Even if this were true (and it sounds too ravingly paranoid to be true), then so what? Makers of the supposedly "objectionable" films could create their own film festival and Sundance would become irrelevant, if those "objectionable" films are such works of art.
I agree it sounds paranoid and ridiculous, but I would just like the opportunity to debunk it if it's untrue. I live in California and have to listen to enough other nonsense. Would like to at least be able to sya if this is just a ridiculous made up story.
You have to admit though, the lowest ratings ever for the snobfest Golden Globes (hopefully an omen for the oscars) was a nice "we don't care."