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Payola case against Entercom is upheld

ALBANY, N.Y., Oct. 17 (UPI) -- New York Attorney General Eliot Spitzer won the support of a state Supreme Court judge who backed his payola suit against Entercom Communications.

Entercom -- the fourth largest U.S. radio group with 105 stations -- sought the dismissal Spitzer's allegation that it broke state and federal laws by taking bribes from record labels to give certain musicians airtime on its stations.

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A 25-page ruling from Judge Ira Gammerman, obtained by Radio & Records, rejected all of Entercom's arguments for dismissal and said evidence compiled by Spitzer indicates the group engaged in practices that were "deceptive" and "misleading."

Entercom, with headquarters in Bala Cynwyd, Pa., has 20 days to respond to Gammerman's ruling, which propels Spitzer's case against the radio group into the discovery phase, Radio & Records reported.

Spitzer has already reached multimillion-dollar settlements with the four largest U.S. record labels and is reportedly in settlement talks with seven radio groups including Clear Channel, CBS Radio, Cox Radio and Emmis Communications.

Entercom would be the first to stand trial in the probe.

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