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STATEMENT OF
CHAIRMAN KEVIN J. MARTIN
Re: CBS Radio, Inc., File No. EB-06-IH-1109, Order
Re: Citadel Broadcasting Corp., File No. EB-06-IH-1108, Order
Re: Clear Channel Communications, Inc., File Nos. EB-05-IH-0059,
EB-05-IH-0144, Order
Re: Entercom Communications Corp., File No. EB-05-IH-0033, Order
The Commission has longstanding rules prohibiting payola. These rules
serve the important purpose of ensuring that the listening public knows
when someone is seeking to influence them or the types of music that they
hear on the radio. As I have said before, the Commission will not tolerate
non-compliance with its rules.
In order to resolve the Commission's investigation into whether these
license holders were violating applicable sponsorship identification laws,
the four companies have agreed to implement various business reforms to
ensure that their respective stations and employees do not violate the
sponsorship identification laws in the future. They have also agreed to
make significant contributions to the U.S. Treasury totaling $12.5
million.
Through this strong enforcement action that we take today, the Commission
has provided clear guidance to licensees and sent a strong message that
the practice of payola must stop for good.
Federal Communications Commission FCC 07-27