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Nine Entertainment’s board raised concerns sponsorship deals that triggered ACMA investigation

Concerns were shared among the Peter Costello-chaired board, including questions about how Nine Radio could have failed to declare dozens of commercial partnerships by top hosts including Ben Fordham, Jacqui Felgate and others.

Nine Radio in 'damage control' following Jacqui Felgate scandal

Nine Entertainment’s board has raised serious concerns about the sponsorships saga that has dogged its radio arm, including 2GB host Ben Fordham’s Uber deal and 3AW host Jacqui Felgate’s 15 paid partnerships.

Both are the subject of an ­investigation by the media regulator.

The discussions at the Nine board’s most recent meeting, in September, came soon after a ­series of stories published by The Australian exposed Felgate’s then undeclared partnerships and also Fordham’s conduct, which prompted an investigation by the Australian Communications and Media Authority.

Multiple sources, who did not wish to be named, said serious concerns were shared among the board chaired by Peter Costello, including questions about how Nine Radio could have failed to declare dozens of commercial partnerships across its four stations, 3AW, 2GB, 4BC and 6PR.

3AW presenter Jacqui Felgate.
3AW presenter Jacqui Felgate.

Among the board members’ queries was whether Nine Radio, headed by managing director Tom Malone, knew about Felgate’s long list of deals before signing her as a presenter.

Another issue raised was Fordham’s paid deal with Uber after a segment aired on his program on August 3 in which he told listeners he had started Uber driving to earn extra money.

ACMA is investigating the matter to determine whether Fordham should have disclosed the paid deal with Uber during the segment.

Under ACMA’s standards, presenters must provide licensees with details of a commercial agreement that meets its disclosure requirements within seven days of entering into the deal.

The deals must also be disclosed on air during a segment when a brand is promoted and the presenter holds a paid deal with it.

Nine Entertainment will hold its annual general meeting this Thursday, led by Mr Costello and chief executive officer Mike Sneesby, with members of Nine’s board present.

2GB host Ben Fordham. Photo by: NCA Newswire / Gaye Gerard
2GB host Ben Fordham. Photo by: NCA Newswire / Gaye Gerard

Felgate’s career at 3AW has followed a remarkable trajectory: she began as a food reviewer last year and progressed to being a fill-in radio presenter, including on the Afternoons program following the shock sacking of Dee Dee Dunleavy in June.

Then, in September, she was appointed as 3AW’s Drive host from next year, replacing Tom ­Elliott, who will replace Neil Mitchell on the mornings program next year.

Felgate is renowned for her ­relentless spruiking of goods and services on Instagram to her 274,000 followers.

Last week she plugged a new paid deal with travel business Luxury Escapes and told her followers she was looking forward to taking part in a new podcast series about the company. The deal has not appeared on 3AW’s register.

Commercial partnerships Felgate promotes on Instagram ­include those with BMW, Melbourne Racing Club, NAB AFL Auskick, Maybelline, Melbourne Airport and Chadstone shopping centre.

They were disclosed by 3AW only after The Australian questioned why they had not been ­declared.

Nine Radio managing director Tom Malone. Picture: John Feder
Nine Radio managing director Tom Malone. Picture: John Feder

The Australian contacted Felgate’s management, TLA Worldwide, and asked questions about her paid deals but received no ­response.

Felgate finished broadcasting for the year last month, when Tony Moclair took over as full-time host of 3AW’s Afternoons.

“Jacqui is taking a break and will return to 3AW as Drive host early in the new year,” a Nine spokeswoman said.

“The commercial registers will continue to be updated regularly to ensure continuous compliance with the standard.”

The Australian has also revealed that on a number of occasions Felgate has failed to adhere to ACMA requirements to disclose paid deals on air, including the one with BMW.

She told listeners on August 28 she had been driving a BMW iX3 electric car and gave it a glowing review without disclosing the partnership, or that she was a brand ambassador.

An ACMA spokesman said ­investigations into Nine Radio were continuing.

“The ACMA is actively engaged with Nine Radio about its compliance with the Broadcasting Services (Commercial Radio Current Affairs Disclosure) Standard 2022,” he said.

“The ACMA will not be commenting further on these matters until our inquiries and investigations are concluded.”

Sophie Elsworth
Sophie ElsworthMedia Writer

Sophie is media writer for The Australian. She graduated from a double degree in Arts/Law and pursued journalism while completing her studies. She has worked at numerous News Corporation publications throughout her career including the Herald Sun in Melbourne, The Advertiser in Adelaide and The Courier-Mail in Brisbane and on the Sunshine Coast. She began covering the media industry in 2021. Sophie regularly appears on TV and is a Sky News Australia contributor. Sophie grew up on a sheep farm in central Victoria.

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Original URL: https://www.theaustralian.com.au/business/media/nine-entertainments-board-raised-concerns-sponsorship-deals-that-triggered-acma-investigation/news-story/e5bde15460e3998f174fcad681a7768a