"(5) for violation of or failure to observe any cease and desist order issued by the Commission under this section; or

"(6) for violation of section 1304, 1343, or 1464 of title 18 of the United States Code.

"(b) Where any person (1) has failed to operate substantially as set forth in a license or (2) has violated or failed to observe any of the provisions of this Act or (3) has violated or failed to observe any rule or regulation of the Commission authorized by this Act or by a treaty ratified by the United States the Commission may order such person to cease and desist from such action.

"(c) The Commission may suspend a station license for a period of not more than ten consecutive days—

"(1) for false statements made either in the application or in any statement of fact which may be required pursuant to section 308;

"(2) because of conditions coming to the attention of the Commission which would warrant it in refusing to grant a license on an original application;

"(3) for failure to operate substantially as set forth in the license;

"(4) for violation of or failure to observe any provision of this Act or any rule or regulation of the Commission authorized by this Act or by a treaty ratified by the United States;

"(5) for violation of or failure to observe any cease and desist order issued by the Commission under this section; or

"(6) for violation of section 1304, 1343, or 1464 of title 18 of the United States Code.

“(d) Before revoking a license or permit pursuant to subsection (a), issuing a cease and desist order pursuant to subsection (b), or suspending a license pursuant to subsection (c), the Commission shall serve upon the licensee, permittee, or person involved an order to show cause why an order of revocation or suspension or a cease and desist order, as the case may be, should not be issued. Any such order to show cause shall contain a statement of the matters with respect to which the Commission is inquiring and shall call upon the licensee, permittee, or person to appear before the Commission at a time and place stated in the order, but in no event less than thirty days after the receipt of such order, and give evidence upon the matter specified therein; except that where safety of life or property is invoked, the Commission may provide in the order for a shorter period. If after hearing, or a waiver thereof, the Commission determines that an order of revocation or suspension or a cease and desist order should issue, it shall issue such order, which shall include a statement of the findings of the Commission and the grounds and reasons therefor and specify the effective date of the order, and shall cause the same to be served on said licensee, permittee, or person."

AMENDMENT OF SECTION 317

SEC. 3. Section 317 of the Communications Act of 1934 (47 U.S.C. 317) is amended to read as follows:

"ANNOUNCEMENT THAT MATTER IS PAID FOR

"SEC. 317. (a) For the purposes of this section, the term 'payment' means any payment made or to be made in money or property, in services, or in any other manner or form constituting a valuable consideration.

"(b) With respect to any matter broadcast by a radio station, for the broadcasting of which matter any direct or indirect payment has been or is made or promised to, or charged or accepted by, any person, it shall be the duty of the person in control of such broadcasting to broadcast in connection therewith an announcement that such matter was paid for or furnished, as the case may be, and such announcement shall name the person who made, promised, or furnished such payment; except that

"(1) this subsection shall not require the person in control of the broadcasting to make such an announcement with respect to any payment of which neither such person nor any officer or employee of such person had knowledge at the time the matter in question was broadcast, if such lack of knowledge was not due to the failure of such person to use reasonable diligence in seeking the information needed for the purposes of this subsection, and

"(2) if the person in control of the broadcasting makes an announcement, in purported compliance with this subsection, and such announcement is

based on and is in conformity with, and is made in good faith in reliance upon, information furnished to such person by another person as required by subsection (c) of this section, the person in control of such broadcasting shall not be held to have violated this subsection by reason of the fact that the announcement so made is false or inadequate if he establishes a guaranty relating to the payment in question, signed by and containing the name and address of such other person, which meets the requirements specified with respect to guaranties in subsection (c) of this section.

"(c) Whenever any person makes or promises to make any direct or indirect payment for the broadcasting of any matter broadcast by a radio station, it shall be the duty of the person who makes or promises to make such payment— "(1) to inform the person who, under such subsection (b), is required to make such announcement of the name and address of the person making or promising to make the payment, the name and address of the person to whom the payment has been or is to be made, and the nature of the payment and the amount or value thereof, and

"(2) if requested to do so by the person who is required by subsection (b) to make such announcement, to furnish to such person a guaranty (in such form as shall be prescribed by the Commission) that the information given pursuant to paragraph (1) of this subsection is a full and true statement of the information required to be supplied thereunder."

