Post-Soviet Media Law & Policy Newsletter


Issue 39     Benjamin N. Cardozo School of Law     September 30, 1997 

BULGARIA HUNGARY SLOVAKIA
BULGARIA 

I.  Journalists Object to End of Russian, French Broadcasts.

    The Union of Bulgarian Correspondents protested on September 5 against a decision of the Bulgarian government to stop broadcast of programs of the Russian ORT [Russian Public TV] television company and the French TV-5 channel.
    A statement received by Itar-Tass from Secretary of the Union of Bulgarian Correspondents Aleksandur Angelov says Bulgarian viewers had two wonderful and different information windows to the world, which were directly linked to two great cultures.
    The correspondents think that competent state institutions should do everything possible from the organizational, technical, economic and legal points of view and keep them for Bulgarian television viewers.
    It has been reported that ORT broadcasts in Bulgaria stopped September 1st by the Bulgarian government, which gave financial reasons for the change. Some 3 million dollars have been allocated from the republican budget in the past 7 years to cover the spending on the channel and transmission. Nevertheless, many people think the authorities were guided by political reasons: trying to finally separate Bulgaria from the Russian information, political and cultural influence.

ITAR-TASS news agency, September 5, 1997

II. Contracts with ORT and Other Foreign TV Stations to be Reviewed.

    There is currently no legal way for the Russian [Public TV channel] ORT to continue its broadcasts, chairman of the Committee of Posts and Telecommunications (CPT) Antoni Slavinski told BTA Thursday (August 14th). In his view, another Russian television with clearer status and better financial potentials has stronger chances to be allowed to broadcast.
    On the one hand, ORT has no license for Bulgaria and on the other, if it is to receive a concession, it should make a registration here, sign a contract with the state and settle its accounts. So far, however, no ORT representative has come to Bulgaria, Slavinski says.
    The fact that ORT broadcasts will be stopped in no way represents an attempt to narrow the information range. The goal is to introduce lawfulness and order in radio and television broadcasting, added Slavinski.
    With regards to CNN and TV-5, early last year, when their licenses were still valid, the Committee of Posts and Telecommunications could have transformed them into concessions, but it did not do that, Mr Slavinski said. The Committee of Posts and Telecommunications is studying a project for the establishment of a joint information channel for several foreign televisions to broadcast legally on the territory of Sofia and Pernik (where CNN and TV-5 broadcast now). The broadcast range has been planned to be expanded. The project is still at an initial stage and results are to be expected in a month, Mr Slavinski said.
    The licensing contracts not only of the foreign but also of the Bulgarian broadcasters will be reconsidered. There are two Bulgarian television stations whose licenses are illegal, the CPT chairman said, without specifying their names.

BTA news agency, Sofia, August 14, 1997


HUNGARY 

I.  CME Considers Launch of Hungarian Satellite Channel.

    Ronald Lauder’s Central European Media Enterprises (CME) is considering launching a satellite station for Hungary following the company’s failed bid to gain a national terrestrial license.
    Speaking at a gala event celebrating the one-year anniversary of Slovak Republic commercial station TV Markiza last month, CME President and CEO Leonard Fertig said a CME-financed satellite station for Hungarian viewers “might” be in the works in the coming week.
    Gyorgy Balo, CME’s Hungarian partner, was also on hand at the event and elaborated that he has proposed such a station to CME following its loss in the highly-political Hungarian tender last June. A CME transponder on Eutelsat’s HB2, which it purchased in 1995, would be used for the Hungarian channel if the proposal goes ahead.
    Such a station would not be subject to licensing conditions by the Hungarian broadcasting council (ORTT), which awarded two national television licenses under 10-year franchises. One license went to Hungarian program provider MTM Kommunikacios and Scandinavian Broadcasting Systems (SBS) and a second to CLT-UFA and its Hungarian partners. Both channels are required by Hungary’s media law to launch in early October.
    CME applied for both frequencies and has formally challenged the ORTT’s decision within that country’s legal system on the grounds that the council’s eight members “breached relevant regulations” in the tender process. CME says it offered $66.1 million and $63.5 million, respectively, for the two channels, which is more than its competitors bid for each channel.
    The Capital Court of Budapest did find grounds to set a hearing and the case is expected to be heard on September 12th.
    A decision about the Hungarian satellite channel will depend on the results of the upcoming hearing, as well as an analysis of the Hungarian advertising market.
    On the other hand, CME bought Hungarian dubbing company Videovox last year and has already bought programming for the territory.
    “It would make sense to use these assets somehow,” Fertig said.
    Early next month, CME will launch a major terrestrial network in Poland using 11 frequencies: 9 in northern Poland and one each in Warsaw and Lodz. CME also operates commercial television stations in the Czech Republic, Romania, Slovenia and the Ukraine. (CME, 441/296-1431)

