Bangalore: The three-week long tussle between the film exhibitors and Kannada film producers reached "middle ground" with the release of a new Kannada movie "Omkara" today (Sep 18, 2004) in several theatres in the State.

The Karnataka Film Exhibitors Federation (KFEF) has agreed for screening of new Kannada films across the State, following mediation by film star-turned-MP Ambarish.

Federation president, R R Oodugoudar told sources in Bangalore that new Kannada films would be allowed to screen across the State, but a decision on the seven-week moratorium on non-Kannada movies had not been taken yet.

Popular actor Upendra starrer Omkara received good response from enthusiastic fans who flocked theatres on the star's birthday.

The Kannada Film Producers Association last night (Sep 17, 2004) called off the "Hubli Chalo" march scheduled for today, following assurance from exhibitors to release new Kannada movies.

The Kannada film industry led by its icon Rajkumar last month held a protest rally demanding protection for the local film industry from the onslaught of other language movies.

Besides seeking a seven-week moratorium on release on non-Kannada movies, they sought to re impose the 70 per cent entertainment tax on other language movies.

The exhibitors had protested the move stating that they would be "out of business" and about 68 theatres in Bangalore have downed shutters till a lasting solution is found.

The standoff in Karnataka had forced a Bollywood delegation led by Amitabh Bachchan to seek intervention of Prime Minister Manmohan Singh.