NEW SECTION 508

SEC. 4. Title V of the Communications Act of 1934 (47 U.S.C. subchapter V) is amended by adding at the end thereof the following section:

"PROHIBITED PRACTICES IN CASE OF QUIZ PROGRAMS AND OTHER PROGRAMS PRESENTING

CONTESTS OF KNOWLEDGE OR SKILL

"SEC. 508. (a) It shall be unlawful for any person, with intent to deceive the listening or viewing public—

"(1) To supply to any participant in a purportedly bona fide contest of knowledge or skill any special and secret assistance whereby the outcome of such contest will be in whole or in part prearranged or predetermined. "(2) By means of persuasion, bribery, intimidation, or otherwise, to induce or cause any participant in a purportedly bona fide contest of knowledge or skill to refrain in any manner from using or displaying his knowledge or skill in such contest, whereby the outcome thereof will be in whole or in part prearranged or predetermined.

"(3) To produce or participate in the production for broadcasting of, to broadcast or participate in the broadcasting of, to offer to a licensee for broadcasting, or to sponsor, any radio program, knowing or having reasonable ground for believing that, in connection with a purportedly bona fide contest of knowledge or skill constituting any part of such program, any person has done or is going to do any act or thing referred to in paragraph (1) or (2) of this section.

"(4) To conspire with any other person or persons to do any act or thing prohibited by paragraph (1), (2), or (3), if one or more of such persons do any act to effect the object of such conspiracy.

"(b) For the purposes of this section

"(1) The term 'contest of knowledge or skill' means any such contest (A) which constitutes the whole or any part of a program broadcast from a radio station, and (B) in connection with which any money or any other thing of value is offered as a prize or prizes to be paid or presented by the program sponsor or by any other person or persons, as announced in the course of the broadcast, on the basis of the performance or performances of the successful participant or participants in the contest.

"(2) The term 'the listening or viewing public' means those members of the public who, with the aid of radio receiving sets, listen to and view programs broadcast by radio stations.

"(c) Whoever violates subsection (a) shall be fined not more than $10,000 or imprisoned not more than two years, or both."

EFFECTIVE DATE

SEC. 5. The amendments made by this Act shall take effect 120 days after the date of its enactment.

[H.R. 10241, 86th Cong., 2d sess.]

A BILL To amend the Communications Act of 1934 by adding thereto a new section to prohibit the broadcasting of material intended to deceive the listening or viewing public

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That part I of title III of the Communications Act of 1934 (47 U.S.C. 301-329) is amended by adding at the end thereof the following new section:

"BROADCASTING OF MATTER INTENDED TO DECEIVE THE LISTENING OR VIEWING PUBLIC

"SEC. 330. (a) It shall be unlawful

"(1) for any person to use, or to cause or assist any person to use, the facilities of any station for the broadcasting of any program, or part thereof, with intent to receive the listening or viewing public.

"(2) for any person to prepare, or to cause or assist any person to prepare, any material for use in any broadcasting program, or any part thereof, with intent to deceive the viewing or listening public;

"(3) for two or more persons to conspire to do any act or thing prohibited by subparagraph (1) or (2), if one or more of such persons does any act to effect the object of such conspiracy.

"(b) Whoever violates subsection (a) of this section shall be fined not more than $5,000 or imprisoned not more than two years, or both. "(c) For the purposes of this section

"(1) Advertising matter which is broadcast in connection with a program, and which is intended or calculated to promote the sale of articles or services, shall be held to be part of such program.

"(2) The term 'matter' includes all writing, signs, signals, pictures, and sounds of all kinds, or any combination thereof, disseminated or communicated by means of radio communication."

[H.R. 10242, 86th Cong., 2d sess.]

