“perfecto” SMUGGLE/3B Hernstadt challenges Channel 3 license By Diane Russell Review-Journal Valley Broadcasting Co.’s attempt to renew its federal license for KVBC-TV Channel 3 is being chal lenged by former state Sen. Bill Hernstadt. The Federal Communications Commission has set Oct. 28 as the date it will conduct a joint hearing on Valley Broadcasting’s application to renew its license and on the appli cation of Hernstadt’s family to be granted the license. Hernstadt said again recently that he has evidence against Valley Broadcasting that he believes will prompt the FCC to take the license away from the company and grant it instead to his family. However, he once again declined to give specific examples of the evi dence, saying it would be improper for him to make that information public before he supplies it to the federal agency. “The burden of proof is on me to show that these people are unsuit able to hold a broadcast license,” Hernstadt said. He asserted that he can present evidence “more than suf ficient” to persuade the FCC to deny Valley Broadcasting’s renewal re quest. Jim Rogers, president and chair man of the board of Valley Broad casting, declined to comment on the licensing matter. Rolla Cleaver, station general manager, said he does not know what evidence Hernstadt could have against Valley Broadcasting. “We have no idea,” Cleaver said. “That’s been the source of consider able discussion.” He said he could not comment fur ther on the subject because it still is pending before the FCC. Hernstadt said he expects a slan der judgment awarded against him in 1980 by a District Court jury to be brought up during the licensing hear ing and said the judgment might be considered “a demerit." “I think that is the only thing that the Valley group could hang their hat on,” he said. The slander judgment stemmed from a lawsuit brought against Hern stadt by 1978 Republican gubernato rial candidate William Allen. The candidate charged that Hernstadt had slandered him during a candi dates’ show on the eve of the primary election. Hernstadt, who then owned Channel 5, hosted the show. A District Court jury determined Hernstadt should pay Allen $675,000. Hernstadt appealed the decision to the state Supreme Court, which sid ed with the jury’s verdict, but cut the amount of the award to $50,000. Hernstadt said that he paid the $50,000 rather than incur further ex penses by continuing to pursue the matter in court. Hernstadt said he would not ex pect the slander judgment to be a determining factor in the FCC deci sion. “I have a broadcast career my- Please see VALLEY/3B Elsinore Corp. chief