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March 8, 2006

New York AG Files Suit Against Radio Conglomerate for Payola

Eliot Spitzer, New York Attorney General and gubernatorial candidate, filed civil charges against Entercom Communications that they sought and accepted payments from record labels and independent promoters to increase air time.  Spitzer has gone after labels in the past, most notably Sony among others.  This is the first time he has targeted the radio side of the scandal.

Employees of Entercom apparently sent incriminating emails that promoted a pay for play scheme, and some evidence implies that the practice occurred with corporate blessing.  Representatives of Entercom said they took the charges seriously and were cooperating with Spitzer's office on the probe.  The FCC has taken notice as well, and is starting its own investigation.

The sordid details are in a long report on ABC News.  The New York AG Press Release on the suit is here.

March 8, 2006 | Permalink

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