ordered.
The bench, while acknowledging the broader context of the case, remarked that the film exhibition industry was already struggling. “As it is, the cinema is declining. Make it more reasonable for people to come and enjoy. Otherwise, the halls are empty,” Justice Nath observed, adding that the ₹200 ceiling on ticket prices appeared “reasonable.”
The top court clarified that the single-judge bench of the Karnataka High Court, which had earlier stayed the 2025 amendment capping ticket prices, was free to continue hearing the matter.
The single-judge bench had on September 23 granted an interim stay on the state government’s notification that sought to fix the upper limit of cinema tickets at ₹200. However, when the case reached the division bench, it modified the order, observing that an “interim arrangement” was necessary to protect financial interests pending final adjudication.
The division bench directed multiplexes to maintain a detailed record of every ticket sold, including the date, time, mode of booking, payment details, amount collected, and GST component. It also mandated issuance of digitally traceable receipts for cash transactions and required that daily cash registers be countersigned by the multiplex manager.
The matter was posted before the high court for further hearing on November 25.
With the Supreme Court’s stay, the division bench’s directions will remain in abeyance until further orders, while the single-judge proceedings on the validity of the 2025 amendment continue.
