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FOX TO INVEST $20 MILLION IN MINORITY-OWNED STATION GROUP
Published October 11, 1994
News Corp.'s Fox TV Station unit, which has been sparring with the NAACP over the legality of Fox's station ownership, said it will invest as much as $20M for the formation of a black-owned station group. The new company, Blackstar Communications LLC., plans to purchase stations that will switch their affiliations to Fox. In filings with the FCC, the NAACP has contested Fox's right to its eight TV station licenses, "arguing that the company is controlled by Australian-based News Corp. and thus is violating restrictions on foreign ownership of broadcast properties." The NAACP argues that by not enforcing the foreign ownership restrictions, the FCC limits the properties available to minorities (Elizabeth Jensen, WALL STREET JOURNAL, 10/10).