Radio & Satellite

Spitzer Subpoenas All Nine Major Radio Groups In Payola Probe

ABC News is reporting that the focus of a two-year-long payola investigation by New York Attorney  General Eliot Spitzer is now aimed at the nation’s nine largest radio conglomerates.

Courthouse_8Spizer apparently has evidence that shows some radio conglomerates have participated in the illegal practice of accepting payments from record companies and independent consultants and promotion firms for guaranteed air play of specific songs.

"The behavior has been unethical, improper, illegal and a sanction of some severity clearly should be imposed," Spitzer told ABC News chief investigative correspondent Abc_1Brian Ross.  And in what should come as now surprise to almost anyone involved in the industry Spitzer and music industry execs also told "Primetime" that millions of dollars in payments, gifts and trips are exchanged each year to get radio to add song.

Spitzer says record company documents obtained in the investigation of Sony Music and Warner, reveal payments for songs that became major hits, including Jennifer Lopez’s "I’m Real" and John Mayer’s "Daughters." Other artists whose named in the documents Spitzer has obtained apparently include Jessica Simpson, Celine Dion, Maroon 5, Good Charlotte, Franz Ferdinand, Switchfoot, Michelle Branch and R.E.M.

"Clearchannel300_19We have people in suits coming in with documents rather than cash payments under the Infinity_150x50_1 table to a DJ," Spitzer told ABC. The nine radio groups subpoenas include Clear Channel, Infinity, Entercom, Emmis, Citadel, Cumulus, Cox, Pamal and ABC.       "I would like to see the FCC more directly involved in addressing what is very clearly a payola scandal that has run rife through the industry," Spitzer told ABC News.

Read the full ABC transcript and watch the video here.

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