A BILL To amend the Communications Act of 1934, to strengthen the effectiveness of the Federal Communications Commission in assuring that broadcasting licensees operate in accordance with the public interest

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 307 of the Communications Act of 1934, as amended (47 U.S.C. 307), is amended by striking out subsections (d) and (e) and inserting in lieu thereof the following subsections:

"(d) No license granted for the operation of a broadcasting station shall be for a longer term than three years and no license so granted for any other class of station shall be for a longer term than five years, and any license granted may be revoked or suspended as hereinafter provided.

"(e) Upon the expiration of any license, upon application therefor, a renewal of such license may be granted from time to time for a term of not to exceed three years in the case of broadcasting licenses, and not to exceed five years in the case of other licenses, if the Commission finds that public interest, convenience, and necessity would be served thereby. In the alternative, in the case of broadcasting licenses, if the Commission finds that public interest, convenience, and necessity would be served thereby, a conditional renewal for a term not to exceed one year may be granted upon such terms and conditions as the Commission, in its discretion, shall deem appropriate. Upon the expiration of the conditional license, upon application therefor, a renewal of the original license may be granted for a term not to exceed three years, if the Commission finds that the licensee has met the terms and conditions imposed in the conditional renewal and that public interest, convenience, and necessity would be served thereby.

"(f) In order to expedite action on applications for renewal of broadcasting station licenses and in order to avoid needless expense to applicants for such renewals, the Commission shall not require any such applicant to file any information which previously has been furnished to the Commission or which is not directly material to the considerations that affect the granting or denial of such application, but the Commission may require any new or additional facts it deems necessary to make its findings. Pending any hearings and final decision

on such an application and the disposition of any petition for rehearing pursuant to section 405, the Commission shall continue such license in effect.

"(g) No renewal of an existing station license shall be granted more than thirty days prior to the expiration of the original license."

SEC. 2. Section 312 of such Act (47 U.S.C. 312) is amended as follows: (1) Subsection (a) is amended by inserting at the end thereof the following sentence: "For any act or omission described in paragraph (3), (4), or (5) of this subsection, the Commission, in lieu of revocation, may from time to time suspend any station license for a term not to exceed thirty consecutive days." (2) Subsection (c) is amended to read as follows:

"(c) Before revoking or suspending a license or permit pursuant to subsection (a), or issuing a cease and desist order pursuant to subsection (b), the Commission shall serve upon the licensee, permittee, or person involved an order to show cause why an order of revocation or suspension or a cease and desist order, as the case may be, should not be issued. Any such order to show cause shall contain a statement of the matters with respect to which the Commission is inquiring and shall call upon said licensee, permittee, or person to appear before the Commission at a time and place stated in the order, but in no event less than thirty days after the receipt of such order, and give evidence upon the matter specified therein; except that where safety of life or property is involved, the Commission may provide in the order for a shorter period. If after hearing, or a waiver thereof, the Commission determines that an order of revocation or suspension or a cease and desist order should issue, it shall issue such order, which shall include a statement of the findings of the Commission and the grounds and reasons therefor and specify the effective date of the order, and shall cause the same to be served on said licensee, permittee, or person." (3) Subsection (e) is amended to read as follows:

"(e) The provisions of section 9(b) of the Administrative Procedure Act which apply with respect to the institution of any proceeding for the revocation of a license or permit shall apply also with respect to the institution, under this section, of any proceeding for the suspension of a license or the issuance of a cease and desist order."

[H.R. 11397, 86th Cong., 2d sess.]

A BILL To amend the Communications Act of 1934 by adding thereto a new section to prohibit commercial bribery for the purpose of inducing the broadcast performance of musical works

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That title V of the Communications Act of 1934 is amended by adding at the end thereof the following new section:

"INDUCEMENTS FOR BROADCAST PERFORMANCE OF MUSICAL WORKS

"SEC. 508. (a) It shall be unlawful:

"(1) For any station licensee to accept payment in services, money or any other valuable consideration as an inducement for performing or selecting the performance of any particular musical work or recording thereof in which the party making such payment (or for whom the payment is made) has a pecuniary interest.

