Variety (Jul 1939)

22 VARIETY RADIO Wednesday, July 19, 1939 FCC SCATHINGLY SARCASTIC AS RADIO SPOKESMEN TESTIFY ON SHORTWAVE RULE Neville Miller Roughed Up in Four-Hour Ordeal— Commissioners Repeatedly Reveal Deep Resent- ment at Broadcasters, Networks 'Washington, July 18. Faint hope that the FCC will ac- tually . relieve international broad- casters ot the threat ot license de- nial unless they act as amateur diplo- mats and missionaries was enter- tained in Industry circles this week following conclusion of a reluctant- ly-held hearing filled with sarcasm and mutual animosity. Rule requlre- ing DX-ers to 'reflect American cul- ture' and promote 'goodwill' was suspended temporarily, however, un- til the regulators can ponder the suggestions and criticism^ Unusual atmosphere in which the proceeding was'held startled indus- try leaders and veteran observers, with the obvious resentment ot the Commish irritating the participants. Never before have the regulators and the broadcasters swapped such punches. General revolt against the FCC was suggested outside, the hearing room' 9S the testy members grew Increasingly belligerent and queru- lous. Attorneys for some of the par- ticipants were on the verge of with- drawing In protest, while talk was heard that some ;hort-wavers will, turn in their tickets and quit oper- ating if the Commish -persists In di- recting them to comply with regu- lations which they fear will bring retaliation in the future. Like a'Contempt''nial The proceeding seemed for sev- eral hours like a contempt trial, par- ticularly while Neville Miller was being grilled sharply about the NAB's tears that the International rule will be abused and sets a prece- dent for control over programs of domestic transmitters. Neville Mil' ler was roughed up on account of his outspoken letter condemning the regulations and challenging the Commission's authority to lay down such rigid standards of 'public in' terest, convenience, and necessity.' The networks also became targets "lor the regulators' irej which cou' vinced observers and participants that there is beyond doubt a groW' Ing hostility within the FCC toward chain operators. Although Fred Thompson was the most unfriendly. Commissioners Norman S. Case, Paul A. Walker, and George Henry Payne also bayoneted witnesses and attorneys. Chief victims were Frank K. Mason, vice-president of NBC, and Frederick A. Willis, assistant to the President of CBS. Networks^ Drc«d Tenor of the networks' case was that, because of imcertainty about the way the Commish will, apply the rule, they cannot follow prevl Dus operating practices'. Constant dread of being sand-bagged because their concepts are different from the Commission's Idea- of what promotes goodwill and reflects culture was described by Mason'and Willis. Both cought—but were denied when gag rules were adopted—to give con' Crete examples by relating certain Individual features carried In the past The sharpest attack on the FCC In many months was mad^ by Thomas Austern, counsel for, the American Civil Liberties Union, wjiich broiight about reconsideration of the rule. In an argument which contained general criticism of the regulators^ attitude, h« warned that the Bill of Rights Is more sacred than the Communications Act. If the price to be paid for engaging in international broadcasting Is nulli' ficatlon of free speech, the United States should stick to the home grounds, he pointedly advised the Commish. . 'Gold Content' Taunt Only applause for the rule came from Rev. Edward Lodge Curran, president of the International Cath- olic Truth Society of Brooklyn, and S. Howard E>^ons, secretary <if the National Committee for Education by Radio. Assailing bojth the NAB and the ACLU, Father Curran—a noted enemy of the Industry and frequent critic of the FCC—main- tained that the best Interests of Americanism and the New Deal re- quire strict control over programs short-waved to foreign audiences and declared opponents of the rule are solely concerned about the 'gold content' of broadcasting tickets. The hearing was oS to a surpris- ing start Friday (14) when Acting Chairman Thad H. Brown, an- nouncing temporary, suspension of the rule, disclaimed any Idea of cen- sorship and explained the Commish desired simply to create a yardstick for the guidance of the DX-ers and the measurement of their perform- ances. Immediately following this assertion, Swager Sherley, special counsel for the NAB, offered a motion to amend the regulation and call off' the hearing. His. proposal —that the Commish limit the offen- sive rule: to a mere statement that International stations shall render an international service—was 'taken under advisement' and the proceed- ing continued. Staliklag Dntles Throughout the testimony. Com- missioner Thompson took the view that the protesting