Embattled radio stars Kyle Sandilands and Jackie ‘O’ Henderson have been dealt a huge blow which could threaten the likelihood of them making a potential comeback.

On Monday, the Australian Communications and Media Authority (ACMA) slapped ARN with new licence conditions, set to govern any show featuring Kyle or Jackie for the next five years.

The conditions stipulate that KIIS FM’s parent company ARN must ensure that any program hosted by the pair ‘does not broadcast content which is highly offensive or which contains strong and explicit sexual references by the standards of an ordinary reasonable listener.’

Failure to meet these conditions could result in ACMA slapping ARN with financial penalties, including ‘court‑enforceable undertakings, remedial directions, civil penalties, or suspension or cancellation of the broadcasting licence.’

ACMA Chair Nerida O’Loughlin said the decision was made following several lapses by ARN in meeting their obligations under the Commercial Radio Code of Practice.

‘To date ARN management have been unwilling or unable to control the content that has gone to air,’ O’Loughlin said in a statement.

Embattled radio stars Kyle Sandilands and Jackie 'O' Henderson (both pictured) have been dealt a huge blow which could threaten the likelihood of them making a potential comeback
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Embattled radio stars Kyle Sandilands and Jackie ‘O’ Henderson (both pictured) have been dealt a huge blow which could threaten the likelihood of them making a potential comeback

Meanwhile, Jackie O, 51, was spotted looking downcast as she stepped out in Sydney on Monday, amid her 'wrongful termination' legal battle with ARN, which has seen the radio queen threatening legal action
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Meanwhile, Jackie O, 51, was spotted looking downcast as she stepped out in Sydney on Monday, amid her ‘wrongful termination’ legal battle with ARN, which has seen the radio queen threatening legal action

‘These additional licence conditions mean further breaches will attract strong enforcement action that was not otherwise available to the ACMA.’

Monday’s announcement comes after last year’s findings that The Kyle and Jackie O Show repeatedly broke the Code of Practice rules, which make clear that ‘program content must not offend generally accepted standards of decency.’

ACMA investigated content including episodes of a guessing game where hosts tried to identify audio clips of staff urinating, featuring comments about participants’ genitals and, in one case, graphic remarks about menstruation and oral sex.

Meanwhile, Jackie O, 51, was spotted looking downcast as she stepped out in Sydney on Monday, amid her wrongful termination legal battle with ARN, which has seen the radio queen threatening legal action.

The radio star turned heads in a $250 ASTR dress, pairing the chic look with an $865 Pucci raffia tote, but she looked visibly downcast and upset as she walked the streets, her usually radiant smile subdued under the weight of the controversy.

Her blonde hair was styled in loose waves, partially tucked behind her ears, and she shaded her eyes behind oversized sunglasses.

Jackie clutched her phone in one hand while her tote swung lightly from her shoulder, pausing occasionally as if deep in thought, her expression tense and worried as she navigated the busy sidewalks.

It comes after an Australian media insider revealed the likely fate of axed radio star Sandilands, as the deadline on his two-week suspension from The Kyle and Jackie O Show approaches.

The radio star turned heads in a $250 ASTR dress, pairing the chic look with an $865 Pucci raffia tote, but she looked visibly downcast and upset as she walked the streets, her usually radiant smile subdued under the weight of the controversy
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View gallery

The radio star turned heads in a $250 ASTR dress, pairing the chic look with an $865 Pucci raffia tote, but she looked visibly downcast and upset as she walked the streets, her usually radiant smile subdued under the weight of the controversy

Her blonde hair was styled in loose waves, partially tucked behind her ears, and she shaded her eyes behind oversized sunglasses
+6
View gallery

Her blonde hair was styled in loose waves, partially tucked behind her ears, and she shaded her eyes behind oversized sunglasses

Jackie clutched her phone in one hand while her tote swung lightly from her shoulder, pausing occasionally as if deep in thought
+6
View gallery

Jackie clutched her phone in one hand while her tote swung lightly from her shoulder, pausing occasionally as if deep in thought

Her expression was tense and worried as she navigated the busy sidewalks
+6
View gallery

Her expression was tense and worried as she navigated the busy sidewalks

Veteran entertainment reporter Peter Ford appeared on Channel Seven‘s Sunrise on Monday morning, and revealed that Sandilands, 54, would likely be terminated from his ARN contract on Tuesday. 

‘No one seems to know exactly how he is meant to remedy the breach. He is also going to argue that he was not allowed to remedy it because he had been told not to speak to Jackie, and vice versa,’ Ford began.

‘So, 5pm tomorrow at close of business, that’s pretty much game over. That’s when we go into battle mode. Today is the last chance to reach some sort of peace settlement.’ 

He added that his ARN contacts had informed him that Sandilands was not going to be reinstated in his position.

Ford finished by saying that co-star Henderson made an error in judgement by releasing a statement saying she ‘can no longer work with Mr. Kyle Sandilands’, adding she should have been clearer in her meaning.

‘What it should have said is she can’t “currently” work with Kyle, which would have led to discussion about fixing it. Instead, it was taken as a resignation to say “please let me out of this contract”,’ he said.

ARN announced earlier this month that Henderson’s $100 million contract had been terminated after she told executives she ‘cannot continue to work with Mr Kyle Sandilands’ following his harsh on–air comments that left her in tears. 

Meanwhile, ARN provided written notice to her co–host Sandilands stating it considers his behaviour during the show on February 20 to be ‘an act of serious misconduct which is in breach of ARN’s service agreement with Quasar Media’.

Sandilands has been suspended and given 14 days to ‘remedy’ the breach, or else he faces termination.