NEWSReport No. CI 97-8        COMPLIANCE AND INFO ACTION         September 10, 1997

FCC WINS COURT ACTION AGAINST UNLICENSED RADIO OPERATOR

     On September 5, 1997, the United States District Court for the District of Minnesota
granted the Government's motion for judgment on the pleadings in a pirate radio case.  The
Court supported the Government's actions in seizing equipment which had been used for
operating an unlicensed radio station in Minneapolis, Minnesota.

     The station in question, known as "The BEAT," was broadcasting without a license on
97.7 MHz from a location in downtown Minneapolis.  The broadcasts, which covered an area
of approximately 12 miles, continued even after an August 1996 warning letter from the FCC
informing the station operator that the broadcasts violated Section 301 of the Communications
Act.  The station's operator, Alan Fried, responded to the FCC's warning letter and
challenged the constitutionality of the FCC's regulations.    

     In October 1996, after a hearing, a U.S. Magistrate issued a Warrant of Arrest which
directed the U.S. Marshal for the District of Minnesota to seize the equipment.  The
equipment was seized in early November 1996.  Mr. Fried subsequently filed a claim with the
Court pertaining to the property which had been seized by the U.S. Marshal.  He raised 
several issues in his defense challenging the constitutionality of the FCC rules prohibiting low
power FM broadcasting.  The FCC, represented by the U.S. Department of Justice, responded
to Mr. Fried's claim and requested a judgment on the pleadings.  

     The Court's opinion, by U.S. District Judge Michael J. Davis, focused on Mr. Fried's
admission that the equipment was used for transmitting on 97.7 MHz without a license issued
by the FCC, and that the transmissions continued after he received a warning from the FCC
to stop broadcasting.  With respect to Mr. Fried's constitutional arguments, the Court agreed
with the Government's argument that the District Court does not have subject matter
jurisdiction to consider the constitutionality of the FCC rules and regulations on low power
broadcasting.  The Court held that the Courts of Appeals have exclusive jurisdiction to review
the FCC's rules and regulations.     

     In general, unlicensed radio transmissions create a danger of interference to important
authorized radio communications services.  Such transmissions using equipment of unknown
technical integrity raise a particular concern because of the potential for harmful interference
to authorized services, including public safety and aircraft frequencies.
                                   -FCC-
     News Media contact:  Maureen Peratino at (202) 418-0500.
     Compliance and Information Bureau contact:  Douglas Cooper  at (202) 418-1167.