'Pulled from circulation'?

Some unnamed source at IMDb alleges that CHARLIE CHAN AT THE OLYMPICS, a film capitalizing on the then recent 1936 Berlin Olympics (taking place in Germany under Chancellor Hitler) and released on May 21, 1937, in the U.S and in the early fall of that year in Europe, was "pulled from circulation shortly after its release because it takes place in Nazi Germany." Could someone please define "shortly after its release"?

The film, while sympathetically portraying the civilian police force in Berlin (interestingly played for irony and possibly surprise or subtext by usual film villain Frederik Vogeding), pointedly incorporated actual newsreel footage of Jessie Owens' Olympic triumph which was so upsetting to the Herr Hitler. The film plot had considerable hurdles to surmount in avoiding the identification of the foreign power trying to steal the "McGuffin" military device. Most U.S. or British films of the period would have been more blatant in assuming the national guilty party, but Germany was still a major market for U.S. motion pictures (even if the Chan character himself must have been an anathema to Nazi Party leadership).

Even with the unsettling Anschlus in Austria and the Munich Crisis over the dismembering of Czechoslovakia; with the invasion of Poland and the formal start of European hostilities in World War II still a little more than a year away (U.S. entry into the conflict more than four years away!), America and much of the rest of the world was doing its best to ignore distressing realities within the Reich. While CHARLIE CHAN AT THE OLYMPICS had to do a fine dance to play to that desire to turn a blind eye, it largely succeeded. It is difficult to believe that 20th Century Fox would withdraw an entry in the wildly popular Chan series in anything which could be realistically considered "soon" (anything less than six months). A specific DATE of the withdrawal would be appreciated.

While the film over all may be one of the lesser Chan efforts, it has moments (the initial set-up in the U.S., the race to Berlin, the scenes in the Olympic Stadium and the final confrontation with the killers) which are as good as any in the canon. To be dismissed as "pulled from circulation shortly after its release" if it is demonstrably not true would be unfortunate.