OTTAWA — The CRTC today helped clear the way for Evanov Communications Inc. (ECI) to consolidate its radio broadcasting assets in Quebec under the operations of Evanov Radio Group, as part of the company’s corporate reorganization.
In Broadcasting Decision CRTC 2016-323 issued August 12, the CRTC announced it has approved Evanov Radio’s application to acquire the licences of its parent company’s three Quebec-based radio stations, subject to being in compliance with certain conditions of licence requiring Evanov Radio Group to fulfil outstanding commitments to Canadian content development.
The French-language AM radio station CHRF Montréal and the English-language FM station CHSV-FM Hudson/Saint-Lazare are currently operated by ECI subsidiary Dufferin Communication, while ethnic commercial AM radio station CFMB Montréal is operated by CFMB Limited (which in turn is owned by Dufferin). With the CRTC’s approval of Evanov Radio Group’s application, the current licences held by Dufferin and CFMB Limited will be surrendered and the Commission will issue new licences to Evanov Radio Group.
The licensing transaction will not affect the effective control of the three stations, which will continue to be exercised by Evanov Radio Group’s president and CEO William Evanov, the CRTC said. However, as the new licensee of the three radio stations, Evanov Radio Group must meet the terms and conditions of licence for the undertakings as set out by the CRTC in its decision, the Commission said.
While CHRF Montréal is currently in compliance with its regulatory obligations, both CFMB Montréal and CHSV-FM Hudson/Saint-Lazare have previously failed to provide proof of eligibility for part of their required basic contribution to Canadian content development (CCD) under section 15 of the Radio Regulations, 1986. Specifically, CFMB Montréal and CHSV-FM Hudson/Saint-Lazare currently have CCD contribution shortfalls of $1,655 and $3,500, respectively.
As part of its decision, the CRTC said Evanov Radio Group is required to meet the CCD shortfalls by contributing the required amounts to eligible CCD initiatives within 90 days of the publication of its decision.
“Further, to allow for an earlier review of the licensee’s compliance with its conditions of licence, the Commission considers it appropriate to issue the new licences for the two stations for a period equivalent to the remainder of the current licence terms. Accordingly, upon surrender of the current licences issued to Dufferin and CFMB Limited for the undertakings, the Commission will issue new licences to ERG (Evanov Radio Group) for CFMB and CHSV-FM expiring 31 August 2021 and 31 August 2019, respectively,” the CRTC wrote in its decision.
The CRTC said it will issue a new licence for CHRF Montréal to Evanov Radio Group (upon surrender of the current licence issued to Dufferin), and the new licence will expire August 31, 2022. With the licences for CFMB Montréal, CHRF Montréal and CHSV-FM Hudson/Saint-Lazare transferred to Evanov Radio Group, the company will operate a total of 18 stations in Quebec, Ontario, Manitoba and Nova Scotia.
