FTC Issues Sweeping Demands to Media Rating Firms Over Industry Ties
The U.S. Federal Trade Commission is investigating media credibility firms about their industry relationships, requiring organizations to hand over information about operations, finances, and communications, The New York Times first reported, and ADWEEK has independently verified.
The FTC has issued Civil Investigative Demand letters-which, like subpoenas, require recipients to produce documents and respond to inquiries-to organizations including Media Matters for America, as first reported by The New York Times last week, and the news rating company Ad Fontes Media, ADWEEK has independently confirmed.
The development highlights a broader pattern of heightened scrutiny by the U.S. government in recent years toward the advertising industry. Last year, a congressional investigation determined that the Global Alliance for Responsible Media, a leading advertising coalition, colluded in a politically motivated effort to suppress right-wing media by steering ad dollars away from outlets like Fox News, Breitbart, and The Daily Wire. The House Judiciary Committee said at the time that GARM "likely violated federal antitrust laws."
In one letter issued on May 20, obtained by ADWEEK, the FTC demands the organization produce information about its operations and methodologies, finances, internal and external communications, and complaints or allegations about its work from January 1, 2019 to the present.
In the 21-page letter, the government also demands details about the organization's relationships with 13 other "entities that purport to track, categorize, evaluate, or rate news sources, outlets, websites, content, or other entities for 'misinformation,' 'hate speech,' 'false' or 'deceptive' content, or similar categories." According to the letter, these organizations include media rating firm NewsGuard, trade associations the World Federation of Advertisers and the Interactive Advertising Bureau, adtech vendors DoubleVerify and Integral Ad Science, as well as watchdog organizations Check My Ads Institute and the Center for Countering Digital Hate.
To ensure compliance with the CID, the FTC "requires a search of all documents in the possession, custody, or control" of the organization. The government demands that the requested information and answers be submitted by June 19.
"They're requesting pretty much anything pertinent to our business since we started," Ad Fontes Media CEO Vanessa Otero, who received a letter from the FTC, told ADWEEK, adding that the demands are "excessive" and "overzealous."
"Typically, for a subpoena or a discovery request in a civil trial, parties have to be actually charged with something or actually be sued in order to have to submit to these heavy demands that are very intrusive on your business,' she said. 'And that's not the case with a Civil Investigative Demand, because the DOJ, FTC, FCC, and some other agencies have very broad power to do pre-litigation investigation. It can be very onerous on companies…and it can be very discouraging to people's activities or their speech."
Ad Fontes Media said it will comply with the FTC's demands, Otero said.
Media Matters also received a CID, it confirmed, and is under active investigation by the FTC.
An FTC spokesperson declined to comment, noting that the agency's "communications with external parties are nonpublic."
The letter reviewed by ADWEEK was issued by the FTC's mergers division, prompting speculation that the CID letters may be part of a larger investigation concerning Omnicom's planned acquisition of IPG. In March, the FTC issued a second request for information concerning the proposed transaction.
Following the government's scrutiny into GARM last year, X-under the leadership of polarizing billionaire owner Elon Musk-sued the organization over similar allegations, accusing the group and its backer, the World Federation of Advertisers, of operating as gatekeepers that pressure brands into boycotts of sites like X under the guise of brand safety. GARM shuttered days after the lawsuit was launched.
Musk has also sued Media Matters. In his lawsuit, Musk alleges the group knowingly manipulated data to push a damaging narrative about X after it published research highlighting racist and antisemitic content on X. The organization snapped back with a lawsuit of its own in March.
"Businesses have rights to not advertise next to stuff they find crappy,' Otero told ADWEEK. 'And no one is colluding with anybody about this."

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New York Post
5 hours ago
- New York Post
Michael Goodwin: Dems agree NYC is too expensive — and voters can't afford them being in charge
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Advertisement As Queens Assemblyman Zohran Mamdani recently told The New York Times, 'There are far too many New Yorkers who do not know if they will be able to call themselves that next year, who do not know if they will be able to afford their rent, or their child care, their groceries, or even their MetroCard.' True to his socialist affiliations, Mamdani is promising the longest list of freebies, but his rivals have all joined the spree. Even Andrew Cuomo, often regarded as the most centrist of the bunch and the leader according to polls, is no shrinking violet in the giveaway games. The candidates' promises to address the problem sound very nice — until you realize that nearly everything they are offering would ultimately drive the sky-high cost of living even higher. Advertisement Already that burden is one of the top reasons why New York City and state lead America in losing residents to lower-cost jurisdictions. 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Yahoo
7 hours ago
- Yahoo
Cuomo, Adams battle for Orthodox Jewish support in mayor's race