"(2) For any person directly or indirectly to pay or promise to pay services, money or any other valuable consideration to any station licensee as an inducement for performing or selecting the performance of any musical work or recording thereof in which the person making such payment (or for whom such payment is made) has a pecuniary interest.

"(3) For any employee of a radio or television broadcast station or any other person to accept payment in services, money, or any other valuable consideration from any person other than his employer in consideration of selecting a particular musical work or recording thereof for broadcast.

"(4) For any person directly or indirectly to pay or promise to pay services, money or any other valuable consideration to any employee or a radio or television broadcast station as an inducement for performing or selecting the performance of any musical work or recording thereof.

"(b) Whoever violates any provision of subsection (a) (1), (2), (3), or (4) of this section shall, upon conviction thereof, be punished by imprisonment for not more than one year or by a fine of not more than $1,000, or both.

"(c) Nothing contained herein shall be construed to prohibit a party with a pecuniary interest in a musical work or recording thereof from making a bona fide purchase of time on a station in order to sponsor such musical work or recording thereof."

[H.R. 11398, 86th Cong., 2d sess.]

A BILL To amend the Communications Act of 1934, to strengthen the effectiveness of the Federal Communications Commission in assuring that broadcast licensees, filing renewal applications, continue to operate in accordance with the public interest

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 307 of the Communications Act of 1934, as amended (47 U.S.C. 307), is amended by striking out subsections (d) and (e) and inserting in lieu thereof the following subsections:

"(d) No license granted for the operation of a broadcasting station shall be for a longer term than three years and no license so granted for any other class of station shall be for a longer term than five years, and any license granted may be revoked or suspended as hereinafter provided.

"(e) Upon the expiration of any license, upon application thereof, a renewal of such license may be granted from time to time for a term of not to exceed three years in the case of broadcasting licenses, and not to exceed five years in the case of other licenses, if the Commission finds that public interest, convenience, and necessity would be served thereby.

"(f) If the Commission finds that public interest, convenience, and necessity would be served thereby, a conditional renewal of broadcasting licenses for a term not to exceed one year may be granted upon such terms and conditions as the Commission, in its discretion, shall deem appropriate. Upon the expiration of the conditional license, upon application therefor, a renewal of the original license may be granted for a term not to exceed three years, if the Commission finds that the licensee has met the terms and conditions imposed in the condiditional renewal and that public interest, convenience, and necessity would be served thereby.

‘(g) In making its findings and decision on applications for renewal of broadcasting station licenses, the Commission shall consider among other things: "(1) Whether the applicant has violated any of the provisions of title V, section 508, subsection (a) (1) of this Act.

"(2) Whether the applicant has ratified or consented to conduct by any of its officers or employees in violation of title V, section 508, subsection (a)(3) of this Act; provided, also, that such consent shall be presumed from recurrent violations of section 508, subsection (a) (3) over a period of at least six months found by the Commission to constitute a pattern or practice.

"(h) In order to expedite action on applications for renewal of broadcasting station licenses and in order to avoid needless expense to applicants for such renewals, the Commission shall not require any such applicant to file any information which previously has been furnished to the Commission or which is not directly material to the considerations that affect the granting or denial of such application, but the Commission may require any new or additional facts it deems necessary to make its findings. Pending any hearings and final decision on such an application and the disposition of any petition for rehearing pursuant to section 405, the Commission shall continue such license in effect.

"(i) No renewal of an existing station license shall be granted more than thirty days prior to the expiration of the original license."

[S. 1898, 86th Cong., 1st sess.]

AN ACT To amend the Communications Act of 1934 with respect to the procedure in obtaining a license and for rehearings under such Act

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 309 of the Communications Act of 1934 (47 U.S.C. 309) is amended to read as follows:

"ACTION UPON APPLICATIONS; FORM OF AND CONDITIONS ATTACHED TO LICENSES "SEC. 309. (a) (1) No application provided for in sections 308, 310 (b), and 325 (b) for an instrument of authorization or any station in the broadcasting or common carrier services or for any station within the scope of subsection (e)