The ABA is proposing to determine three program standards for commercial radio licensees after finding a systemic failure to ensure the effective operation of the industry's self-regulatory codes of practice
he ABA is proposing to have to closely administer 3 April 2003 that will provide approach taken by 3AW to determine three pro practices in the industry. The at least the same level of com the issue of compliance with Tgram standards for ABA proposes to do this, but munity safeguards as are con the codes and the endorse commercial radio licensees only for a limited period. Our tained in the proposed ment of products and services after finding a systemic failure purpose is to have mainly standards. by presenters. to ensure the effective opera self-regulatory codes in place The ABA found a substantial The ABA found that there tion of the industry’s self that commercial radio owns failure by commercial radio appears to have been a sys regulatory codes of practice. and which guides it in the licensees to comply with temic failure to ensure the The three proposed stand preparation and broadcast of Codes 2 and 3 of the Commer effective operation of self ards, which are contained in current affairs. This is not to cial Radio Codes of Practice. regulation, particularly in re the ABA’s final report of the impose unnecessary bureau The ABA found 12 breaches lation to current affairs Commercial Radio Inquiry, cratic burdens on the broad of the codes by 5DN Adelaide programs, at four of the major relate to disclosure of com caster. It is to ensure that and 17 breaches of the mercial agreements by pre listeners have available mainly codes by 6PR Perth. (In senters of current affairs self-regulated commercial its report on 2UE Syd programs, the need to distin broadcasting services that pro ney released earlier this guish advertisements from vide, at a very high standard, year, the ABA had found other programs and the estab the fair and accurate coverage 90 breaches of the codes lishment of compliance pro of matters of public interest.’ and also had found five grams by licensees. Unlike ‘That was the wish of Parlia breaches of the licence codes of practice, compliance ment in 1992 and, with good condition relating to ‘po with standards is a condition will on all sides— by the litical matter’.) of a broadcaster’s licence. The broadcasters and the regula While the ABA’s inves proposed standards would tor— it can be achieved. If it is, tigation into 3AW Mel commence operation on 1 No it will offer a fresh start for co bourne did not find any vember 2000 and end on 2 regulation with a model which breaches of the codes April 2003. will be an example to others.’ or the Act, it did find In releasing the final report The ABA expects that by the that 3AW did not have the ABA Chairman, Professor cessation of the proposed adequate systems in David Flint said: ‘This report standards the commercial ra place to communicate looks to the future. The sys dio industry will have devel information to staff con tem of co-regulation intro oped, and submitted to the cerning the codes. Nei duced in 1992 always ABA for registration, codes of ther did it find any Professor David Flint, ABA Chairman and John Corker, ABA General Counsel, at envisaged that the ABA might practice to operate from evidence of a standard the release of the reports.
A u g u s t 2 0 0 0 3 ABA ^U pdate
talkback stations in the coun work within which day to day personnel and sponsors of many listeners, and talkback try. A number of the current operations are conducted in current affairs programs must is a significant source of infor affairs programs on these sta an appropriate and ethical always be disclosed; mation and opinions for the tions are widely syndicated to fashion. Dealing with ethical • relevant commercial agree entire community. regional areas. Within a sig issues is, by definition, a mat ments between key station It is the ABAs view that nificant proportion of current ter of dealing with shades of personnel and sponsors in licensees should note in par affairs programs, the codes grey rather than black and other programs should be dis ticular the importance placed are not operating to provide white. All codes of conduct or closed; by the Parliament on the in appropriate community safe practice require interpretation, • presenters of current affairs fluence broadcasting services guards. and facility with their impact programs must (and present may have in political debate. The ABA is concerned about on day to day activities is ers of other programs should) The ABA will continue to view a number of practices in the achievable only through edu provide a full copy of all their seriously any breaches of the commercial