The FCC is opening a proceeding as to whether the license of Arm & Rage LLC Hip Hop/R&B “Jammin 99.7” 1040 WJBE Powell TN should be revoked following the felony conviction of is sole owner Joseph Armstrong.
Armstrong was convicted on August 8, 2016 on one felony count of fraud and false statements for filing a false federal income tax return. Armstrong, a member of Tennessee’s House of Representatives from 1988 until just after his conviction, had purchased cigarette tax stamps in 2007 and sold them at a profit of approximately $330,000 following the legislature’s increase in the state’s cigarette tax, but did not include the profit on his federal 2008 individual income tax return. He was sentenced to three years probation, six months house arrest, 300 hours community service, pay $99,943 in restitution and a $40,000 fine.
The FCC states that Arm & Rage was required to report the conviction as an adverse finding by April 1, 2017 but did not do so until April 14. It also submitted the same document on its 2020 license renewal to explain its answer of no to the question of whether there had been no adverse findings bearing on the character qualifications of A&R and its principal. The agency states it also responded no to whether it had timely uploaded its biennial ownership reports or issues/programs lists as required.
In sending the station to a renewal hearing, the FCC states, “The felony of which Armstrong was convicted—fraud and false statements—is centered upon criminally dishonest conduct. Armstrong directed that dishonesty at a federal agency by making false statements on a federal tax form. His omission of material financial information (a large profit), resulted in substantial inaccuracy of information that he was federally required to report (total income on which tax liability is based). In light of Armstrong’s past willingness to conceal information from another federal agency in violation of the law, we are unable to conclude on the record before us that Armstrong’s criminal convictions are not disqualifying. In addition, A&R’s late reporting of Armstrong’s conviction to the Commission, along with its self-reported and purportedly inadvertent failure to file ownership reports and to upload issues/programs lists between 2018 and 2020, when considered along with the felony, heighten our concern as to whether we can rely upon A&R to provide complete and accurate information to the Commission. Because Armstrong’s conviction, separately, and together with A&R’s admitted rule violations, raises questions under the Commission’s Character Qualifications Policy Statement, we designate for hearing appropriate issues to determine whether Armstrong, and by extension, A&R, possess the requisite character qualifications to remain a Commission licensee and whether the Commission should revoke the license for WJBE(AM).”
