Sinclair is proposing a new divestiture plan just two days after the Federal Communications Commission moved to effectively reject the broadcaster’s merger with Tribune by sending the matter for hearings before an administrative law judge, according to news reports.
The FCC and public shouldn’t be fooled by this last-minute effort by Sinclair. They must reject it.
Sinclair has already demonstrated contempt for FCC rules and proper public disclosure.
The company this year was fined more than $13 million for failing to disclose sponsored content on its station.
Two years ago, it was fined $9.5 million to settle allegations that it illegally coordinated retransmission consent negotiations with the kind of “sidecar” partners it proposes to use in this transaction.
This week, the FCC reportedly accused Sinclair of deception and lacking candor in providing information about its plans to divest ownership of station WGN in Chicago.
Clearly, the FCC is simply applying the rules to the Sinclair merger as it would with any other transaction.
The FCC cited for hearings just three stations that Sinclair didn’t properly divest. We have brought to the FCC’s attention other stations that are still controlled by Sinclair that haven’t been properly divested.
Now, Sinclair is claiming the FCC is treating it unfairly.
The record shows the FCC has been deferential to Sinclair, affording it multiple opportunities and considerable time to propose legitimate divestitures that would comply with the commission’s media ownership rules.
By all accounts, this deal’s closure has been delayed by almost a year due to Sinclair’s intransigence in complying with both FCC and DOJ requirements.
It should be noted the DOJ approval of this deal, even at this late date, is still pending.
Today’s desperate, 11th-hour proposal again demonstrates its refusal to respect the actions of the commission.
Newsmax, as well as other leading conservative groups and leaders, have opposed this deal on several grounds.
The extraordinary reach the new proposed network would have clearly violates the ownership limitation rules that had been set since 2004.
If this merger were approved, it would open the door for networks like NBC, CBS and ABC to begin buying local TV stations across the nation, effectively controlling local news from New York.
The proposed company would also give Sinclair significant leverage over cable operators to promote Sinclair’s owned cable channels, putting independent programmers like Newsmax TV at a disadvantage.
Earlier this week, I commended FCC Chairman Ajit Pai for his fairness and integrity for recommending action against Sinclair. I strongly urge him to stick to his and the FCC’s plan to move this merger to a hearings phase so that the disputed matters can be fully resolved by an independent judge.
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