industry mem- bers are trying to shirk duties and Commissioner Walker kept asking what discomfort or inconvenience the- operators have suffered dur- ing the six weeks they have been subject to the rule. To a lesser ex- tent. Commissioners Case and Payne Indicated they share the view that the apprehension is unfounded and the Industry should knuckle under without protest The Monte- video agreement—which reserved the Pan-American 'frequencies for the purposes set forth In the as- sailed rule but does not apply to the bulk of channels covered in the new regulations-^was thrown at the network execs on numerous occa- sions. Deep resentment over the letter attacking the rule was shown clear- ly while Miller was on the stand. Under Commissioner' Thompson's leadership, the Commish sought to find out who Inspired the blast quarreled about the NAB president's authority to send It and complained about its release to the press. Thompson' repeatedly Insisted on knowing whom Miller consulted, raised the point that it was not laid before, the Board of Directors or submitted via a referendum to the' entire membership, and suggested the trade association head Is noth- ing more than., a chain-controlled marionette. The Commish was not satisfied with evidence that Miller's action received unanimous endorse,, ment at the AUant.ic City conven- tion, while Thompson demanded such' particulars as the vote and identity of individuals approving the resolution. MUler's Advisors Maintaining he had no Intention of embarrassing the regulators. Mil- ler testified he had consulted sev- eral Individuals, although not poll- ing the directorate, before sending the protest Among them were Harry W. Butcher and Frank M. Russell, local vice-presidents of CBS and NBC; Duke- M. Patrick, coimsel for Crosley Corp., and Leon Levy, principal owner of WCAU, Philadelphia.' Many others - were contacted, however, or called NAB headquarters to express their opin- ions, he added. The manner in which the rule was adopted drew criticlsn> from Miller. First the trade body- knew about the proposal.to erect stand- ards was a few hours before the regulations were published. Miller said, although it had been under- stood as a result of conversations with Chairman Frank R. McNinch that NAB would be consulted be- fore any such step was taken. No move was. made to consult the short- wave licensees, who h^d banded to- gether' imder NAB auspices in an- ticipation of a conference about new rules, he pointed out' While the Miller letter caused most of the irritation,' the Commish plso was burned by publication' of a col- lection of newspaper eoUtorlals . con- demning the culture-goodwill re- quirement Commissioner Thompson brought up this matter several times, asking whether any attempt was made to gather only hostile remarks. The fact that the NAB sent copies of MlUer's letter to 3,000 individuals on the mailing list—Including all members of Congress—prompted mor6 hostile queries and observa- tions from the bench. Although he was on the stand ap- proximately four hours. Miller had almost no chance to discuss the rule in question. General policies of NAB and broad views on duties of licen- sees were about the only pertinent > !: ECHOES OF A WELL-BEHAVED N.A.B. t > MM t « * CONVENTION WAS GENTEEL ... AUanUc City, July 18. Topic which dominated the parting conversatiops of delegates to last week's convention of the National As- sociation of Broadcasters at the Ambassador hotel, At- lantic City, w?s not the code or anything else on the official agenda but the radical change in the conduct and attitudes of the attending members. Contrasted with the old convention days, the NABltes, it was re- marked, comported themselves with a comparative sobriety, dignity and seriousness that almost suggested a conclave of the Epworth League. It was all interpreted as a sign that broadcasters as a class have at last realiz^ the position that has been accorded them in the American community and that they, consciously or otherwise, are now inclined to wear this cloak , with all the aplomb of a newspaper publisher, or a country banker. While the stuff flowed as freely as ever, the .boys kept themselves well under control. There were ex- ceptions but these were negligible. Missing were the oldtime brawls, the cavortlngs through the hotel halls and the early morning hammering on one another's doors which went with the quest for ^mebody to join 'em in a nightcap. Only challenge that a boardwalk cop got was from a guy that had come down to look for a job. (P. S. He didn't get it) Meetings were heavily and promptly attended and the practically unanimous op'inlon at adjournment was that something tangible and significant had been accomplished by the convention. . ^ Other causes advanced for the change in atmosphere were the revised-structure ot the