The decision to pull the plug on the 34 stations came one day after Luisa Ortega Diaz, Venezuela's top prosecutor, suggested toughening the country's media law to 'regulate the freedom of expression'.
Under the new law, journalists could be imprisoned for up to four years for publishing 'harmful' information endangering the 'peace, security and independence' of the nation.
Information Minister Blanca Eekhout stressed it was essential to regulate the 'enormous power' of the media, and accused international media of pursuing a campaign against Chavez and Venezuela.