Charles Ciongoli, senior vice president finance for Vivendi Universal's Universal Music Group, the world's largest record company, said "the facts tell a far different story than some of our detractors would like to admit, and are not nearly as headline grabbing as the acrimonious accusations of a few who irresponsibly label us criminals and thieves."

Murray said he would discuss the hearing with Escutia, who could not attend, and that the two would discuss whether or not to pursue legislation.

"I think the complaints of the artists are legitimate but at the same time we want a healthy record industry," he said.

Backstreet Boys member Kevin Richardson told the hearing that although the group had sold 70 million records since 1994, the group's record company "has said we're still unrecouped. Nothing has changed in the music industry."

Meanwhile, some of the biggest champions of the artist cause have quietly settled their differences with the labels.

Courtney Love, an early and vocal supporter of the coalition is currently engaged in settlement discussions involving a lawsuit with Universal Music Group, according to people familiar with the discussions.

Country music trio Dixie Chicks also settled with their label, Sony Music Entertainment a unit of Sony Corp., after previously accusing Sony of "systematic thievery."

Stars and their representatives said the settlements were symptoms of the underlying problem.

"Artists usually settle because they have run out of time and money ... That's why the legislature should get involved, because on their own, the vast majority of artists cannot do it in court," said Simon Renshaw, who manages the Dixie Chicks.

Insider report:

The door in the back of the auditorium made a hissing sound when closing. So, after anyone made a particularly hyperbolic comment the doors would add punctuations:

"I have never seen audit reports which didn't come up with massive discrepancies - - hiss"; or "artists have put more money in their pockets than record companies - hiss."