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KZZU Settles With FCC in Payola Case

Consent decree includes $12,000 fine and agreement to adopt reforms.

The FCC has reached a consent decree with the owner of a station in Spokane, Wash., ending an investigation involving sponsorship identification.

QueenB Radio Inc., licensee of KZZU(FM), will pay $12,000 into the U.S. Treasury as part of the decree, under which the FCC drops its investigation.

The broadcaster will also modify its procedures and policies and implement reforms on sponsorship ID.

The company states in a new compliance plan that it “commits to enforcing high standards with respect to the Sponsorship Identification Laws to avoid violations and the appearance of impropriety in the area of music selection.” It will also submit annual reports to the FCC concerning compliance.

And it will adopt business reforms that address how the it and its staff will interact with record labels, label employees and independent music promoters.

The decision was announced by Kris Anne Monteith, chief of the Enforcement Bureau.

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