FCC, Univision Enter Into $1 Million Consent Decree
| RADIO ONLINE | Monday, July 26, 2010 | 4:04pm CT |
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The FCC's Enforcement Bureau has released a Consent Decree with Univision Radio to resolve allegations that the Spanish-language broadcaster or its employees secretly accepted payment from a record label in exchange for more frequent airplay, without making the disclosures to listeners. In a companion criminal action, a federal district court has accepted the plea of Univision Services filed by the U.S. Department of Justice.
As part of the FCC settlement and the DOJ action, the Univision companies will pay $1 million to the U.S. Treasury. The FCC-Univision Consent Decree also obligates Univision to implement certain business reforms and compliance measures designed to ensure future compliance. Key provisions of the settlement include:
General prohibition on Univision stations and employees exchanging airplay for cash or other items of value, except under specified conditions, and provided that such exchanges comply with sponsorship identification laws; Limits on the size of gifts, concert tickets, and other valuable items that Univision stations and employees can accept from record labels; Appointment of a Compliance Officer and regional Compliance Contacts responsible for monitoring and reporting company performance under the settlement; and Regular training of programming personnel on payola restrictions.
FCC Enforcement Bureau Chief Michele Ellison stated, "Broadcasters play a critical role in educating and entertaining the public and along with that special role comes some fundamental obligations. We will continue to work with other government agencies, including criminal law enforcement authorities where appropriate, leveraging all the tools at our disposal to protect consumers and prevent them from being misled."
