Movies were a way to escape the hard reality of life in the coal mines and on the small farms and sprawling ranches that supported Paonia. However, the young theater was not without controversy.
Shortly after the sale of his bookstore, a legal dispute arose between Poulos and Dr. Haley, who was a Doctor of Osteopathy born in 1887 and who died in 1959. The ownership of the theater and bookstore was contested in court. The decision was found in favor of Tom Poulos in September of 1929.
Later that same month, The Paonian Newspaper reported that the first “talkie” was shown at the theater and referred to Dr. Haley as the proprietor. Evidently, he continued to operate the theater until January of 1932, when Poulos took over. It was initially reported that he considered closing the theater, but by February of 1932, Poulos had decided to reopen the theater with all new equipment. The first film, “Emma,” starred comedic actress Marie Dressler.
The prohibition of alcoholic beverages became law in 1920 and lasted until 1933. According to reliable local sources, Poulos, like many otherwise law-abiding citizens, was involved in surreptitious manufacture of alcohol, commonly known as bootlegging. The “new equipment” may have included a still, the bookstore may have sold more than books, and the dance parties were likely enhanced. There were subterranean rooms and a tunnel that connected the theater to the bookstore building.