Moments That Changed Music II: The Payola Scandal

Sheldon Rocha Leal, PhD
14 min readApr 17, 2023

by Sheldon Rocha Leal

In this series of articles I aim to explore moments that irrevocably changed the course of music history. In the previous article I explored the history of Disco and what eventually resulted in its untimely demise. There are many mitigating reasons for the demise of a genre, but in the cases highlighted in this series, there is usually a catalyst that will usher in dramatic change. In these articles I will usually explore the history of the genre and its rise to mainstream popularity and in this article in particular the focal point is the Payola Scandal of 1959 and its impact on Rock ‘n Roll. The interesting thing for me was finding many parallels between the Disco and Rock ‘n Roll stories and as you journey with me all will be revealed.

With the ascension of “Rock Around The Clock” by Bill Haley & His Comets to No1 on the Billboard Hot 100 on the 9th of July 1955 the music industry was irrevocably altered. The song had been written by Max Freeman and James E Myers in 1952 in a 12-bar blues form and was originally offered to Bill Haley, but his record company, at the time, would not allow him to record it. It was, therefore, recorded by Sonny Dae & His Knights and although it was a regional novelty hit it never managed to cross over. After leaving Essex Records in 1954, Bill Haley & His Comets signed to Decca Records and Bill got the opportunity to record the song for the first time. Decca did not, however, want to promote the song as an A-side, but allowed him to add it as a B-side on his single “Thirteen Woman”.

The single was a commercial disappointment and for all intents and purposes that would have been the end of the “Thirteen Woman” and “Rock Around The Clock”, had it not been for Glenn Ford. The actor was starring in a movie called “Blackboard Jungle”, for which the producers were looking for a song. After raiding his son’s (Peter Ford) vinyl collection for “…music young people listen to” he found the song amongst a bunch of records he borrowed. The producers included it in the opening credits of the movie and the record became the first Rock ‘n Roll song to take pole position on the US single’s chart, holding the position for 2 months. It would also peak at No3 on the US R&B chart and took the summit on the British single’s chart becoming the country’s first million selling single. It eventually shipped 15million units globally, becoming one of the biggest singles of all time, and starting a music revolution.

Rock ‘n Roll contained, at its core, elements of Black and White music and encouraged the collaboration of musicians of both races. The problem in this era was that anything that was performed by white musicians was classified as “Hillbilly” music, whilst anything performed by Black musicians was known as “Race music. This made Rock ‘n Roll a major problem as it was a hybrid. The genre had actually originated much earlier than 1955, back in 1945, with many black musicians experimenting with Rock sounds that would eventually become Rock ‘n Roll. These early pioneers of the genre included people like Big Joe Turner, Fats Domino, Chuck Berry and Little Richard. White musicians added elements of Country music to this Rock music to create what would become known as Rockabilly, the version of Rock ‘n Roll that hit the mainstream.

For this reason some Sociologists attribute the rise and success of the Civil Rights movement in the 1960s, in part, to Rock ‘n Roll. Not only did the music have a social impact it also opened up the mainstream doors of music to black musicians. Only 5 years later, Motown took over mainstream charts in the USA. Additionally, for the first time in history music was being made by the kids for the kids, and aided by more affordable technology, more people could partake in the fruits of the genre. Furthermore, no longer did someone need to be a highly educated musician, with countless years of formal training, to create a hit, become a star and generate copious amounts of money doing music. Music and the recording industry was opened to a whole new generation of music maker/creator. Whilst the genre attracted unprecedented attention, generated billions of dollars and jobs and was more popular than any genre before it, the old guard was not happy about the changes.

Big Joe Turner, Fats Domino, Little Richard and Chuck Berry are considered the pioneers of Rock ‘n Roll

Firstly, established musicians were no longer being played on radio as Rock ‘n Roll dominated the last 5 years of the 1950s like no other genre before it, or since, barring maybe Disco (1970s) and Hip-Hop (1990s). Secondly, the blending of Black and White music traditions, meant there was cross-pollination in the music and mixing of the races, which was frowned upon. The sexual content of the lyrics and tribal rhythms in the music were deemed concerning, with conservatives feeling it would result in the moral decay of American society. Furthermore, one no longer needed to be a formally trained musician to be successful in music, therefore, the quality of music was deemed inferior, mainly because trained musicians were no longer being employed. Lastly, Rock ‘n Roll gatherings involved the mixing of races and at times degenerated into violence, which was concerning, part of that moral decay.

