Evening star., 1942-07-02
Der. indorsed pending legislation to

Der. Endorsed pending legislation II
rewrite communications laws.
Testifying before the House In
terstate Commerce Committee, Mr.
Craven voiced many opinions di.
rectly in conflict with those giver
previously during three weeks o.
| hearings by FEC Chairman James l.
Fly. who generally had opposed the
| legislation.
Mr.. Craven upheld the radio net
works. expressed the view that news
papers should not be barred from
operating radio stations and assert
ing that 'in recent years the COM
mission has operated under a plan
of organization which in my opin.
ion is basically unsound,'
Urges Two Divisions.
Urging separation of the seven
man commission into two divisions
as proposed by the pending legisla
ton, Mr.. Craven declared that "toc
many matters which should have re-
ceived careful attention have re-
ceived too little attention or none at
all"
Mr.. Fly has opposed separating
the commission under the proposal
which would have sheared him OF
much of his authority.
Referring to the commissions re-
cent regulation curtailing the oper-
alton of networks, Mr.. Craven said
networks as we now know them are
essential to our system of broadcast
ing and in the main operate ef-
ficiently and we'll"
The networks, he said, should be
permitted to work out their own
economic destiny without interfer-
ence by the commission
(Mr. Craven dissented from the
recent FEC network regulations)
Combined Operations.
He said it was difficult to under
stand" why combined operations of
radio stations and newspapers
should be prohibited and warned
that such a prohibition might re-
suit in destruction of either or both
the newspaper and the radio
Service"
Evidence already received by the
commission during prolonged hear
ings ordered on the subject by
Chairman Fly has not shown that
newspaper-owned stations have
been operated contrary to the pub
lie interest" Mr.. Craven said.
Any action taken by Congress on
this subject, he suggested, should
not deprive present ownership of
their property in existing stations
or prevent them from exercising "an
adequate and proper measure of
control of the operation of such
properties"
Mr.. Craven was introduced by
Chairman Lea. who commented
that the committee desired to hear
the conflicting views of the COM
mission on the proposed changes in
the law.
Gives Stand on Policies.
Without elaboration, Mr.. Craven
told the committee he did not re
gard the commission as an agency
empowered to promulgate new
social-economic policies" and said
many of us believe Congress in
tended that radio broadcasting be
free from unnecessary or arbitrary
restraints imposed by the licensing
agency"
Nevertheless" he added, Others
believe that the commission should
regulate much more than the tech
nical aspects of broadcasting.
IF Congress desires the commits
sion to regulate the business prac-
tices of licensees" Mr.. Craven con-
tinued, "it should so state"
Complaining that existing adju-
dicative processes of the commission
have not been entirely satisfactory,
Mr.. Craven testified that "in some
instances it seems to me that q full
and fair hearing has not been given
to all parties who have or may have
legitimate interest in the subject
matter dealt with"
Mr.. Craven said he believed that
no licensee should be restricted in
his operation without first being
accorded q full hearing" He de-
scribed as meritorious the proposals
of the National Association of Broad
casters, an organization whose man
agement Mr.. Fly had criticized
during his testimony.
Urges Freedom Of Action.
Congress should not, he continued
give the commission power to regu-
late the contractual or other rela-
tions between the licensees of radio
stations and networks.
The solution of the problem of
network broadcasting, Mr.. Craven
said, rests in permitting the great
est freedom Of action both from an
economic and from program
standpoint insofar as is consistent
with provisions of general law"
The licensing of networks, he said,
would inevitably limit rather than
encourage competition between net
works." Since the networks ARE in
the last analysis program production
and sales agencies" Mr.. Craven con-
tinued, the power to license them
would make the commission "be-
come both their economic mentor
and the judge Of the propriety OF
their program material"
This is censorship in its worst
FORM" he commented.