Re: How to lose money making a movie using creative accounting

On Thu, 24 Apr 2025 09:12:41 -0400, Rhino
<no_offline_contact@example.com> wrote:

On 2025-04-24 1:40 AM, Adam H. Kerman wrote:

No, even Mel Brooks couldn't dream up this scheme,
 
The video is played for laughs but I'm sure everything he says is true.
 
https://www.youtube.com/watch?v=W-l2oFKZNak

>
If it's simply a matter of some accounting firms being crooked, you'd
think the "talent" (or their agents) would have the smarts to insist
that they will only participate in a movie or series if THEY have the
right to veto the accountants used by the studio. Alternatively, they'd
hired a forensic accountant to go over the books for a production and
see what entries were kosher and which were not.
>
Maybe the moves made by the studio accountants are all completely legal
and aboveboard. In that case, it might be best to seek some kind of
legislation changes so they can't lend themselves money at exorbitant
interest rates, etc. etc.

The moves they are making are legal, as I understand it. They are just
arranged to be in the studios favor. The problem is while popular
actors can have a lot of power there's never going to be enough power
to force studios to let them bring in forensic accountants and then
use the information they gather against the studio. So the only power
the actors have is to demand more $$$ up front.