Conservatives didn’t like that white adolescents were adopting many of the cultural stereotypes and traits of their black heroes. All of this added fuel to the conservative fire. The result was that the music was banned in Boston and 5 other Northeast cities in 1958, moreover the Rock ‘n Roll was banned in Russia and some churches encouraged the burning of the Rock ‘n Roll records in public. Society was unhinged and the damage to creative expression that conservatives wreaked on society was far greater than the music itself. Images of people burning records was horrifying and the ultimate suppression of free speech and creative expression, similar to images from Germany during World War II.

The King of Rock ‘n Roll, Elvis Presley, is still the biggest selling solo recording artist in history, having shipped over 500million records in the last 68 years

The Rock ‘n Roll era ushered in a new music industry, altering the way in which people conducted business and created, consumed and interacted with music. Gone were the ballrooms of old, replaced by clubs, concert halls and stadia. Along with this a whole new generation of stars, including the biggest selling solo artist of all time, Elvis Presley, The King of Rock ‘n Roll, who had previously been booed off the Grand Ole Opry stage and told not to give up his day job. To date the legend, also known as “Elvis The Pelvis” for his risqué dance moves, has shipped over 500million records worldwide. Elvis was even banned from being filmed from the waist up on the Ed Sullivan Show, because his hips were considered too tempting for the young female audience.

Along with Elvis, Rock ‘n Roll bred a whole new era of Rock stars in the mid to late 1950s including Jerry Lee Lewis, Richie Valens, Bill Haley, Fats Domino, Little Richard, Roy Orbison, Buddy Holly, Chuck Berry and Johnny Cash. A whole industry developed around these stars, especially the men who broke the music on radio, the DJs (Disc Jockeys or radio show hosts). DJs were considered vital members of the Rock ‘n Roll value chain as they wielded a lot of power with youth culture of the day and could make or break a star and their music. They were often stars in their own right. A budding Rock ‘n Roll star would want their music played on the right radio station, by the right DJ, at the right time for maximum exposure. These DJs, therefore, exerted major power in the music industry.

The radio DJ became one of the most important protagonists in the Rock ‘n Roll story. Photo by John Hult on Unsplash

At the beginning of the Rock ‘n Roll revolution there were about 250 radio DJs in the USA, at the height of the music craze, in 1957, there were over 5,000. As articulated earlier the old guard were not happy about the status quo: the fact that their music was deprioritised in favour of this new genre performed by young kids. The fact that the music had “black” roots did not help in a country that was deeply segregated and run by conservatives. A war, therefore, ensued between both factions. But no matter how hard they tried the conservatives were loosing the battle to a genre of music that was taking the world by storm, in a “Blaze of glory”. As with any system where there is a lot of money at play, corruption started to set in.

DJs who were responsible for sorting through thousands of tracks delivered to them by recording studios, companies, artists, managers and publishers started establishing deals with these entities for priority playlisting on their shows. The more the songs got played the more money the artists, songwriters, publishers and recording labels made. This was known as Payola. At the height of the Payola frenzy a mid-level DJ was earning about $50 a week per record playlisted on a radio show. The most influential DJs commanded percentages of concert grosses, lavish trips, free records, along with a plethora of other perks, including co-songwriting credit. Various articles were published detailing the practice in periodicals like Billboard Magazine.

A rivalry existed between ASCAP (the old guard) and BMI (the new kids on the block), which landed up unravelling as the Payola Scandal evolved

These articles afforded ASCAP (the Association of Society of Composers, Authors and Publishers) an opportunity to condemn BMI (Broadcast Music Incorporated) and its members. The two collection societies represented creators from the two extremes of the war: ASCAP represented the old guard, whilst BMI represented younger songwriters of mixed races that wrote Rock ‘n Roll music. By the mid-1950s BMI released singles represented double the output of ASCAP records. It must be noted, that although the establishment tried to blame Payola on Rock ‘n Roll, the practice was something that existed in the music industry prior to the emergence of the genre and it is still prevalent in the music business today. All the accusations came to nothing until the TV Quiz Show Scandals of 1958, when government decided to intervene.

