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Rep. Berman (D-Cal.) called on FCC and Dept. of Justice (DoJ) to ...

Rep. Berman (D-Cal.) called on FCC and Dept. of Justice (DoJ) to investigate Clear Channel Communications and its role in vertical and horizontal integration of TV, radio and concert promotion industries. Berman, ranking minority member of Judiciary Subcommittee on…

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Courts & Intellectual Property, raised concerns that Clear Channel could be abusing its consolidated holdings in those industries. He said in Jan. 22 letter to FCC Chmn. Powell and U.S. Attorney Gen. John Ashcroft that company reportedly was “warehousing” radio and TV stations. Berman said Clear Channel supposedly had arranged for 3rd parties to buy stations in markets where company already exceeded multiple radio and TV station ownership caps: “Clear Channel allegedly has arranged to officially ‘buy’ these stations when, and if, the FCC lifts those caps.” Berman also expressed concern that company reportedly had “punished” recording artists for refusing to use its Clear Channel Entertainment concert promotion service. He said FCC and DoJ should determine whether artists, copyright owners and consumers were being harmed by alleged practice of “burying” noncompliant artists’ radio ads and refusing to play their songs: “These allegations, if true, have obvious, negative implications for consumers, both through higher concert ticket prices and reduced selections of broadcast music. To the extent your respective agencies have jurisdiction to do so, I believe you should investigate and fully prosecute any violations of the antitrust laws or FCC regulations” that may have occurred” in these cases.