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The film's title was taken from Monte Proser's famous New York nightclub, the Copacabana, which was located at 10 East 60th St. Writer Allen Boretz' name is misspelled "Alan" in the onscreen credits. According to a June 1944 Hollywood Reporter news item, independent producer Jack H. Skirball was originally set to make the picture, with assistance from Proser. At that same time, George Raft was announced as the film's possible lead. This was the first film in which Groucho Marx appeared without his brothers. It is also the first film in which Groucho appeared in his own mustache, rather than a greasepaint one. This was Carmen Miranda's first film after leaving Twentieth Century-Fox, the studio to which she had been under contract since 1940. The film includes cameo appearances by Broadway writers Abel Green (the editor of Variety), Louie Sobol (New York Journal-American), and Earl Wilson (New York Post). At the time of the production, Groucho Marx was married to Kay Gorcey, who had a small role in this film.
Hollywood Reporter news items add Chester Clute, Richard Elliott, Frank Scannell, Pierre Andre and Andrew Tombes to the cast, but their participation in the completed film has not been confirmed. Pierre Andre was signed to perform a specialty dance number with Dee Turnell, according to Hollywood Reporter. In mid-February 1947, Hollywood Reporter reported that producer Sam Coslow was considering reshooting scenes in which Miranda appears in a blonde wig, because of mail from Brazilian fans stating that they prefer her as a brunette. The reshot scenes were to be inserted in South American release prints only, according to the item. As reported in Los Angeles Times on July 14, 1953, Murray P. Koch sued Coslow and George Frank for $80,000, money he claimed to have advanced Beacon to aid in the making of this film. Along with Walter Batchelor and David Hersh, both of whom were dead by the time the suit was filed, Frank and Coslow held a controlling interest in Beacon, which was deemed insolvent. The disposition of this lawsuit is not known. According to Hollywood Reporter, the film was obtained for re-release by Hal R. Makelim's Atlas Pictures Co. in January 1954. The film was also re-issued in July 1972.