Defendants are Steven Evans, the general manager of KVEL and KLCY of Vernal, Utah, and Joseph Evans, general manager of KNEU and KIFX, of Roosevelt, Utah.
Joseph Evans is the father of Steven Evans. These four stations are the only radio stations in the Uintah Basin that offer local
programming content and local advertising. Joseph and Steven Evans also own DEE Properties, which owns and manages the land and buildings used by the Vernal radio stations. According to the State?s complaint, Joseph Evans is part owner of a competitor?s land and building and both Joseph and Steven Evans jointly own a business closely related to the operation of radio stations in the same market. The state also charged that all of the radio stations produce advertising for customers and that they do not charge each other for costs in
connection with advertising used on the other?s stations. This results in limitations on
competition for advertisement production.
To remedy these violations, the settlement requires that the defendants dissolve DEE Properties and divest all businesses in which anyone connected with a competing station holds an interest, except as specifically approved by the Attorney General. The defendants also are prohibited from conducting joint promotions, except those sponsored or produced by entities not associated with the defendants. Finally, the
stations may produce advertising to be used on both the creating and the competing stations, only when requested by the advertiser, without any suggestion by the stations. This case also resulted in a ruling by the Utah Supreme Court enforcing subpoenas issued by the Attorney General’s office.