radio broadcast cation, practice and regular relevant commercial agree Act in relation to political mat ing industry evidenced by its reinforcement. The proper and ments to the licensee; ter. investigations. These include successful implementation of • advertisements must not be The ABA considers that the undisclosed commercial rela any code of practice requires presented as other programs; legislation should be amended tionships between presenters that each of these elements be and to require licensees to keep a and third parties including present. • licensees must comply with copy of all material broadcast advertisers; and undisclosed The ABA s investigations into the requirements of Clause 4 for a period of six months commercial arrangements be the commercial radio industry of Schedule 2 of the Act in rather than the present 60 days. tween licensees and advertis show that these basic elements relation to the broadcast of In addition the ABA considers ers (including agreements for of code implementation have political matter and must en that its existing powers lack the use of outside broadcasts been either absent or mini sure that the identity of third the flexibility and force to in advertising campaigns). The mally addressed in each li parties, at whose request po properly respond to serious ABA has concluded that these censee under examination. In litical matter is broadcast, is code breaches and that it lacks practices have influenced the most cases, the steps that have disclosed. sanctions that have immedi content of programs. been taken have been imple Radio is an influential me ate effect. The evidence before the ABA mented only in response to dium. In particular, the treat The report lists options which indicates that the effort made actual or threatened regula ment of current affairs the government could con by the licensees examined to tory intervention, and are of (including talkback program sider to remedy this situation. ensure compliance with the such superficiality as to have ming) on radio can influence These include: codes has been inadequate. been unlikely to succeed. the course of political and • the power to direct adver Codes of practice deal with The ABA is of the view that: social debate in Australia. tising free periods; ethical issues. Their principal • relevant commercial agree Talkback announcers carry • the power to designate a function is to provide a frame ments between key station considerable weight with period of time a presenter is
Printed copies of the reports are available from the ABA:
The reports, and other public documents associated with the inquiry are available on the ABA's web site at:
4 prohibited from broadcasting; • the power to require on-air corrections or the findings of ABA investigations to be broadcast; • the power to impose a civil penalty; and • a general power to approach the Federal Court for injunc tion orders (in relation to breaches of the law, but not of the codes.) In developing options for legislative change, the ABA considered how these issues are dealt with in Canada, Ger many, France, Sweden, the United Kingdom and the Professor Flint and John Corker field questions from the media United States. In the course of conducting Background matters of public interest recog ganisation representing the the inquiries into commercial nises that for most people broad major Australian banks). On radio, a number of important Section 4(1) of the B roadcast casting is a major source of 15 July 1999, the ABA an ethical issues also came to the ing Services Act 1992provides: information on issues and events nounced that it would be us ABA’s attention. As they were The Parliament intends that dif in the world ... It is intended ing its formal powers under outside the scope of the in ferent levels of regulatory con that, in the reporting of events the Broadcasting Services Act quiries and the ABA’s formal trol be applied across the range and the presentation of issues, to conduct an investigation responsibilities, the ABA did of broadcasting services accord providers of broadcasting serv into the issues raised by the not consider it appropriate to ing to the degree of influence ices will report the facts and ‘Media Watch’ program. offer views on them. ’ that different types of broad facilitate the presentation of the After further allegations ap However, the ABA noted that the following are significant issues that deserve further c public discussion. The ABA found that there appears to have • Is it appropriate in a de mocracy for a corporation to been a systemic failure to ensure the effective seek to purchase covert rather operation of self-regulation, particularly in than overt dissemination of its opinions? relation