Major Enquiry Started - Price Fixing

[GhostShip]

It seems the Cartel are under scrutiny for the shady and illegal "business practices" they partake in to defraud the consumer.

http://www.slyck.com/news.php?story=1116

Reuters is reporting the United States Department of Justice has subpoenaed all four major music labels – Sony BMG, Vivendi Universal, EMI and Warner Music. 

The DOJ’s reported investigation is an expansion of New York State Attorney General Eliot Spitzer’s current inquiry. At question is whether the four major labels have conspired to set music download prices at 99 cents. If evidence exists the four worked together to fix prices, the State of New York could bring antitrust lawsuits against the companies.

Currently, no one from any of the music companies or the Department of Justice is offering comment. However Reuters has reported that sources close to the investigation stated that Sony-BMG has already received their subpoena. In addition to the DOJ remaining quiet on the issue, no press release has currently been issued.
The widespread implications beyond the state of New York could justify the DOJ’s role in this new round of subpoenas.

Lets cut to the chase here, last time some of the Cartel Members paid a fine to aviod any stains on their copybooks, I hope justice is firm in its resolve to root out widespread and illegal activity by these theives. 

[Lysander]

Just this? Jeeze, and not even going into the obvious pricefixing of physical CDs?

[GhostShip]

Another scalp looks on the way, although I would be more happy if these illegal practices by record companies and radio stations where more hard hitting in the way of fines.
This small change is derisory and hardly a detterent.

http://news.bbc.co.uk/1/hi/entertainment/4788762.stm

A US radio giant took payment from record companies in exchange for playing songs on air, New York's attorney general has said.
Eliot Spitzer has taken legal action against Entercom Communications, which operates more than 105 US radio stations, in a crackdown on "payola".

Mr Spitzer said the firm sold air time for $1,000 (£575) or more per song.
Entercom, based in Pennsylvania, denied the accusation. A spokesman said: "We have firm policies prohibiting payola."


US regulator the Federal Communications Commission (FCC) began to investigate "pay-for-play" practices in the music industry - also known as payola - last year.
Last July music firm Sony BMG agreed to pay $10m (£5.75m) and stop paying radio station employees to play its artists' songs.
In November Warner Music Group agreed to pay $5m (£2.87m) to settle a "pay-for-play" investigation.

Mr Spitzer said on Wednesday: "We have moved from the label side, those who put out the records and are forced to pay for air time, and switched to the radio conglomerates... that are extracting money."

Once again we see who the real theives are and its on public record, remember the names folks and do your best to purchase music that has nothing to do with corrupt practices and underhand tricks that stifle real talent for a fast buck.