A movie anti-piracy system with sensing and reporting is provided. A movie projector projects a light image to reflect off of a screen, while an infrared energy projection source generates an infrared energy pattern which is reflected off the screen (or otherwise projected) in the same field of view as the light images reflecting from the screen. Infrared energy sensors are positioned in the seating area of the theater. The infrared sensors provide sensed signals respectively to a sensor response controller. The controller is responsive to the sensor signals to provide an infrared status (and other data) signal output to a control center. The control center responds to the infrared status and other data signals, from one or a plurality of theaters, and provides for reporting of information (such as security compliance, attendance, etc.) to one or multiple reporting sites (such as movie distribution studios, etc.). In a preferred embodiment, the control center determines whether the infrared sensors or other data indicate violation of anti-piracy protection within a theater and provides reporting on the status and data. If a violation is indicated, then the control center sends a violation signal such as to the sensor response controller which can trigger an alarm and/or activate a violation inhibit output to shut down the movie projector. This shut down of the projector is an optional feature. In a preferred embodiment, the shut down can be overridden with the entry of an appropriate security code. A data entry subsystem permits entry of additional data, which is communicated as signal to the sensor response controller. The controller provides for processing the data from the data entry and communicating to the control center. The additional data can include ticket sales for one or more movies, attendance data, security code, etc. In a preferred embodiment, there are a plurality of theater systems, each of which has an equivalent anti-piracy system installed, each providing reporting back to the control center which provides overall system control.