FCC Mass Media Bureau’s controversial policy of ‘flagging’ or del...
FCC Mass Media Bureau’s controversial policy of “flagging” or deliberately delaying action on some license transfer applications still is going on under Chmn. Powell, FCC Comr. Furchtgott-Roth told reporters Thurs. Practice, which surfaced under then-Chmn. William Kennard, involved holding…
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back certain transfers, often related to mergers or acquisitions, because they would result in increased market concentration. Furchtgott-Roth has been critical of flagging in past, saying it gives bureau too much power that should be exercised by full Commission. He told reporters Thurs. that bureau personnel confirmed they still were flagging transfers. “It may not be illegal but it definitely isn’t right,” he said, because it treats some applications differently from others. There are thousands of license transfers and most are treated quickly and routinely, Furchtgott-Roth said. However, in previous administration, some were held up for months, he said. They would be put out for public comment but then not acted upon. When asked whether bureau was doing this under orders from Powell, Furchtgott-Roth said such action had to involve “tacit approval by someone higher up.” Furchtgott-Roth also said: (1) He expects Congress to approve new FCC commissioners by Memorial Day or, at latest, before July 4th recess. He plans to leave to join think tank as soon as new commissioners take their seats. He hasn’t said which think tank. (2) Proposal for FCC action on News Corp.- Chris-Craft merger is expected to be circulated on 8th floor next week. Commissioners haven’t voted on issue yet.