Phillips Business Information, Inc., September 8, 1997

II.  Irisz TV to take capacity on Amos 1; CME to launch satellite channel.

    More details have emerged about the launch of Hungary’s Irisz TV aboard the Amos-1 Satellite (Interspace 624). Irisz TV, which is part-owned by Central European Media Enterprises (CME), was locked out of Hungary’s terrestrial commercial television market last month.
    The consortium has decided to launch as a satellite-delivered channel for two main reasons, reports our sister publication European Media Business & Finance. Ultimately, it still hopes to get one of the terrestrial licenses- though most observers believe this is unlikely. The Bermuda-based, American-run company filed suit in Budapest’s High Court, maintaining that the ORTT did not adhere to its own regulations when it failed to select the highest bidder (CME). The case is due to be heard in September. ORTT officials would not comment on the apparent discrepancy.
    The other reason CME pursued the satellite capacity is because it has the programming. Because of the quick turnaround times expected (stations are supposed to be up-and-running 2.5 months after the winners were announced), the bidders had to start preparing for the channel before the result of the bids were even revealed. Because it is expecting to gain at least one of the licenses, CME, which has just reported a net loss of $41.8 million for the six months of the year, apparently purchased several thousands of hours of programming.

Phillips Business Information, Inc. August 27, 1997


SLOVAKIA 

I.  Financial and Cultural Imperialism Affects TV Markiza.

By Juraj Fuchs

    The hub of anti-government and anti-Meciarite media propaganda, the private TV Markiza company, which is financed from overseas sources [the US company Central European Media Enterprises Ltd (CME)] and operates in the service of foreigners, has celebrated its first anniversary. Understandably, it did so in a manner befitting a US commercial: bombastically.
    Markiza not only lives off foreign capital, it also lives off plundered know-how, for which it has not paid a penny. When a soccer player transfers from Slovan to First FC Kosice, then the club and the player receive huge sums for this. TV Markiza has lured experts, editors, dramatists and technicians away from Slovak TV [STV] and repays the latter for this by positioning itself at the forefront of the campaign against it.
    It is stepping up this campaign, along with the opposition, in connection with the coming elections. The so-called opposition press does not want to see that; for example, Markiza’s reports are—from first to last—orientated against the government and are attuned party politically in the spirit of the scenario for five years of unrest outlined by Jan Carnogursky. There is almost nothing original on private TV Markiza. Everything is imported and plundered.
    For example, STV has had a “Televizne Noviny” [Television News] program for decades. But TV Markiza has had this name “patented.” It has misappropriated it in front of the entire public. And the opposition press has not even registered or commented on this lack of principle.
    The US-owned television channel is continuing this “moral” line and is finding lackeys for 30 pieces of silver.
    The opposition press often compares the incomparable, in this case STV with Markiza. Markiza is raking in huge profits from advertising, while STV has to fulfill its public service obligations, first and foremost, by supporting the development of original drama, music, science and education programs and by giving priority to social issues, whether in the form of documentaries, discussion programs or talks such as the regular feature on Christian ethics presented by Associate Professor Anton Hlinko.
    Instead of this, TV Markiza provides scope for the dissemination of violence depicted in numerous US thrillers in which the main theme is murder for murder’s sake.
    TV Markiza is even capable, through the comments of Deputy Rusnakova, of blaming the government for the floods and of speaking in general about Slovakia, the Slovak people and the Slovak government in the style of Ambassador Chervonenko [Stepan Chervonenko was USSR ambassador to Czechoslovakia from 1965-73 and coordinator of the 1968 Soviet invasion], that is, in the language of occupiers, in order to prepare the nation psychologically for a new letter of invitation. Understandably, the issue this time will involve an invitation to an economic occupation, that is, not by tanks, but, nevertheless, this will be a far more dangerous occupation, because it also threatens the nation’s identity by means of a plague of foreign culture broadcast via TV Markiza.

Slovenska Republika, September 4, 1997