to current affairs programs, at four j • Is it appropriate for corpo of the major talkback stations in the country rations to solicit behaviour that would breach publicly avail able codes? casting services are able to ex range of views on any particu peared in the media concern • What is the role of manag ert in shaping community views lar issue. This does not mean, ing financial arrangements be ers, agents and other personal in Australia. however, that broadcasters will tween 2UE’s breakfast representatives in negotiating Object 3(g) of the Act states: be required to give equal time program presenter Mr Alan agreements? to encourage providers of com to every view on any particular Jones and commercial inter • Is it appropriate for corpo mercial and community broad subject. ests, the ABA announced that rations to dispense large casting services to be responsive it would be widening the amounts of money to indi to the need for a fair and accu The inquiry scope its inquiry to include viduals for conduct that is not rate coverage of matters of pub 2UE broadcasters other than then monitored and in ex lic interest and for an On 12 July 1999 the ABC pro Mr Laws. change for vague and unen appropriate coverage of mat gram ‘Media Watch’ broad Soon after the commence forceable obligations? ters of local significance. cast a story concerning an ment of the 2UE investiga The Explanatory Memoran alleged financial agreement tion, the ABA received dum to the Act records: between 2UE presenter Mr information relating to the reference in this object to a John Laws and the Australian fair and accurate coverage of Bankers’ Association (an or continued on p. 7
A u g u st 2 0 0 0 5 Al commercial television networks, plus the ABC and SBS, covered the release of the report continued from p. 5 The Commercial of all commercial radio Radio Codes of licences that: commercial arrangements Practice and the Act If a broadcaster broadcasts po entered into by an announcer litical matter at the request of at commercial radio station Neither the Commercial Ra another person, the broadcaster 6PR Perth, Mr Howard Sattler. dio Codes of Practice nor the must, immediately afterwards, In addition, further allegations conditions imposed on licen cause the required particulars were raised on the ‘Media sees under the Act specifically in relation to the matter to be Watch’ program of 26 July address commercial arrange announced in a form approved concerning Mr Jeremy ments entered into by pre in writing by the Authority. Cordeaux and radio station senters. The stated purpose of The ABA has formed the 5DN Adelaide. As a result, on Code 2 is ‘to promote accu view that remedial action is 30 July 1999 the ABA decided racy and fairness in news and necessary to ensure the com to expand the terms of refer current affairs programs’. mercial radio industry’s com ence of its commercial radio Clause 2.2(d) of the codes pliance with the Act and the inquiry. provides: codes and, in particular, to In November 1999, the ABA In the preparation and presen ensure the effective disclo expanded the terms of refer tation of current affairs pro sure of the commercial agree ence of its inquiry again to grams, a licensee must ensure ments between presenters and include allegations raised in that: sponsors. volving radio station 3AW Mel The ABA believes that, while bourne. In the course of the (d) viewpoints are not mis there has been a substantial investigation, evidence was represented, and material is not failure in the current co-regu obtained about understandings presented in a misleading man latory arrangements, it remains between other 3AW present ner by giving wrong or im possible to achieve Parlia ers and third parties and in proper emphasis, by editing out ment’s intention of effective March 2000, the ABA decided of context, or by withholding co-regulation by the imposi to amend the terms of refer relevant available facts ... tion of standards in areas ence to ensure such issues Clause 3.1(a) of the codes where the codes have failed, were covered. provides: as well as by future amend The ABA sought documents Advertisements broadcast by a ments to the codes and more from relevant persons and licensee must: effective code compliance by companies in relation to the (a) not be presented as news the commercial radio industry. From top: Anne Davies, the agreements made by Messrs programs or other programs. Sydney Morning Herald; Melissa Fyfe, the Age; Liz Fell, Under sub-section 42 (2) (to Proposed standards Cordeaux, Jones, Laws, media commentator. Mansfield, Price and Sattler gether with Clause 4 of Sched Above: Lance Northey, 2UE, with a range of commercial ule 2) of the Act, it is a condition The ABA has reached a Monique Wright, Seven Mews entities. preliminary view that it should and Darren Roberts, Ten News \f>
