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2 Auction 109 Applications Rejected After Not Disclosing Conflicts

The FCC Media Bureau and Office of Economics and Analytics rejected two applications for Auction 109’s parceling out of radio construction permits, after discovering apparent conflicts of interest with other applicants and “inconsistencies” in their applications, said letters to applicants…

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Sonic Staffing and Paul Alexander posted in docket 21-39 Thursday. Paul Alexander applied as new entrant, but the agency discovered he was also a principal of fellow applicant Scott Communications. Alexander oversees advertising sales, his father is Scott’s CEO and his mother the company secretary, the letter said. Alexander didn’t disclose his connections with Scott until after the agency raised the matter in connection with his short-form application, and the letter said his steps to resolve the conflict and limit information sharing with SCI were insufficient. Sonic Staffing’s Auction 109 applications from Sonic and Ekklesia of Texas both identified Ekklesia Vice President and sole Sonic shareholder Christopher Maynard as their point of contact. “Sonic has not provided us with any information that could allow us to conclude that Mr. Maynard’s role at Ekklesia does not put both companies in violation of the prohibited communications rule,” said the letter. Alexander, Sonic and Scott Communications didn’t comment.114 applicants were qualified to bid in Auction 109 on the four AM construction permits and 135 FM construction permits on offer, said the Media Bureau in a public notice Thursday. Forty-four applicants didn’t qualify. Bidding in the auction begins July 27.