FCC to investigate TV use of video news releases
FCC Commissioner Jonathan Adelstein announced plans to investigate "fake news" from use of corporate video news releases (VNRs) in television news broadcasts. The FCC requires licensed TV stations to disclose sponsored broadcast material, and according to Commissioner Adelstein:
"Let me point out that our rules require disclosure even if media outlets themselves were not paid to run the outside programming. In our notice, we noted the law, 'imposes a duty of disclosure on any person involved in the production or preparation of broadcast matter who receives or agrees to receive, or provides or promises to provide, [any] consideration…. In sum, the disclosure information must ultimately be provided up the chain of production and distribution, before the time of broadcast, to the licensee so that it can timely air the required disclosure.”
"Say, for example, a person appearing in a VNR is claiming to be an 'expert' on technological gadgets, but is in fact on the payroll of certain gadget makers that are plugged in the broadcast. That person is required by law to disclose that information, and the broadcast station in turn has a duty to inform the public at the time of airing, even if the station itself received no consideration."
"If the Commission determines that a licensee has violated the law, we may impose monetary fines of up to $32,500 per violation, and initiate license revocation proceedings. In addition, the failure to disclose is a crime, carrying a penalty of up to $10,000, and as much as one year imprisonment."
"As the federal agency charged with enforcing sponsorship ID laws, we should immediately open investigations into these possible violations of our rules and prosecute them to the full extent of the law."
This coincided with the announcement of The Center for Media Democracy and Free Press's report documenting widespread use of VNRs by local stations across the country. The groups also filed a complaint asking the FCC to take action against deceptive broadcasts.
Dan Gillmor has a recent post about sponsored news segments at SF's KRON that were poorly disclosed and criticized as product placements, as reported by the SF Chronicle.
The Free Press report found usage of an undisclosed VNR at SF's CBS affiliate, KPIX, see list of stations.
There's a lot of talk about journalism ethics, blogging standards, and the like. But in the case of TV stations, they are subject to specific legal regulation by the FCC in exchange for the grant of the public's broadcast spectrum.
