NY Times - "Glenn Beck’s Gold Deal Raising Questions at Fox"

[TomCADem]

Isn't it convenient that as Glenn Beck spouts paranoia about the collapse of the U.S. economy, he also pumps gold as a investment and inflation hedge?

http://www.nytimes.com/2009/12/14/business/media/14beck.html

The Fox News Channel is only too happy to have the Midas ratings touch that Glenn Beck has been providing, but the golden words he may pour into the ears of his audience have raised questions at the news network.

Most of those have concerned whether Mr. Beck, who often hails the virtue of buying gold on his Fox show (as a hedge against a coming economic collapse), had been identified as a “paid spokesman” for a company named Goldline International, which sells gold coins.

Joel Cheatwood, the senior vice president of development for Fox News, said the network’s legal department had recently sent a letter to Mr. Beck’s representatives “seeking clarification” about his work for Goldline.

“They sent back word that he is not a paid spokesman,” Mr. Cheatwood said, adding that it would be “problematic without question” if Mr. Beck did have a position as a paid spokesman for a product.

[Raven]

1. Cheatwood??? Good God!

[RB TexLa]

2. How would it be problematic? His show is opinion, he's not a reporter.

[TomCADem]

3. Same Reason That Jim Cramer Goes ...

Through the litany of disclosing which stocks he is trading in. Pumping gold, then profitting from your recommendations is a conflict of interest. Beck's listeners are vulnerable as he preaches financial armegeddon, pumps gold, then profits as his listeners rush to buy gold.