Broadcasting Telecasting (Jan-Mar 1960)

inghouse and ABC made further recommendations. ABC recommended that the FCC conduct a further investigation before adopting its proposed rule and that a hearing be held to "explore the proposed extention of Sec. 317 requirements . . ." Westinghouse said "it was absolutely essential" that Congress enact a commercial bribery statute which would make payola a crime. Covington & Burling, a Washington law firm filing comments for a group of broadcast stations, said it was "highly doubtful" whether or not the commission's proposal are specific enough to allow criminal sanctions to be imposed for "plugging" if "the personality does not receive payment pursuant to an understanding that he will promote the enterprise on his program." There is also "uncertainty" as to the kinds of practices to be prevented without appropriate announcements. "These difficulties are not easily solved . . . [and] are difficult to define except by illustration." The following stations were represented in the Covington & Burling comments: WTOP-AM-FM-TV Washington; KXTV (TV) Sacramento, Calif.; KHOU-TV Houston-Galveston, Tex.; WANE-AM-TV Ft. Wayne and WISH AM-TV Indianapolis, both Indiana; KOTV (TV) Tulsa, Okla.; KERO-TV Bakersfield, and KFMB-AM-FM-TV San Diego, both California; WCIA (TV) Champaign, 111.; WNEP-TV ScrantonWilkes Barre, Pa.; WNOK-AM-FM-TV Columbia, S.C.; KTOD Sinton, Tex.; WGR-AM-FM-TV Buffalo and WROCFM-TV Rochester, both New York, and WGBH-FM-TV Boston, Mass. This, too, shall pass away, avers Kintner Not everybody on Capitol Hill is enamored with the Federal Trade Commission's "get tough" policy on tv advertising and payola. This was revealed last week upon release of the hearing record of the House Independent Offices Appropriations Subcommittee's session last Jan. 21 with the FTC on the latter's budget. The Budget Bureau asks for an increase for the FTC for fiscal 1961 to $7,600,000, a $760,000 boost over fiscal 1960 of which $350,000 is for investigation and litigation of deceptive practices. Chairman Albert Thomas (D-Tex.) suggested the FTC is spending too much time and effort on "inconsequential things. Advertising is what we know it to be. Nobody believes it anyway." People who buy things, he said, are expected to use "two eyes and normal common sense," but, he continued: "What about your big things, the price fixing that is hid . . .? What about your mergers?" Rep. Joe Evins (D-Tenn.) joined in criticism of the payola and ad hunt. FTC Chairman Earl Kintner said that because of the congressional and public outcry about payola and ad deception, manpower had been temporarily diverted to these things, but it's only temporary. In a few days they'll be back to the larger antimonopoly cases, he said. An eye on print, too "Equal emphasis" to monitoring of printed advertising, in addition to intensified radio-tv checks, was announced March 23 by Chairman Earl W. Kintner of the Federal Trade Commission in an address to the American Public Relations Assn. of Washington. Charles Connolly, acting director of FTC's radio-tv advertising unit, said March 24 his staff checks 15 magazines and 20 to 25 newspapers each week, scrutinizing on a rotating schedule. Name of the unit may be changed to Office of Advertising Media, he added. Staff of the unit has been increased from six to 12 in the past year, with four persons monitoring and the rest looking into advertising picked as questionable. Chairman Kintner emphasized the responsibility of media to police advertising, adding he hoped "the day will never come when media will be cited in complaints." House committee acts on state-aid for etv A bill to give each state $750,000 on a matching funds basis to buy equipment for educational television was reported favorably by a "big majority" from the House Commerce Committee last week. The Senate has approved a bill (S 12) for $52 million (including $1 million to each state for equipment). It awaits House committee consideration. The House bill (HR 10609), introduced by Rep. Kenneth Roberts (DAla.) last February, originally was for $52 million but was scaled down in a closed session of the House committee Thursday. The amended bill also specifies that only $150,000 of the money shall go to any specific project. Educational tv outlets operated by states, boards of education or statesupported colleges and universities may use the funds. Among other funds provided in the bill is $520,000 to assist the states in surveying needs for educational tv. 68 (GOVERNMENT) BROADCASTING, March 28, 1960