NAB as a trade .or- ganization and We infiltration into station operation In recent years of a new type of business executive. With a highly paid president to head up the works, the NAB can now boast of a setup that is oii its way. As for the shift in station: executive. levels, it Is a repetitioti of th6 familifir tale of what, happens when the adjunct or 'sideline, of a major .fttterest becomes financially successful. At the advent'of the-sideline,- the .least important «nployee or employ'eeis of the main business, such as newspaper publishing, for instance, were shunted over to the new undertaking. Where the early birds have been able to keep'allaround pace with the growth of the new undertaking (the station) they bave. retained, top position. But on the other hand, as the adjunct has developed consistently size- able profits and assumed important local stature the general tendency has been to move 'over as No. I men the gilded'.Executives of the parent organlzatloa THE SHO^ ALMOST WASNT... The show, which went with the N-^'s dinner Wednesday night (12) was entirely of vaudeville per- suasloni Only two of the acts, Felix Knight and Jane PicLlns, were out of radio. The bill had been put to- gether by Nat Abrahamson, ot WOR-Mutual, Paul Ross, of the CBS artists bureau, and Sam Ross, of the NBC Artists Service. Henny 'Y'oungman emceed the event and was consistently diverting after he stopped local allusions to Lindy's. The only fault with the proceed- ings was that It ran too long (two hours) and contained too much dancing, but the drittouts from In front were paltry throughout this stretch. Earlier in the day it looked as though the show would have to be called off. While inquiring for an orchestra from the Atlantic City local, it was learned by the bookers that the Ambassador had been put on the forbidden list by the American Federation of Mu- sicians because of the hotel's refusal to hire a stipu- lated number of regular musicians. ~^Ft Henderson, of the AFM's home office, was appealed to by phone and he waived the designation on the ground that the broadcasters were big employers of musicians and should not be' deprived of entertainment because of the Ambassador's stand. Another threatening cloud over the show was the report received earlier In the day that the car carrying some of the girls in the Jeanette Hackett Revue had broken down in upper New York State, but these made connections In time to make the NAB date. . . The other acts on the bill were McDonald It Ross, Buster Shaver with Olive and George, Senator Ford, the Jansleys, the Debonalrs, Bob Hall, end the Gracella Dancers. Bob Stanley, of WOR's staff, conducted, and Harry Schaii, contractor at the same station, was the accompanist ^E CALM' SAYS KUUBER... Meeting on copyright brought forth the customary dart throwing at the American Society of Composers, Authors and Publishers. The broadcasters voted to authorize Neville Miller, NAB prez, and the NAB copy- right committee, to press for a provision in the new ASCAP contract which will -restrict the appllcaUon of ASCAP'a commercial fee to programs using ASCAP music. Edward Klauber, CBS executive v.p., was called on to express the viewiSoint of the networks. He im- portuned the broadcasters not.to-get hysterical about the issue and stated that when it (the negotiations for the new contract) blew over all of them (the broad-, casters and the networks) and ASCAP would still be in business. Despite the locking out ot the press from the meeting, the'release'ot steam on- the ASCAP issue was less- violent than it has been in previous conven- tions. Some attendees were of the'opinion that the absence of the newsmen largely accounted for the com- parative restraint A sizzling blast at ASCAP had al- ways been good for'some personal space, if not a head- line. RESOLUTIONS, ELECTIONS... On the.final day (Wednesday) -the convention went on record as being opposed to the FCC's new rules for regulating international broadcasts. It -also passed a resolution thanking the commission for extending the station's license, to a year and stating .that the broad- casters would continue to fight for 'it three-year license. Following the adjournmient of the convention' the NAB board met and agreed to work out a detailed plan for code compliance. Th^ plan will be announced at the next session of the board in September. Don S. EUas, WWNC, Ashevllle, defeated Ed Craney, 'K(}IR, Butte, as a delegate from the regional group to the board of directors at. large. Other new electees ' to th'is 'board' are Fr^nk Russell, NBC; George W. Not'-' ton, WAVE, Louisville; Harold V. Hough, WBAP, Ft Worth; Harry Spence, KXRO, Aberdeen, Wash., and John Ebner, WCBM, BalUraore. LAMBDIN KAY'S DODO CLUB ... Lainbdin Kay, WBS, Atlanta, turned out the conven- tion's No. 1 wag and playboy. His