broadcasting channel. Since the trustees decided in October to take
the local fundraising group's bid of $25.5 million with $8 million up
front, a series of missed deadlines, lawsuits and accusations of
irresponsible business practices have stalled the sale.
Even if trustees go ahead with the deal, which looks more likely
after the foundation removed a contentious condition of the sale this
weekend, they still face a lawsuit from spurned bidder Daystar
Television Network. The Dallas-based Christian broadcaster has asked
a judge to stop the purchase and declare it the highest responsible
bidder and has served deposition notices on the district trustees.
"Daystar is attempting to use intimidation, pressure and threats
to get its way, and those efforts in this community will fail," said
Bob Brown, chairman of the KOCE-TV Foundation. "If anything, those
heavy-handed tactics only reinforce why Daystar is exactly the wrong
organization to own Orange County's only public television station.
KOCE-TV is a community asset, and we intend to defend it vigorously."
KEEPING IT PUBLIC
Trustees George Brown, no relation, and Jerry Patterson have each
expressed the district's desire to maintain the station's public
broadcasting format, something the foundation has promised to do. If
KOCE-TV is sold to another entity that stops airing PBS programming,
the district's attorney, Milford Dahl, said, the Corporation for
Public Broadcasting could sue for return of $22 million in grants and
equipment.
The district and foundation each fired back at Daystar with
countersuits alleging that the bid came from a "sham entity," not
Daystar, and that Daystar is not a responsible bidder. The
$25.1-million bid was submitted on Daystar letterhead, but as
Community Television Educators of Orange County.
The countersuits are not Daystar's only pieces of legal
entanglement. The Federal Communications Commission is investigating
Daystar for improperly using its noncommercial educational channels
by selling air time and commercials, which is against regulations.
The probe follows a lawsuit by another Christian broadcaster,