A u g u s t 2 0 0 0 7 ABA ^U pdate
determine three standards ap inquiry there has been some and Bilia Hawthorn; between Nightline program were of plicable to commercial radio discussion of what sanctions 3AW and Crown Casino; and promotional and commercial broadcasting licensees. It is can or should be exercised between 3AW and benefit to those businesses. suggested that these com against presenters involved in Transurban. Such mentions are ‘advertise mence operation on 1 No breaches of the codes, condi ments’ within the meaning of vember 2000 and end on the tions or the Act. It is funda Mr Bruce Mansfield Code 3 same date as the expiry of the mental to the regulatory Mr Bruce Mansfield and In some circumstances these conditions placed on the li scheme of the Act that it is Mr Philip Brady hosted the conversational mentions were cence of Radio 2UE Sydney concerned with the regula Nightline program (a light en made in return for goods and Pty Ltd, 2 April 2003. tion of licensees, and not di tertainment, comedy and services rendered free of The ABA expects that by the rectly of their employees or talkback program) on 3AW charge to Messrs Mansfield cessation of the proposed presenters. In the proposed for nine years until December and Brady. standards the commercial ra disclosure standard, the ABA 1999. During this period, dio industry will have devel has addressed the need for Mr Mansfield had agreements, Bilia Hawthorn oped, and submitted to the presenters to disclose their arrangements and under The ABA investigated allega ABA for registration, codes of agreements to licensees by standings with suppliers of tions that Bilia Hawthorn (a practice to operate from 3 requiring licensees to make goods and services whereby Melbourne Volvo dealership) April 2003 that will provide at such disclosure a condition of goods and services were sup received preferential treatment least the same level of com their employment. plied to Mr Mansfield on the with regard to interviews on munity safeguards as are con If Parliament wishes to legis understanding or condition 3AW as a result of the adver tained in the proposed late for sanctions against pre standards. senters, however, the ABA has 4 identified two options, includ The evidence before the ABA The need for ing an approach similar to the legislative change ‘payola’ laws of the United indicates that the effort made States. by the licensees examined The ABA considers that the legislation should be amended 3AW investigation to ensure compliance with 5 to require licensees to keep a the codes has been inadequate. copy of all material broadcast The ABA sought documents for a period of 6 months rather from relevant persons and that the goods or services sup tising relationship between than the present 60 days. In companies for the period be plied would be mentioned on Bilia Hawthorn and 3AW. The addition the ABA considers tween 5 October 1992 (the Radio 3AW. In particular, allegations specifically linked that its existing powers lack date of commencement of the Mr Ash Long, acting for Mr Steve Price (a presenter on the flexibility and force to Act) and March 2000. The ABA Mr Mansfield, entered into 3AW) with Bilia Hawthorn as properly respond to serious examined the effects of agree written agreements that Mr Price drove a vehicle sup code breaches and that it lacks ments, arrangements and obliged Mr Mansfield to men plied by the dealership. sanctions that have immedi understandings entered into tion a supplier of goods or The ABA did not receive any ate effect. by Mr Bruce Mansfield; be services on 3AW without evidence that Mr Price had During the course of the tween 3AW, Mr Steve Price 3AW’s knowledge. entered into improper agree The ABA found that: ments, arrangements or • Mr Mansfield failed to dis understandings that affected close fully to 3AW manage his on-air conduct on 3AW. In ment agreements, arrangements addition, the infrequency of or understandings he had with the interview's, the nature of suppliers of goods and serv the interview's with Bilia Haw ices; and thorn staff and newsworthi • 3AW management did not ness of the interviews of the make sufficient inquiries be managing directors of Volvo, tween July and December 1999 indicate that Bilia Hawthorn to determine whether Mr did not receive any preferen Mansfield had agreements, ar- tial treatment or greater ac ra ngeme nts and understandi ngs cess to interviews as a result with suppliers of goods and of the advertising relationship services. between Bilia Hawthorn and The conversational mentions 3AW or the vehicle provided of various businesses on the to Mr Price.