major Interest was the launching of his Dodo Club, with those who have been in broadcasting prior to 1923 eligible for mem- bership. Among his charier members are Charles W. Home, NBC; Athur B. Church, KMBC, Kansas City; Ike Lounsberry, WGR, Buffalo; Harold Hough, WBAP, Ft Worth; Graham McNamee, Leo Fltzpatrick, WJR, Detroit; Creo.rge Dewey Hay, WSM, Nashville; John T. Schilling, WHB, Kansas City; Gene Rouse, NBC, Chi- cago, and Bill Hay, Amos 'n' Andy announcer. subjects taken up during his test!, mony. Toward the end of his or- deal. General Counsel Willianj J Dempsey struggled to get Miller to approve some alternative phrese> ology, which the NAB head refused to do without opportunity for study. The rule is objectionable primarily because of hopelessness of defining the terms used. Miller finally was able to point out Nobody knows what 'culture' is typical ot the United States, he demurred, or how 'goMwiir can' be fostered under nebulous circumstances. Stem objection? against the treat- ment accorded the NAB head even- tually were registered by Sherley, while Miller tartly warned the In- quisitors tliat' he feels h'S is' entitled to fight for his rights and for the in- dustry without being charged with disrespect Miller told the Commish 'I Intend to fight for those rights.' Brief technical descriptions of the short-wave situation were given by Edwin K. Cohan, CBS engineering director, and Dr. C. B. Jolliffe, direc- tor of RCA's frequency bureau. Ex- perts agreed it is impossible to shoot programs only to single countries, noting that 'beams' caniiot be rigid- ly controlled and that broadcasts aimed at a certain audience can be picked up by other listeners. The practical problems, with a few concrete descriptions of execu- tives' potential headaches from the rule, were sketched Willis and Mason, who tried without much suc- cess to show that the DX-ers have been serving public interest in a sat- isfactory manner without having a club over them. Each maintained they would be hesitant about airing some news items and speeches, for fear of-, offending listeners abroad and of causing a reaction which might not promote goodwill, and doubt that many desirable entertain- ment programs "could be micro- phoned under the culture require- ment Also protested the Idea that menus for foreigners must be cus- tom-made (the rules prohibit short- waving of features designed chiefly for domestic reception) at consider- able increased expense. Reasonable Limits ' Under sharp 'questioning, the two web spokesmen agreed they have not been inconvenienced so far and that no government agency has sought to dictate or blue-pencil in the past They maintained, however, that the FCC has gone far beyond reasonable limits in setting up performance re- quirements for short-wave opera- tions. ° Among the examples of mat- ter which conceivably could draw criticism and jeopardize their li- censes are press -Items- telling of the Roosevelt administration's displeas- ure over conduct ot Hitler and Mus- solini, they said, uncomplimentary speeches about other countries by public officials, and certain specif events. They also noted domestlo programs—^Lucky Strike, Camel Car- avan. Charlie Mc<?arthy, Eddie Can- toi^which might not be considered by some blue-noses as typifying U.S. 'culture.' Even the Interior Depart- ment's educational features—Ameri-' cans All, "What Price- America and Let Freedom Ring—could be kept off the short-waves if the rule were strictly construed, Willis remarked. Langoage Qaestlon Idea that intematlonal programs should be broadcast in language of prospective audiences was rapped by Willis as impractical. English tongue Is spoken by 234,000,000 per- sons—second largest number using ' any lingo—which includes 100,000,-. 000 to 150,(100,000 individuals outside the U. S. and England, he remarked. Many Americans abroad like to hear from home and ar« entitled to con- sideration, he added. During sharp quizzing about the attitude of the short-wave operators, Mason told (Tommisisoner Walker that 'We don't go to work every dnoming and say -'It's another day— we're going to promote goodwill.'*- A flexible standard would be accept- able, he said, but it is impossible to forecast -the effect of any speciflo program on listeners anywhere and 'intematlonal journalism,' either printed op vocal, cannot be frozen "Into k mold.: "The rule is at best ?an inhibitory measure,' he said, and while the FCC may not contemplate advance ogling of scripts, it could be used to effect the same sort-of control that foreign governments employ, through 'surveillance' of press' representatives. Dickson-NBC Apart Gregory Dickson, film publicist did not get together with Frank Mason of NBC as prospective. tele- vision publicity director. Ditskson will return to Hollywood. Money Ideas separated them.