Television Quiz shows were very popular at the infancy of television, which meant big money was being thrown at them. To maintain high ratings, secure advertisers and ensure the longevity of a show producers identified charismatic contestants who were fed answers to quizzes, whilst more reserved players were asked to miss questions intentionally. Winners were making big money on these shows, but all of this came to a head when former disgruntled contestants exposed the practice, which led to a congressional investigation in 1959. This opened up a Pandora’s box of scandal, which exposed the Payola practice in the music business. The American public were tired of being duped and the House Subcommittee on Legislative Oversight first met between February and May of 1960 to deal with this music scandal. This ultimately resulted in a change of legislation regarding the practice.

Even President Eisenhower got involved in the scandal and eventually the laws pertaining to Payola were altered in the USA

President Eisenhower proclaimed the controversies “an issue of public mortality”. With a fear of losing their broadcast licenses, many radio stations fired DJs that could bring their organisations into disrepute. This meant that almost overnight radio stations distanced themselves from anything Rock ‘n Roll and the music stopped being played. This is similar to the fall out of the “Disco Demolition Night” in 1979. In closed and open sessions, prior to the commencement of the House Oversight Subcommittee investigation, 335 DJs from around the country admitted to having received over $263,000 in “consultation fees”. DJ Phil Lind from Chicago confessed to receiving $22,000 for playing one song. The apex of the entire saga arrived when two of the biggest and most popular Rock ‘n Roll DJs took the stand: Dick Clark and Alan Freed.

Alan Freed helped bridge the gap in music along racial lines, by organising concerts with mixed audiences, playing Rock ‘n Roll on his radio show and coining the phrase “Rock ‘n Roll, earning the title “The Father of Rock ‘n Roll”. Dick Clark on the other hand had a very popular television show called “American Bandstand” on which he introduced many Rock ‘n Roll artists. The two DJs were early proponents of the genre and broke Rock ‘n Roll on their shows, but from two completely different vantage points. As with any good cowboy story there is always a good guy, represented by a white stetson, and a bad guy, represented by a black stetson and in this case Dick Clark wore white and Alan Freed black.

Alan Freed to the brunt of the scandal and became the face of Payola. He went from being one of the most successful DJs in the USA to dying a pauper at the age of 43

Alan Freed was ultimately made the scapegoat in the case and the face of Payola. He was blamed for the scandal and ultimately the demise of Rock ‘n Roll for various reasons. Whilst Dick Clark was more universally embracing of the Rock ‘n Roll cannon and everything it encompassed, Alan Freed was a purist, who didn’t believe in playing white artist’s renditions of Rock ‘n Roll classics. Furthermore, he was abrasive, uncooperative on the stand, consorted with black musicians, was a smoker and refused to sign an affidavit given to him by his employer (ABC) prior to the hearings stating he had not taken bribes. Additionally, he was paternally of Lithuanian Jewish lineage.

Dick Clark had a squeaky clean image, was handsome, cooperative, polite on the stand and generally just an all round clean-cut all-American boy next door. Additionally, he had been advised, prior to the hearings, by his employer (ABC) to divest from all incriminating connections to Rock ‘n Roll music. These investments included a part ownership in 7 “Indie” (Independent) recording labels, 6 publishers, 3 distributors and 2 talent agencies. Both men denied taking bribes, but it was clear that ABC was trying to protect one of their employees over the other, as the company completely distanced themselves from Alan Freed once proceedings commenced. It made sense, however, that they would want to protect their more valuable asset, whilst sacrificing a less valuable player, considering Dick Clark’s show generated over $12million for ABC, versus Alan Freed’s $200,000.

Dick Clark who was equally as guilty as Alan Freed landed up walking away with a slap on the wrist. The scandal actually made him more popular than before. He was seen as the all-American boy-next-door

Dick Clark got a slap on the wrist, with the committee chairman, Oren Harris, calling him “a fine young man”. As for Alan Freed it was a little more difficult for him to distance himself from his investments as he sometimes asked for publishing credit on the songs he played, which meant he got royalties every time those songs got played. Examples of this included: “Maybellene” by Chuck Berry and “Sincerely” by The Moonglows. It didn’t help his case that a month after testifying he was arrested by New York police for having taken over $116,000 in Payola bribes. Payola was made illegal in the USA in 1960 and Alan Freed eventually pled guilty to 2 of 99 counts of commercial bribery in 1963. He was handed down a $300 fine and a 6-month suspended jail sentence, after which he was put up on charges of federal income tax evasion.

