Another bidder on the FCC’s default hook

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DebtTalkline Communications was the winning bidder for a CP-to-be in Narrowsburg NY early in 2006 – but it never came forward with the necessary deposits. It now is on the bubble for a potentially big loss in exchange for nothing.


The company bid $252,850 for the allotment, in unrated territory in upstate New York across the Upper Delaware River from Pennsylvania.

Talkline’s $40K upfront payment applied to the down payment on the CP, and it paid an additional $10,570 to keep its account current.

And then, according to the FCC, “Despite more than twenty requests by Commission staff over the five years following the close of Auction 62, Talkline failed to provide the Media Bureau with the required showing that the tower it intended to use had been properly registered with the Federal Aviation Administration.” In fact, it didn’t get a response until 3/1/11.

Despite all this, the FCC announced it was ready to grant the CP on 9/15/11. Talkline missed both the deadline and the late-payment deadline to pay the balance of the bid and claim its CP.

It now owes a default payment equal to 3% of its initial bid, which works out to $7,585.50, which the FCC is deducting from its upfront payment. Now the waiting begins – Talkline will be responsible for the difference if a new bidder claims the station for a lower price. The matter is now pending.