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desist order against NICATV and NITCO.
On March 18, 1985, the FCC, after concluding that NICATV and
NITCO were affiliated companies and that they had violated the
FCC's cross-ownership rules, ordered NICATV and NITCO to: (1)
Divest all cable television facilities constructed in violation
of the FCC's rules and terminate all improper affiliations
between NICATV and NITCO, and (2) undertake to negotiate a good
faith settlement of the cable television company-complainant's
claim for damages. The FCC further proposed to impose a $20,000
fine against NITCO. On August 13, 1985, the FCC denied NITCO's
motion for reconsideration and reaffirmed its prior March 12,
1985, order.
In November 1985, NICATV and NITCO concluded a settlement
with the cable television company-complainant that disposed of
the complainant's claim against them. The FCC, however, declined
to terminate the proceedings and rescind its prior orders
requiring NICATV and NITCO to divest themselves of the cable
television facilities.
Until about 1990, NITCO and NICATV continued to dispute the
validity of the FCC orders requiring a divestiture of the cable
television facilities. At various times during the period from
August 1985 through 1990, they sought to have the FCC's actions
reviewed and invalidated by the United States Court of Appeals
for the District of Columbia Circuit and the United States
Supreme Court. Ultimately, the Court of Appeals upheld the FCC's
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