episode in wizard of oz that shows person hanging from tree in background

Hi darlajean,

Thank you for your question.  

Urban Legends Reference Pages: Movies (If I Only Had a Crane . . .) 
http://search.atomz.com/search/?sp-q=wizard+of+oz+hanging&sp-a=00062d45-sp00000000&sp-advanced=1&sp-p=all&sp-w-control=1&sp-w=alike&sp-date-range=-1&sp-x=any&sp-c=100&sp-m=1&sp-s=0

Read entire article here
http://www.snopes.com/movies/films/ozsuicid.htm

At the bottom of page you'll see Additional information:   

The sound clip below is commentary about the munchkin rumor by Oz
expert John Fricke, taken from the soundtrack of The Ultimate Oz
laserdisc set. The video clip show several seconds of the scene in
question -- watch the middle of the screen as Dorothy, the Scarecrow,
and the Tin Woodsman head down the Yellow Brick Road.

(click on icon)
John Fricke commentary 

(click on icon)
Video clip from The Wizard of Oz 

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Unsolved Mysteries - Wizard of Oz "hanging person" scene 
http://www.unsolvedmysteries.com/usm388333.html

Category:(Urban Legends) Created:(7/14/2004 7:45:00 PM) Viewed (11354 times) 

I was searching on the Urban Lengends website when I found this one
about this one scene in The Wizard of Oz where you could could see
someone hanging from a tree in the background. It is a very popular
rumor but it wasn't true. The "Hanging Person In The Background" was
actually a film crew person who was accidentally in the shot and ran
off the set. It never got cut out
 
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The Wizard of Oz Hanging
http://www.angelfire.com/il/megaurbanlegends/wizardofoz.html

Pretty much everyone is talking about this one.

(read article)

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http://www.saunalahti.fi/frog1/goofs/oz.htm
Scroll to middle of page - Debated Goofs 

URBAN LEGEND: If you look very closely in the scene where Dorothy and
the scarecrow find the tinman, and then start skipping down the yellow
brick road, you can see one of the munchkins actually hanging himself
in the background of the trees.

(read debate) 
The debate is continued on the Trivia Forum.
http://www.jonhs.com/forum/viewtopic.php?t=8

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Best regards,
tlspiegel