Since Wilkie was the man who had given Mr. Chang the proverbial "green hat" multiple times, Niall was quite keen to make his acquaintance. Ideally, he wanted to develop a relationship, perhaps even become one of his drinking buddies. After all, if Wilkie had once been involved in such a scandalous situation with Mr. Chang, who's to say he wouldn't come back to share some stories with them?
Niall thought it would be an excellent opportunity to write some juicy gossip, sell it to the tabloids, or even to a major newspaper, if they were interested. It could serve to elevate Mr. Chang's reputation in America, perhaps even making him a little more famous.
Initially, Niall had been eager to return home, but now he found himself not in a rush. He could stay and help Frederick organize his business in Chicago, assisting with management and coordination. Additionally, Niall had been considering something for a while now — the money Frederick was earning could be considered gray area money.
As long as the national and local taxes were paid, typically, the authorities wouldn't make any trouble. However, this money wasn't exactly clean, and there was some risk involved. Like how Charlie Luciano had been convicted of running a prostitution ring — Niall had to make sure that Frederick's money was laundered properly to avoid future problems.
With the ongoing economic crisis causing prices to fall rapidly across the board, Niall thought this would be an ideal time to look into investing in a film production company. He could funnel the money into the film industry, produce some movies, and launder the funds in the process.
Niall remembered Franklin D. Roosevelt's famous quote: "During the Great Depression, when people's spirits were lower than ever, for just fifteen cents, an American could go see a movie, watch a baby's smile, forget his troubles, and that was a wonderful thing." This explained why the film industry had been booming in the following decade, as people were down, broke, and disillusioned with the future. Cheap movies, especially comedies, were a way to temporarily lift spirits, and often people loved them, making them a lucrative investment.
Niall figured that the money earned from movie ticket sales would be completely clean, allowing Frederick to openly run his business without fearing any further scrutiny from tax authorities.
The first-ever publicly released sound film, The Jazz Singer, had a production cost of $422,000, which was considered a massive gamble for Warner Brothers, whose financial situation was already shaky. However, it paid off when the film grossed $2.625 million globally, shattering box office records and ranking as the third highest-grossing film in America that year.
Niall and Frederick didn't expect every movie investment to be a massive hit, but as long as they could at least break even and make a small profit, they would be able to clean the money and move forward. Right now, aside from MGM, almost every film company was losing money. For a few hundred thousand dollars, they could take over a struggling film company, and if they didn't want to bother with the management, they could always find a trustworthy accountant or actuary to help guide them along.
Movies like Gone with the Wind, Modern Times, Public Enemy, King Kong, and All Quiet on the Western Front were all products of this era, made by various film companies to save the market and bring in profits.
By 1933, total U.S. box office revenue had reached $480 million, and by 1941, it had nearly doubled to over $820 million.
Why not earn money effortlessly? The only catch was that it wouldn't be quick. But since neither Niall nor Frederick knew much about the film industry, company law, or tax law, they weren't sure how to enter the market.
That's when they decided to ask Wilkie for advice.
The three of them gathered for another simple dinner. Wilkie had already helped Frederick finalize the company's financial details, ensuring that future dealings with the tax authorities would go smoothly according to the regulations he had put in place. If anything went wrong, Wilkie was just a phone call away in New York, so there was no need to worry.
As a seasoned lawyer specializing in business management and tax law, Wilkie had the expertise and experience to handle these things with ease.
With the tax matters for the hotel business settled, Niall casually brought up the idea of investing in the film industry and asked Wilkie if it seemed like a promising avenue. He also asked how one would go about investing in a film company.
"Perhaps the film industry is a good place to look…" Wilkie replied, and that's when Niall realized that Wilkie, who appeared to be in his early thirties, was actually nearing forty. He was quite well-preserved, no wonder he had been able to give Mr. Chang so much trouble.
"Mr. Wilkie, you must know that in today's climate, there are hardly any good investment opportunities or reliable institutions. Banks are failing left and right, and many large companies are filing for bankruptcy," Niall remarked, stating the facts.
"The stock market and real estate are disasters; only the devil could make money there. But most film companies are also losing money. Do you have any advice on how we should choose?" Niall asked.
Wilkie was a staunch Republican, a man of traditional values. He had an established career as a lawyer and was very good at dealing with government departments and handling national and local taxes. He could ensure that a company's regulations were legal with ease. However, when it came to choosing an industry that would survive the Great Depression, he didn't have the foresight or vision for it. He was a solid conservative, skilled at following procedures and ensuring things were done right.
"I only thought of this idea in Carson. In today's world, many people have lost hope for the future, and are seeking quick thrills or cheap entertainment. It's like the hotel industry — though inexpensive, it can still be profitable. And I think the film industry is also relatively inexpensive and provides people with mental relief, a way to pass time," Niall explained persuasively.
Hotels, where a coin could buy temporary pleasure, were extremely popular with single workers, especially those who had had their wages cut. On payday, the hotels were so busy that people had to wait in line.
Clearly, films could have the same effect. For just ten or fifteen cents, a person could watch a movie for an hour and a half or two hours, and temporarily forget their troubles without spending much money. It was a win-win.
"Well, in that case, I'll head back to New York later, do some research, and let you know," Wilkie replied, not committing too much. That was his lawyer's habit.