What was thought to be a done deal as far as Audacy’s post-bankruptcy restructuring might be far from over as soon-to-be FCC Chairman Brendan Carr might potentially seek to overturn a previous Commission vote due to ownership ties around George Soros.
Carr, who is currently the senior Republican Commissioner, joined Mornings with Maria on FOX Business on Monday to discuss his priorities for the agency and his plans to tackle regulatory challenges under the Trump administration.
During his appearance, Commissioner Carr decried perceived favoritism within the FCC under Democratic Chairwoman Jessica Rosenworcel, saying, “For too long in this government, particularly over the last couple of years, your last name dictated how the government treated you,” he said. “If your last name was Soros, well, the commission bent over backwards and gave you a special, unprecedented commission-level shortcut to buy 200 radio stations. If your last name was Musk, well, then you lost $800 million contracts that you lawfully got. Everybody now is going to get a fair shake going forward.”
On September 30, the FCC approved, in a 3-2 vote, a temporary waiver allowing Audacy to emerge from bankruptcy before filing a petition regarding Laurel Tree Opportunities Corporation’s acquisition of more than 40% of Audacy’s senior debt during its Chapter 11 bankruptcy exit. The ownership benchmark set by the Communications Act is 25%.
Laurel Tree is managed by the Soros-backed Fund for Policy Reform. Given Soros’ history as a heavy Democratic donor, GOP leaders flagged the alleged “fast-tracking” of Audacy’s ownership deal as potentially politically motivated.
At the time, Carr criticized the decision as “unprecedented,” arguing that established procedures were bypassed without seeking public or federal agency input on changing regulations. Chairwoman Rosenworcel rebutted that the Transfer of Control process followed the same approach used in similar cases, such as the bankruptcy proceedings of Cumulus Media, iHeartMedia, and Alpha Media.
When asked by Maria Bartiromo whether the Audacy deal would proceed, Carr indicated he intends to reevaluate the deal. “There’s a petition for reconsideration pending at the FCC right now, and I want to take a very hard look at that,” he said.
Audacy could also run into trouble as it has filed an updated petition seeking approval to raise its foreign ownership cap as well. The revised filing anticipates foreign ownership not tied to Laurel Tree exceeding the current 25% threshold after warrant exercises.
Carr also used the appearance to look into his future Chairmanship, and emphasized his commitment to aligning with President-elect Donald Trump’s agenda, stating, “Step one for me is to make sure I continue to work with President Trump and his team over the coming weeks as the transition is complete. I want to make sure that I understand 100 percent President Trump’s agenda. After all, when it comes to his administration, the American people voted for him and voted for his agenda.”
Carr outlined several top priorities for his tenure, beginning with tackling censorship. “Americans have lived under an unprecedented surge in censorship over the last couple of years, and we have to work together to smash the censorship cartel,” he said. He also addressed trust in media, pointing to public concerns about broadcasters fulfilling their obligations to serve the public interest.
This could tie into President-elect Trump’s expressed desire that the FCC revoke the broadcast licenses of media outlets that air content he deems as biased or unfavorable.
Throughout the rest of the interview, Carr also cited the need for permitting reform, spectrum allocation, and bolstering the space economy while highlighting national security as a pressing concern. He will take over the chairmanship in January, replacing current Chair Jessica Rosenworcel, who announced her departure effective January 20.
Commissioner Carr, it doesn’t matter. Nobody listens.
I live in an area where a 50 Kilowatt AM was once a service to all the audience since the early 1920’s..Now with Audacy they do ok til 1pm and then it is a free for all until sports at 4pm..Take a listen Barry H Cohen..Jim Miller
It seems commissioner Carr is also one-sided. He fails to acknowledge the preponderance of right-wing propaganda that has dominated the AM band for years. Perhaps he needs to rethink his concerns about political influence in radio ownership.