Dick Clark went on to become an American Sweetheart, known as American’s Oldest Teenager, and cultural icon. The scandal only helped increase his popularity. American Bandstand ran from 1956 – 1989, the Pyramid Gameshow ran from 1973 – 1988 and he is most famous for the Dick Clark New Year’s Rockin’ Eve and Dick Clark Productions. The company invented and produced the American Music Awards and also produced the Billboard Music Awards, Golden Globes and So You Think You Can Dance. He was inducted into the Rock ‘n Roll Hall of Fame in 1993 and eventually passed away of a heart attack aged 82 in 2012. His ashes were scattered over the Pacific Ocean.

Alan Freed’s ashes were stored at the Rock ‘n Roll Hall of Fame for a period of 12 years. Photo by Lance Anderson on Unsplash

The fallout for Freed was brutal. He lost his television and radio shows, was blackballed in the music industry and was rendered virtually unemployable. His life spiralled out of control, he became an alcoholic and recluse and eventually passed away 2 years later, aged 43, of cirrhosis of the liver. His impact on popular culture and race relations was, however, so profound he was eventually inducted into The Rock ‘n Roll Hall of Fame in 1986. In 2002 his daughter Judith Fisher Freed carried his ashes from New York, where he was interred, to Cleveland where his ashes remained for 12 years at the Rock ‘n Roll Hall Of Fame building. In 2014 the organisation requested his son, Lance Freed, remove the ashes, which he did. They are now interred at a monument at Lake View Cemetery.

There are many parallels between the Payola Scandal and the Disco Demolition Night. Jealousy, in the one case Jazz vs Rock ‘n Roll and in the other Rock vs Disco. In both cases there was a DJ at the centre of the controversy, in the Disco Demolition instance it was Steve Dahl and in the Payola Scandal, Alan Freed. In both cases the scandals resulted in the immediate termination of the genres, completely altering the trajectory of the music industry. Moreover, both genres of music were pervasive and introduced something novel that had never been experienced before, completing changing Popular culture. At the centre of both cases was some sort of intolerance and bigotry, in the case of Rock ‘n Roll, Racism and in Disco, Homophobia. Lastly both cases occurred at the end of their respective decades: Rock ‘n Roll (1955–1959) and Disco (1975–1979), 20 years apart.

Steve Dahl was the DJ at the centre of the demise of the Disco era

At the end of the day the Jazz world’s jealousy and desire to maintain the status quo, instead of embracing change and seeing what they could learn from it, partially resulted in the demise of Rock ‘n Roll. I say that because there are many other mitigating reasons for the demise of the genre, including the changing times, technology and trends. The Payola Scandal was just a catalyst for change. The reality is that there was nothing that was going to prevent change from happening, not even the hearings or the change of legislation. Although the genre was only popular for 5 years, it gave us the blueprint for Pop music and forever changed the way things are done in the business, whilst also uniting a fractured society.

It also resulted in a rivalry between two genres that persist to this day, between members of the Jazz and Rock communities, with Jazz musicians often feeling superior to Rock artists, as Jazz is seen as more sophisticated. This is ironic as a similar rivalry exists between Classical and Jazz musicians, with Classical musicians referring to Jazz music as “Light Music”. At the end of the day music is music and audiences are attracted to what they love, despite its complexity or lack their of. As Berry Gordy said “keep it simple stupid”. Most audiences don’t understand the complexity of music, therefore, its intricacies are lost on the masses, so it is better to keep it simple than overthink it and that’s what Rock ‘n Roll got right. But we needed to go through Payola to get to where we are today and the seeming failure of Rock ‘n Roll was actually a win for everyone in the end.

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Sheldon Rocha Leal, PhD

Musicologist, Musician, Songwriter, Music Business Enthusiast and Music Teacher