Hit-Record Distributing Company of Cincinnati

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In THE MATTER OF HIT-RECORD DISTRIBUTING COMPANY OF CINCINNATI ET AL.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION ACT Docket 7897. Complaint, May 20, 1960—Decision, Sept. 28, 1960 Consent order requiring a distributor of phonograph records in Cincinnati, Ohio, to cease giving concealed payola to disc jockeys or other personnel of radio and television programs to induce frequent playing of their records in order to increase sales.

ComrLaINntT Pursuant to the provisions of the Federal Trade Commission Act, and by virtue of the authority vested in it by said Act, the Federal Trade Commission, having reason to believe that Hit-Record Distributing Company of Cincinnati, a corporation, and Isa dore Nathan, individually and as an officer of said corporation, hereinafter referred to as respondents, have violated the provisions of said Act, and it appearing to the Commission that a proceeding by it in respect. thereof would be in the public interest, hereby issues its complaint stating its charges in that respect as follows: Paracrapu 1. Respondent Hit-Record Distributing Company of Cincinnati is a corporation organized, existing and doing business HIT-RECORD DISTRIBUTING CO. OF CINCINNATI ET AL. 747 717 Complaint It i.s o1'dered That the fourth numbered paragraph contained in the second section of the initial decision s order to cease and desist , and it hereby is, modified to read as follows: Entering into, cantinning or enforcing, or threatening to enforce, any agreement or understanding which in any manner restricts or limits T,,-spondents' terminated distributors or customer-rs products tofrom selling products like or similar to respondents' any other prospective purchaser or which in any manner restricts said distributors or customers from using or disclosing the names distribution of productsof their own customers for promoting the other than respondents' products.

It is furthe'/' ordered That the initial decision, as so modified, be and it hereby is, adopted as the decision of the Commission. It i.s further ordered That the respondents shall, within sixty (60) days after service upon them of this order, file with the Commission a report, in writing, setting forth in detail the manner and form in which they have compJiec1 with the order to cease and desist as modified.

Commissioner Tait concurring in the result.