March 17, 1994

Commissioner James H. Quello Addresses FCBA
           
       Two new formal complaints filed against Howard Stern and Infinity Broadcasting
could, if found actionable, result in serious enforcement action, according to Commissioner
James H. Quello, speaking today before the Federal Communications Bar Association in
Washington, DC.

       Commenting on the new complaints, Quello stated "In each previous case in fining
Infinity, the Commission has stated it would consider further actions should Infinity broadcast
indecent material in the future.  Each time there has been another repeated violation."

       "How many 'next times' can the public and the Commission tolerate?  Common sense
alone would dictate that it is obvious the fines have not had a deterrent effect."

       The senior commissioner then warned, "I do not know if the latest Stern complaints
contain actionable material or not.  I will, in the normal course, review their content and will
at that time make a legal judgment.  If that legal judgment finds that the material is in fact
indecent, I will not shrink from a further judgment that forfeitures, however sizable, are not
deterring illegal action.  If the facts dictate that further conclusion, I will confront the issue of
a possible FCC administrative hearing as a sad reality -- That sad reality will be one that
Infinity, and not this Commission or this Commissioner has made necessary."

       The latest complaints were filed March 4 and cover Stern broadcasts from November
17, 1993 to February 22, 1994, on station WWKD-FM, Buffalo, New York.

       These complaints are in addition to previous complaints that the Commission
unanimously found actionable in five previous decisions.  They resulted in one warning and
four separate notices of apparent liability.  The four notices resulted in fines totalling
$1,678,250.00, all being appealed in court by Infinity.

       In a strong statement dissenting to the transfer of station KRTH (FM), Los Angeles, to
Infinity following the most recent fine, Quello wrote "I believe substantial and material
questions of fact have been raised by the continued repeated egregious violations so as to
question whether further grants of assignment or renewal applications to Infinity would serve
the public interest."

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       Quello concluded his statement with a general First Amendment declaration:  "As a
former newsman and broadcaster, I consider myself a strong advocate of First Amendment
rights.  I believe reporters and broadcasters have a right to be wrong; a right to even be
insufferable smart asses; but not a right to violate established indecency and obscenity laws."

       In other comments:  Quello favored relaxation of multiple and cross-ownership rules
in view of the increasing multi-channels and oncoming DBS, provided there is a market cap
of 25% to prevent market domination by any single entity.

       He said he tended to support all legitimate means that would provide additional
income for universal free TV, the most influential and pervasive of all media, including
secondary and ancillary flexible use of HDTV spectrum, as long as HDTV broadcasting
remains the number one priority.

       He asked that universal free broadcasting, the most essential of all services, be allotted
the highest priority in all transmission systems, including in the advance planning of an
electronic information superhighway.

       The Commissioner also called for creating an environment that will allow cable
industry reasonable growth and opportunity.  He supported the recent further rate reductions,
but stated that cable now must be able to adjust rates for inflation and to recover increased
program costs, franchise fees and taxes.  He added, "Most importantly, the Commission must
promptly institute relief for small systems."

       In opening his St. Patrick's Day remarks, Quello labeled FCBA lawyers "lucky legal
leprechauns in a field of four leaf clovers filled with billable hours."  He continued "the first
leaf was the 1992 Cable Act otherwise known as the Lawyers Relief Act of 1992.  The
second leaf being spectrum auctions; the third leaf being PCS; and the fourth leaf of the
clover being expanded interconnection.  Because of the possibilities contained in this four leaf
clover, partners are assured long term profits and your associates of full gainful employment."

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