NAB reports (Mar-Dec 1933)

MR. FOX : When it comes to telling me what I may or may not do, that is my business. CHAIRMAN CARPENTER: Exactly and that does not tell you that. That gives you a consensus of opinion as to what seems to be the general practice. In my particular station, I may change that; you may, but it gives some stations who have no other means of getting information along this line information as to just what stations in general are doing and how far they are going. This is a pretty good average. Some may go farther and some less. If we pass this resolution, it means there is a pretty good average to be used as a measuring stick by various stations if they care to. It does not bind any member station to do just this and do all of this and not do some of the things that they are doing. With that understanding, are you ready for a vote on this? * * * The motion was put to a vote and carried * * * CHAIRMAN CARPENTER: Phil, wind it up. MANAGING DIRECTOR LOUCKS: I think I ought to mention three things. I am going to do it briefly and then you may shoot questions, if you desire, until I decide I have to pack and catch the train. As you know, in the last session of Congress there was passed an Act, and the Federal Trade Commission is now in process of promulgating rules and regulations to carry out that Act. That Act, as you know, relates to the advertising of issues of stock and whatnot, with certain exemptions, and governs the advertising of stock issues by both radio and newspapers. Just as soon as the regulations are available, each member of the N. A. B. will receive a copy. I hope that it will be printed in suitable form, certainly in a hand¬ book, along with the Act, which was sent out last week. There is another matter, and I am going to touch on this because it is something that will have to receive detailed con¬ sideration before our annual meeting. That is the proposal to revise the Food and Drugs Act. There have been several conferences on the preliminary conferences with Mr. Tugwell, Assistant Secretary of Agriculture, on the subject. A bill has been drafted, has received the approval of the Depart¬ ment of Justice and has been introduced in both the Senate and the House. That bill is of the greatest importance to broadcasting because it will affect almost two-thirds of the products now being regularly advertised over our stations. The purpose of the bill, I think, we are all in accord with. The procedure that can be set up for its administration we might differ with. As the bill is now written, radio stations and newspapers as advertising media are not primarily responsible criminally for false and misleading advertising, provided we furnish the name and address of the advertiser to the governmental body administering the Act. However, there are other por¬ tions of that bill which make it very important that our rights and liabilities under the measure be more definitely stated. It is a rather technical thing and would require several hours to explain it. We are assured that hearings will be held when the regular session of Congress convenes in January. The only other thing I am going to talk about, and I am going to talk about it very, very briefly, although it is a subject that we are all going to know a lot more about as time goes on, is the Industrial Recovery Act. I have been to several conferences, both with officials of the Johnson administration and with officials of the Federal Radio Com¬ mission. The members of General Johnson’s staff want to help business. They are sincere in wanting to help. They are approaching the whole thing in a constructive and business¬ like way. All of you should follow very carefully every step that is taken under this Act especially as it relates to our own industry. As I say, I am not in a position to even say at this time what will be recommended or whether any recommendation will be made. But it requires a great deal of thought and a great deal of study and we are apt to find ourselves without much precedent to guide us to a solution. I don’t care to say anything more about it, unless there are some specific questions. CHAIRMAN CARPENTER: Are there any further ques¬ tions? The time is getting late. I would like to thank all those men who took part in this program today, both the men who prepared papers and the men who led in discussion. My personal opinion is, to me it has been very valuable. I hope it has been to you. We have six or seven committees to be appointed and they will be appointed in the very near future to get together and work and report at the annual convention in the fall. I hope you can all be there. The meeting is adjourned. * * * ipj,e meeting adjourned at four forty five o ’clock * * * . Page 161 .