8 Crown Casino The ABA also investigated al legations that Crown Casino received preferential treatment with regard to interviews on 3AW as a result of the adver tising relationship between Crown Casino and 3AW. The ABA did not receive any evi dence that suggested Crown Casino received preferential treatment or greater access to interview opportunities on 3AW
Advertising 3AW advertising sales staff made approaches to person nel involved in the prepara The Panel. ABA members Ian Roberton, Michael Gordon-Smith and Kerrie Henderson at the launch tion or broadcast of programs on behalf of 3AW advertising from relevant persons and com proceed, however, and pri was no disclosure that they clients. For example, Mr Justin panies for the period between marily involved Mr Cordeaux were paid advertisements. Thompson (the 3AW sales 5 October 1992 (the date of promoting the Casino on-air, The procedures within radio person responsible for the re commencement of the Act) and including by means of a five station 5DN regarding the lationship between February 2000. During that pe minute interview segment monitoring and management Transurban and 3AW) con riod, Mr Jeremy Cordeaux had every week. of advertising between 1993 veyed the impression (to agreements with a range of During the period Septem and 1999 were inadequate in Transurban) that interviews commercial entities, some of ber 1993 to August 1999 (when that station management did requested by Transurban were which. were not examined in the agreement .was termi not detect that radio station likely to be accommodated as the investigation. nated) Mr Cordeaux’s promo 5DN was not being paid for part of the advertising pack The agreements of tional services primarily the regular five-minute inter age. Letters sent by 3AW to Mr Cordeaux with the Ad consisted of a five-minute in view segment. Mr Cordeaux, Transurban served to confirm elaide Casino; Channel Ten terview segment on-air every as Managing Director of the Transurban’s impression that (Adelaide); GIO; and Cable & week, as well as some occa licensee company (in the pe 3AWwould accommodate in Wireless Optus (Optus) (all of sional off-air promotional serv riod 1993-1996), was in a po terviews requested by which included terms relating ices. This weekly five-minute sition to know that radio Transurban as part of the ad to on-air conduct) were ex Adelaide Casino segment con station 5DN was not being vertising package. amined in some detail. stituted an advertisement (for paid for the five-minute inter the purposes of Code 3). view segment. Outsde broadcasts Mr Cordeaux and the As a result, during the pe The aBA found that: Adelaide Casino riod 1993-1999, advertise Mr Cordeaux and Channel • The relationship between Mr Cordeaux approached the ments for the Adelaide Casino Ten advetisers and 3AW was not Adelaide Casino in June 1993 were broadcast on radio sta During the period 1993-1995, fully disclosed during outside to discuss two separate com tion 5DN in circumstances Channel Ten was a regular broadcasts. mercial propositions - an ad where there was no payment advertiser on radio station • The outside broadcasts ex vertising package between the of advertising fees to the li 5DN. In 1 9 9 3 -1 9 9 4 , Mr amined by the ABA provided Casino and 5DN and a public censee. Had the licensee been Cordeaux negotiated a advertisers with a better pros relations package between the paid for the advertisements, separate promotions package pect )f having persons nomi- Casino and Mr Cordeaux. The that payment would have com with Channel Ten, that prima natec by them interviewed on advertising package was not prised part of the gross earn rily involved Mr Cordeaux pro Radio 3AW than if the pro- proceeded with, although the ings of the licensee for the moting Channel Ten on-air, gramhad been broadcast from Adelaide Casino did advertise purposes of calculating licence by means of an interview seg the snclio. irregularly (and on a casual fees. Moreover, these adver ment every day with Channel basis) on radio station 5DN. tisements were presented in a Ten news presenter Mr George SDN investigation The separate public relations manner which suggested that Donikian. package between the Adelaide they were discussions of mat The on-air promotional serv The ABA sought documents Casino and Mr Cordeaux did ters of topical interest; there ices provided by Mr Cordeaux,
