Showing posts with label Paxson Communications. Show all posts
Showing posts with label Paxson Communications. Show all posts

September 12, 2008

McCain: Phony Reformer

The phony biographical background on McCain is that after the Keating Five incident, McCain switched sides to become a "maverick" who fights the kind of corruption in which he earlier engaged. The only problem with the story is that it's make-believe.

The Paxon One scandal is more recent evidence that McCain is not who he claims to be.

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July 26, 2008

McCain and Paxson Communicaion

John "Keating Five" McCain is famous for being one of five Senators caught trying to intimidate federal commissioners responsible for enforcing the rules of the Savings and Loan industry. Charles Keating's S&L was in financial and legal trouble after making huge profits before the S&L crash in the 1980s. McCain tried to get regulators to look the other way in Keating's case.

A more recent case goes by the name Paxson Communication. In the Paxson case, there is written evidence that McCain clearly violated ex parte rules barring outside pressure on Federal Communications Commissioner (FCC) decisions, like trying to influence a judge. What makes it even more improper is that McCain did this as chairman of the Senate Commerce Committee, which has jurisdiction over the FCC, its chartering legislation and its budget. Being in government myself, when the Senator of the committee that approves your budget asks you to jump, you don't wait to ask "how high," you immediately jump as high as you can.

The Issue:

At issue in the Paxson case was Paxson's desire to gain commercial control over a public TV station in Pittsburg, PA. It was a small-time issue, which makes it even more suspicious that Chairman McCain would take a personal interest. The reason for his personal interest was that the now-famous Vicki Iseman was lobbying Chairman McCain on behalf of Paxson.

What McCain Did Wrong:

First, McCain took sides on an issue in favor of a private organization contrary to the public interest. Second, he did so by trying to pressure the "judges" in the case, members of the FCC. There was an issue of the clock running out on Vickie Iseman's client Paxson. McCain wrote letters directly to each FCC commissioner inquiring about their votes, and asking them to respond by a specific date. FCC Commissioner Tristani wrote McCain saying, in diplomatic terms to the man who controlled the FCC budget:

“In that letter, you requested that each commissioner advise you in writing by the close of business today whether we have acted upon these applications. Respectfully, I cannot comply with your request, in order to preserve the integrity of our processes. It is my practice not to publicly disclose whether I have voted or when I will be voting on items in restricted proceedings prior to their adoption by the full commission.”

It's not only Tristani's practice, it's the law. She knew that McCain's actions were illegal. According to Angela Campbell, director of the Institute for Public Representation at Georgetown University Law Center, McCain's actions were formally proven to be a violation:

... on December 20th, we actually filed a complaint with the Federal Communications Commission’s general counsel, alleging that he had violated the rules, and we asked for them to act on it right away. They did not. However, eventually, in August of 2000, they did rule that the senator had violated the rules.

So, McCain's claims of high integrity are probably no better than any other Senator. Given his fame in the Keating Five scandal, his record is probably worse than most.

Update:

John McCain's campaign has denied the Sentor met with Paxson Communications in 1999; however, Lowell Paxson has contradicted this statement. McCain's Paxson Problem.

Sources:

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February 23, 2008

McCain's Paxson Problem

Sexual trysts aside, the substance of the Vicki Iseman buzz is starting to gain attention in the main stream media (DemocracyNow had been onto it earlier). According to Market Watch, via the Washington Post:
In a new twist to a potential scandal brewing on the campaign trail, broadcaster Lowell Paxson disputed statements from Sen. John McCain's presidential campaign that the senator did not meet with Paxson or his lobbyist, Vicki Iseman, in 1999.

However, Lowell "Bud" Paxson remembers it differently.

"I remember going there to meet with him." He said he told McCain: "You're head of the Commerce Committee. The FCC is not doing its job. I would love for you to write a letter."

The letter that McCain eventually wrote to pressure the Federal Communications Commission (FCC) was in violation of ex parte rules barring outside pressure. The FCC commissioners function like judges in matters of interpretation of regulation, and McCain tried to pressure those judges. For more background and links to an in-depth piece from the perspective of the other side of the Paxson FCC case my essay: Keating Five Belies McCain's Record.

Note: Paxson Communications is now called Ion Media Networks. Paxson "PAX TV" grew throughout the 1980s and 1990s buying stations on the fringe of markets, catering to shopping, informercials and religious programming. According to Wikipedia:

In Pittsburgh, Pennsylvania, the company wanted to buy WPCB, channel 40, from Cornerstone Television, and move the license to channel 16 (which was, and still is, occupied by WQEX), with channel 40 used for educational purposes. The two agreed on a purchase price, but the Federal Communications Commission had too many questions about the deal, most relating to the type of broadcast license to be operated on each channel, and it fell through.

