Rumored FCC Payola Settlement Angers Critics

RUMORED FCC PAYOLA SETTLEMENT ANGERS CRITICS
[SOURCE: National Public Radio, AUTHOR: Neda Ulaby]
Last year, the Federal Communications Commission promised to pick up Elliot Spitzer's investigation into payola. But rumors around Washington and the music industry suggest that the FCC is dropping the investigation and settling with broadcasting companies. The music industry received a big jolt a few years ago after a payola investigation conducted by Spitzer, then New York State's attorney general, resulted in multi-million dollar settlements with two record companies. Musician advocates and media critics hoped it might pave the way for further reforms in the industry -- including the other half of the issue: the media companies that work with record labels. But sources have told NPR that the Federal Communications Commission is planning to announce a settlement with broadcasters over the payola issue. Some artist advocacy groups, such as the Future of Music Coalition, are fearful that in its settlement, the FCC will not adequately address enforcement and oversight. Until payola is removed from both the broadcasting and recording arms of the music industry, they say, future abuses are likely.
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