NAB reports (Jan-Dec 1945)

cussion of the agreement involved in the WAPI case (7 F.C.C. 230): ‘If this is a proper arrangement, the necessary consequence is that the holders of existing licenses need never relinquish their stations permanently, but are in a position to farm them out for a period of years, then return to their status as licensees, then perhaps again step aside for another period of years, again to revert to their original status. This, we believe, will be sub¬ versive of the general public interest. ‘Such a practice, if sanctioned by the Commission, would have a tendency to bring about, if in fact it would not inevitably result in domination and control of radio broadcast facilities by persons or corporations to whom licenses therefor are once issued by the Commission, and who, thereafter, although not operating the stations themselves, exact tribute in the form of rental from those actually using the facilities to serve the public.’ 4. To renew applicant’s licenses in the light of the present records would be to sanction an arrangement for the operation of stations WKBW and WGR which is in contravention of basic principles of the Communications Act of 1934. Therefore, the Commission pro¬ poses to deny the renewal applications. This action is, however, without prejudice to further proceedings along the lines indicated below. 5. The failure of the Buffalo Broadcasting Corporation to make full disclosure in its reports to the Commission of its agreements with the Churchill Tabernacle indicates a lack of candor and care in the preparation of the reports. While this has a direct bearing on the applicant’s qualifications, we do not conclude that in this case the omissions were so serious — particularly in view of the fact that one of the basic agreements was before the Federal Radio Commission — as to require the applicant to be deprived of the value of the stations which it has successfully operated for more than fifteen years. Nor, do we conclude that for this reason the applicant should be found disqualified to ever again operate a radio station. Accordingly, we are predicating our proposed de¬ nial of the renewal applications solely upon the illegal arrangements between the applicant and the Churchill Tabernacle which would be condoned if licenses were granted on the basis of this record. And we are further providing that our denial of these renewals is without prejudice to further proceedings as follows: (a) In view of the fact that it appears that, even apart from the illegal agreement with the Churchill Tabernacle, the con¬ tinued operation by applicant of two stations in Buffalo, New York, would violate the Commission’s Rule 3.3S prohibiting the operation by a single interest of more than one station in the same community, the Commission will permit the filing by the Buffalo Broadcasting Corporation of an application for consent to transfer either WKBW or WGR, provided it is affirmatively shown that any agreement for transfer does not in any way give further effect to the leases and agreements between the applicant and the Churchill Tabernacle which we have here found to be violative of the Communications Act. (b) The Commission will also permit the filing by the Buffalo Broadcasting Corporation of a new application looking toward the licensing to it of the present facilities of either WKBW or WGR, provided it is affirmatively shown that if such application were granted, the Buffalo Broadcasting Corporation would have the exclusive use and control of the station and no further effect would be given to the leases and agreements here declared to be illegal. (c) In order to make such further proceedings possible, the Commission will grant the applicant temporary licenses for a period of 3 months, provided that 10 days after this decision becomes final the applicant files with the Commission a state¬ ment which establishes that applicant has full control over the operation of the stations and no further effect is being given the agreements here found to be illegal.” The Federal Communications Commission today announced adoption of an Opinion and Order in the matter of the application for renewal of license of Station WSOO, Hiawathaland Broadcast¬ ing Company, Sault Ste. Marie, Mich., (Docket No. 6208). The issues in this renewal proceeding related to failure of appli¬ cant to file annual reports or respond to notices requesting informa¬ tion, and to the general unbusinesslike manner in which the station was operated. However, it appears that applicant has made substantial im¬ provements in conduct of the business of station WSOO. This is the only United States station affording primary service to the Sault Ste. Marie City and area, and the continuation of that service is believed to be in the public interest. In view of the record in the case, the Commission ordered that the application for renewal of license be granted for the period ending June 1, 1946, with reservation that in the event of a further failure on the part of the applicant to observe the regulations as to the filing of financial and other reports, a further proceeding will be held in which the entire record of the station as set out in the Commission’s decision, together with any subsequent failures or derelictions, will be considered. LICENSE RENEWALS WBRW — McDowell Service Co., Welch, W. Va. — Granted re¬ newal of license for the period ending February 1, 1947. WING — Great Trails Broadcasting Corp., Dayton, Ohio — Present license further extended upon a temporary basis only, for the period ending November IS, 1945. KENO — Maxwell ICelch and Laura Belle Kelch, d/b as Nevada Broadcasting Co., Las Vegas, Nev. — Granted renewal of license for the period ending August 1, 1947. WMIN — WMIN Broadcasting Co., St. Paul, Minn. — Granted re¬ newal of license for the period ending August 1, 1947. WHOT — South Bend Broadcasting Co., South Bend, Ind. — Granted renewal of license for the period ending August 1, 1948. MISCELLANEOUS The Commission adopted Order No. 110-A, providing that the license term for international broadcast stations presently licensed shall end at the earlier of the following dates: (a) April 1, 1946, or (b) the first day on which its operations are not controlled, by agreement or otherwise, by the Office of War Information, the Coordinator of Inter-American Affairs, or other governmental agency supervising the operation of international broadcasting. It also provides that the portion of Sec. 4.3 of the Rules and Regulations which established for international broadcast stations a normal license term of one year is suspended until further order of the Commission. WPIC — Sharon Herald Broadcasting Co., Sharon, Pa. — Denied Special Service Authorization to operate with power of 100 watts or 250 watts, from 6 a.m. (EST), to local sunrise, for the period ending May 1, 1946. APPLICATIONS FILED AT FCC 740 Kilocycles NEW — Central Florida Broadcasting Co., Orlando, Fla. (P.O. Box 2889). — Construction permit for a new standard broadcast station to be operated on 740 kc., power of 1 KW em¬ ploying directional antenna day and night and unlimited hours of operation. 930 Kilocycles WRRF — Tar Heel Broadcasting System. Inc., Washington, N. Car. — Construction permit to increase power from 1 KW to 5 KW and install new transmitter. 1080 Kilocycles NEW — Mid-America Broadcasting Corp., Louisville, Ky. — Con¬ struction permit for a new standard broadcast station to be operated on 1080 kc., power of 1 KW night, 5 KW daytime, unlimited hours of operation and using directional antenna day and night. Amended: re change in type of transmitter and change number of stockholders. 1230 Kilocycles WMFR — James E. Lambeth, James E. Lambeth, Jr., Helen M. Lambeth, Ralph M. Lambeth, Frank S. Lambeth and Molly H. Lambeth, d/b as Radio Station WMFR, High Point, N. Car. — Construction permit to move transmitter and studio locally. (Continued on next page) September 14, 1945—410