A u g u s t 2 0 0 0 9 involving interviews with Mr ‘endorsement’ of (GIO, which Mr Cordeaux and Industry representatives of GIO, AAMI Donikian, constituted an ad included not only' the embel Authority Endorsements and Constant Care opportuni vertisement (for the purposes lishment of live iread scripts Industry Authority Endorse ties to be interviewed on his of Code 3). As a result, during but also the provision of pre ments (IAEs) were a concept program on newsworthy or the period 1993-1999, adver arranged interviews with GIO developed by Mr Cordeaux in topical events. As a result, it is tisements were broadcast on staff on a range off topics, and early 1993 and involved, in the ABA’s view that IAEs (in radio station 5DN in circum comment from GIIO staff on part, the offer of ‘special sta all but name) were sold to stances where there was no newsworthy topics for inclu tus’ to advertisers. IAEs were GIO. payment of advertising fees to sion in news/cuirrent affairs an agreement between adver 'I'he ABA found that the the licensee. Had the licensee programs. tisers, Mr Cordeaux and radio agreements entered into by been paid for the advertise Once Mr Corde*aux’s com station 5DN that offered ad Mr Cordeaux with corpora ments, that payment would mercial agreememt with GIO vertisers the ability to raise tions and associations which have comprised part of the ceased in 1996, he entered their on-air profile by being obliged him to provide serv gross earnings of the licensee into commercial agreements used in interviews comment ices on-air contributed to a for the purposes of calculat with other insuraince and fi ing on newsworthy or topical substantial failure by the li ing licence fees. nancial planning institutions. events (both in news as well censee to comply with the The procedures within radio As a result of thiese subse as other programs). standards of conduct required station 5DN regarding the quent commercial agree In the period following June by Codes 2 and 3- monitoring and management ments, Mr Cordeaux’s on-air 1993, senior sales staff at ra of advertising between 1994 favourable treatmient of GIO dio stations 5ADD and 5DN Breaches and 1995 were inadequate, in ceased and representatives of attempted to implement the The ABA found that:5DN that station management did GIO were no loniger able to concept of IAEs however, the breached Code 2 on 8 occa not detect that radio station secure interviews on the concept was abandoned be sions and Code 3 on 4 occa 5DN was not being paid for Cordeaux prograrm. cause of the lack of interest by sions. The breaches of Code 2 the regular interview segment. advertising agencies. (News and Current Affairs) Mr Cordeaux, as Managing Mr Cordeaux and Optus Mr Cordeaux entered into a resulted from broadcasts by Director of the licensee com Between December 1993 and commercial agreement in 1993 Mr Jeremy Cordeaux on 20 pany (in the period 1994 December 1999, Cordeaux (with GIO) that provided ac February 1996 (relating to 1995), was in a position to Media Pty Limited entered into cess to on-air interviews by GIO) and broadcasts on 21 know that radio station 5DN a commercial agreement with GIO staff, where staff were September 1998, 6 October was not being paid for the Optus to supply tthe services described as being ‘industry 1998,13January 1999, ^ Jan u interview segment. of Mr Cordeaux. T h e primary experts’. This agreement of ary 1999, 22 January 1999 and obligation of the agreement fered access via Mr Cordeaux 18 February 1999 (two sepa Mr Cordeaux and GIO was that Mr Cordeaux would that by-passed the normal rate broadcasts) (all relating Between June 1993 and June promote and mention Optus sales and advertising chan to Optus). 1996, CordeauxMedia Pty Lim favourably on his program, in nels at radio stations 5ADD The breaches of Code 3 (Ad ited entered into a commer particular, by using the talk and 5DN. vertising) resulted from broad cial agreement with GIO to ing points on a range of topics Mr Cordeaux’s commercial casts by Mr Jeremy Cordeaux supply the services of Mr provided to him (with varying agreement with GIO in 1993 on 20 February 1996 (relating Cordeaux. The obligations of frequency) by Opttus. The pri closely resembled the IAE con to GIO) and broadcasts on 13 the agreement included Mr mary purpose of the agree cept (except that it was with January 1999,19January 1999 Cordeaux providing media ment was a guiarantee of Mr Cordeaux exclusively, and 18 February 1999 (all re training to GIO staff and at promotion and favourable rather than with Mr Cordeaux lating to Optus). tending and/or hosting GIO mention of Opttus by Mr and the station). While the functions in South Australia. Cordeaux. original IAE concept seems 6PR investigation The primary obligation of the not to have proceeded, Mr agreement was Mr Cordeaux’s Cordeaux continue d to offer The ABA sought documents