So, Paxson's Pittsburgh deal fell thru, despite, or perhaps as a rebuke of, McCain's pressure. Remember, in 1999, the FCC was of a majority Democratic composition reflected by the Clinton administration.

Sources:

San Fransisco Market Watch,
McCain's denial of lobbyist meeting disputed: report
, Sue Chang, February 23, 2008.

February 22, 2008

Keating Five Belies McCain's Record

In his reponse to the New York Times article regarding lobbyist Vickie Imesman, McCain said:
At no time have I ever done anything that would betray the public trust nor make a decision which in any way would not be in the public interest and would favor anyone or any organization. As chairman of the Commerce Committee, there were hundreds of issues, including many telecommunications issues, that came before the committee. I had to make decisions on those issues, and I made those decisions. Sometimes they were agreed with, sometimes they were not.

Sometimes they were agreed with, sometimes they were not? Aside from being senseless, one has to wonder, does McCain mean to say "sometimes they were above board and sometimes they were not?" The evidence presented below proves that sometimes McCain favored private interests at the expense of the public, contrary to his statement above.

Two well-documented cases belie the claim McCain is upstanding. The first has a historic name, and the second involves lobbyist Vickei Iesman.

The first goes by the name of the Keating Five, of which McCain was one of the five. In short, the Keating Five crimes involved five US Senators who tried to influence regulators on behalf of wealthy Savings and Loan magnate Charles Keating during the 1980s version of today's mortgage and financial crisis. It's as illegal as trying to influence a judge's decision. The point. McCain cannot claim a long unblemished career; he's central to a famous influence peddling scandal.

The second more recent case goes by the name Paxson Communication. In the Paxson case, there is written evidence that McCain clearly violated ex parte rules barring outside pressure on Federal Communications Commission (FCC) decisions, like trying to influence a judge. What makes it even more improper is that McCain did this as chairman of the Senate Commerce Committee, which has jurisdiction over the FCC, its chartering legislation and its budget. Being in government myself, when the Senator of the committee that approves your budget asks you to jump, you don't wait to ask "how high," you immediately jump as high as you can.

The Issue:

At issue in the Paxson case was Paxson's desire to gain commercial control over a public TV station in Pittsburg, PA. It was a small-time issue, which makes it even more suspicious that Chairman McCain would take a personal interest. The reason for his personal interest was that the now-famous Vicki Iseman was lobbying Chairman McCain on behalf of Paxson.

What McCain Did Wrong:

First, McCain took sides on an issue in favor of a private organization contrary to the public interest. Second, he did so by trying to pressure the "judges" in the case, members of the FCC. There was an issue of the clock running out on Vickie Iseman's client Paxson. McCain wrote letters directly to each FCC commissioner inquiring about their votes, and asking them to respond by a specific date. FCC Commissioner Tristani wrote McCain saying, in diplomatic terms to the man who controlled the FCC budget:

“In that letter, you requested that each commissioner advise you in writing by the close of business today whether we have acted upon these applications. Respectfully, I cannot comply with your request, in order to preserve the integrity of our processes. It is my practice not to publicly disclose whether I have voted or when I will be voting on items in restricted proceedings prior to their adoption by the full commission.”

It's not only Tristani's practice, it's the law. She knew that McCain's actions were illegal. According to Angela Campbell, director of the Institute for Public Representation at Georgetown University Law Center, McCain's actions were formally proven to be a violation:

... on December 20th, we actually filed a complaint with the Federal Communications Commission’s general counsel, alleging that he had violated the rules, and we asked for them to act on it right away. They did not. However, eventually, in August of 2000, they did rule that the senator had violated the rules.

So, McCain's claims of high integrity are probably no better than any other Senator. Given his fame in the Keating Five scandal, his record is probably worse than most.

Update:

John McCain's campaign has denied the Sentor met with Paxson Communications in 1999; however, Lowell Paxson has contradicted this statement. McCain's Paxson Problem.

Sources:

The Arizona Republic, The Keating Five, Dan Nowicki, Bill Muller, March 1, 2007, AZCentral.com.

DemocracyNow!, Behind the John McCain Lobbying Scandal: A Look at How McCain Urged the Federal Communications Commission to Act on Behalf of Paxson Communications, February 22, 2008.

Paxton, Paxon