Not according to the commentary on the Touch of Evil restoration. Welles shot Touch of Evil in 1.85:1 and that was what he wanted to do but the studio wanted it to also be available to be shown 1.37:1 because they wanted to show the film on television...which they felt was becoming such a popular medium. So, not Orson's idea to show it at 1.37:1.
I think Jose was joking with the 1.37 remark.
Of course it was shot for 1.85, Universal had been shooting that way for 4 years, and by the time of release in 1958 there was virtually no theater in the US that would have shown it in any other ratio.