NEW YORK — New York City Mayor Eric Adams suggested Tuesday that Orthodox Jewish support flocking to mayoral front-runner Andrew Cuomo is lighter than it seems. He may have a point. Cuomo has been racking up endorsements from influential leaders in a community long considered a potent electoral force as he leads the Democratic mayoral primary field. On Tuesday, he scored the top ranking from a major Hasidic sect in Brooklyn. But one of the former governor's most prominent backers suggested days earlier his brethren would be supporting Adams in the general election — and would do so with a similar fervor to 2024, when they came out en masse for President Donald Trump. 'In November you'll see the same thing with God's help,' Rabbi Moishe Indig, a top leader in Brooklyn's Satmar community, said during an event focused on combating antisemitism. 'We will come out to show our great support for our great mayor and brother, Eric Adams.' Indig was speaking at an event headlined by Adams and conservative television personality Dr. Phil on Sunday, the day before he publicly endorsed Cuomo. In addition to pledging fealty to the incumbent in the November general election, the Brooklyn religious and political fixture estimated 75,000 people in his community voted in the presidential race, mostly breaking for Trump. That number explains the nascent battle between Cuomo and Adams, who are both preparing for a potential general election showdown after Adams dropped out of the primary. 'We are talking about relationships of over 30 years — 30 years,' Adams, a Brooklyn borough president and state senator before becoming mayor, said of his ties to the borough's Orthodox communities during an unrelated press conference. As he spoke, he again excoriated Cuomo and accused him of overstating his support in Jewish and Black communities, both central to Adams' winning 2021 coalition. 'So let the primary run its course,' he said. 'We are going to see what's going to happen in the general.' Adams, a registered Democrat, opted out of the Democratic primary in April, recognizing he was too damaged by a federal indictment, and his related choice to cozy up to President Donald Trump, who pushed for a judge to drop the charges. As The New York Times reported Tuesday, Adams' team has been working behind the scenes to dissuade rabbis from endorsing Cuomo as the mayor publicly pursues policies sought by the community. A mayoral aide, for instance, was successful in persuading 25 Hasidic groups and institutions to endorse City Council Speaker Adrienne Adams over Cuomo in the primary, according to the Times. And another prominent Jewish leader in Brooklyn who endorsed Cuomo later clarified in a social media post that his backing was only for the primary and that he has a close relationship with the mayor. But despite animus between many religious communities and Cuomo over his Covid-era prohibitions on large gatherings, the front-runner has already landed crucial backing from some of the most important Jewish leaders in Brooklyn and Queens. And even Indig walked back his stated support for Eric Adams when asked by POLITICO, noting he hasn't made a general election endorsement yet. 'I don't know what's going to happen in November,' he added. With that in mind, Cuomo's team dismissed the mayor's assertions. 'Governor Cuomo's relationship with the Jewish community is deep, strong and stretches back decades and we're proud to have assembled one of the largest Orthodox coalitions in history in support of our campaign to get New York City back on the right track,' Cuomo spokesperson Rich Azzopardi said in a statement. 'We're not surprised the mayor is trying to play games behind the scenes.' Jeff Colin contributed to this report.


Politico
9 hours ago
- Politico
Cuomo, Adams battle for Orthodox Jewish support in mayor's race
NEW YORK — New York City Mayor Eric Adams suggested Tuesday that Orthodox Jewish support flocking to mayoral front-runner Andrew Cuomo is lighter than it seems. He may have a point. Cuomo has been racking up endorsements from influential leaders in a community long considered a potent electoral force as he leads the Democratic mayoral primary field. On Tuesday, he scored the top ranking from a major Hasidic sect in Brooklyn. But one of the former governor's most prominent backers suggested days earlier his brethren would be supporting Adams in the general election — and would do so with a similar fervor to 2024, when they came out en masse for President Donald Trump. 'In November you'll see the same thing with God's help,' Rabbi Moishe Indig, a top leader in Brooklyn's Satmar community, said during an event focused on combating antisemitism. 'We will come out to show our great support for our great mayor and brother, Eric Adams.' Indig was speaking at an event headlined by Adams and conservative television personality Dr. Phil on Sunday, the day before he publicly endorsed Cuomo. In addition to pledging fealty to the incumbent in the November general election, the Brooklyn religious and political fixture estimated 75,000 people in his community voted in the presidential race, mostly breaking for Trump. That number explains the nascent battle between Cuomo and Adams, who are both preparing for a potential general election showdown after Adams dropped out of the primary. 'We are talking about relationships of over 30 years — 30 years,' Adams, a Brooklyn borough president and state senator before becoming mayor, said of his ties to the borough's Orthodox communities during an unrelated press conference. As he spoke, he again excoriated Cuomo and accused him of overstating his support in Jewish and Black communities, both central to Adams' winning 2021 coalition. 'So let the primary run its course,' he said. 'We are going to see what's going to happen in the general.' Adams, a registered Democrat, opted out of the Democratic primary in April, recognizing he was too damaged by a federal indictment, and his related choice to cozy up to President Donald Trump, who pushed for a judge to drop the charges. As The New York Times reported Tuesday, Adams' team has been working behind the scenes to dissuade rabbis from endorsing Cuomo as the mayor publicly pursues policies sought by the community. A mayoral aide, for instance, was successful in persuading 25 Hasidic groups and institutions to endorse City Council Speaker Adrienne Adams over Cuomo in the primary, according to the Times. And another prominent Jewish leader in Brooklyn who endorsed Cuomo later clarified in a social media post that his backing was only for the primary and that he has a close relationship with the mayor. But despite animus between many religious communities and Cuomo over his Covid-era prohibitions on large gatherings, the front-runner has already landed crucial backing from some of the most important Jewish leaders in Brooklyn and Queens. And even Indig walked back his stated support for Eric Adams when asked by POLITICO, noting he hasn't made a general election endorsement yet. 'I don't know what's going to happen in November,' he added. With that in mind, Cuomo's team dismissed the mayor's assertions. 'Governor Cuomo's relationship with the Jewish community is deep, strong and stretches back decades and we're proud to have assembled one of the largest Orthodox coalitions in history in support of our campaign to get New York City back on the right track,' Cuomo spokesperson Rich Azzopardi said in a statement. 'We're not surprised the mayor is trying to play games behind the scenes.' Jeff Colin contributed to this report.