10 from relevant persons and material provided to him by Mr Sattler and RAMS companies for the period be Optus on-air and conducted Mr Sattler was paid a total of tween 5 October 1992 (the interviews during his program about $30,000 by RAMS over a date of commencement of the from time to time with Optus three to four year period in Act) and September 1999. personnel. recognition of his role in pro During that period, Mr Sattler moting RAMS’ business in West Kerrie had agreements with Optus Mr Sattler and Qantas ern Australia through live reads. and Qantas (which were ex In 1997 Mr Sattler entered into amined in some detail). an agreement with Qantas (re Mr Sattler and John Henderson newed in 1998 and 1999) Hughes Skipper Mitsubishi Mr Sattler and Optus whereby he was paid to gen John Hughes Skipper leaves the During the period 1994 to end erally promote Qantas in West Mitsubishi was a long-term 1999, Mi'Sattler entered into agree ern Australia. 6PR management sponsor of Mr Sattler’s pro ments with Optus to promote was not aware of the existence gram. John Hughes Skipper ABA Optus products and services. of Mr Sattler’s agreement with Mitsubishi paid the repay Mr Healy (General Manager Qantas until about July/Au ments for a new car that Mr With the completion of the at 6PR) had been advised of gust 1999- Sattler bought from that com commercial radio inquiry, the existence of Mr Sattler’s Mr Healy (General Manager pany in 1997. The repayments Kerrie Henderson has com agreement with Optus (but of 6PR) was not aware of Mr amounted to about six hun pleted her term as a member not the terms and conditions Sattler’s agreements with dred and twenty-five dollars of the ABA. of the agreements) since 1996 Qantas. Both Mr Healy and per month. Ms H enderson was ap when Mr Sattler’s contract with staff of the promotions de pointed on 17 February 1993 6PR was renewed and a clause partment at 6PR were aware, Breaches for five years, but her ap relating to the Optus agree however, that Mr Sattler was The ABA found that: 6PR pointment was extended until ment was included in the con receiving significant and valu breached Code 2 on 6 occa the end of the Commercial tract. 6PR management able give-away prizes from sions and Code 3 on 11 occa Radio Inquiry. considered that the agree Qantas. The provision of these sions. The breaches of Code 2 Ms Henderson is a director ments between Mr Sattler and give-way prizes ought reason (News and Current Affairs) of Ethica Management Group Optus did not have any im ably to have raised the issue resulted from broadcasts by Pty Limited and consults in pact on 6PR and, Mr Healy did of the relationship between Mr Howard Sattler on 28 March the area of corporate govern not ask to see the terms of Mr Mr Sattler and Qantas in the 1997, 17 November 1997, 13 ance, ethics and cross-cultural Sattler’s agreement with Optus minds of Mr Healy and the January 1999,14January 1999 relations. From 1994 to mid- until after July/August 1999- Promotions Department at 6PR. and 2 February 1999 (all relat 1997, Ms Henderson was Di As a result of its agreements Qantas provided a range of ing to Optus) and a broadcast rector, Leadership Programmes with Mr Sattler, Optus ex materials to Mr Sattler for his on 19 January 1999 (relating with the St James Ethics Cen pected to receive positive on-air use, including promo to QANTAS). tre. Ms Henderson remains a mentions on-air from Mr Sattler tional material on specific The breaches of Code 3 (Ad professional associate of the from time to time about Optus events and media releases and, vertising) resulted from broad Centre, consulting in cross products. Optus provided a during the term of his agree casts by Mr Howard Sattler on cultural business ethics. Be range of materials to Mr Sattler ment with Qantas, Mr Sattler 9 October 1998 and 18 Janu fore this, Ms Llenderson for his on-air use, including used some of that material on- ary 1999 (relating to Optus) practised as a commercial law advertising and promotional air. Mr Sattler conducted in and broadcasts on 3 August yer. material, advertising scripts, terviews during his program (two broadcasts), 6 August, The appointments of Gareth media releases and talking from time to time with Qantas 13 August (three broadcasts) Grainger, ABA Deputy Chair points about issues of interest personnel. and 20 August 1997 (three man and lan Robertson, ABA to Optus. broadcasts) (all relating to Member ceased on 22 July. Mr Sattler used some of the RAMS Home Loans Pty Ltd). r a 3
A u g u st 2 0 0 0 11