AND NOW HERE'S THE NEWS: MTV insists there's no truth to the tale in last week's People magazine that Prince, upset that MTV hasn't played a video by his protege Jill Jones, has punished the video channel by refusing to give them a clip of his hit "Sign 'O' the Times." In fact, Prince hasn't even made a "Sign" video. And MTV says that it indeed is playing the Jill Jones clip, "Mia Bocca," in light to medium rotation. . . . After surviving a tacky cover story in People magazine, David Crosby has been rewarded with a solo record contract at A&M Records. A spokeswoman for the label said it expects to release an album later this year. . . . PolyGram is putting out a promotional Bon Jovi CD with (count 'em) four different versions of the band's current hit, "Wanted Dead or Alive." In addition to single and album versions, the package will offer a live rendition and an acoustic duet with Jon Bon Jovi and guitarist Richie Sambora. . . . Meanwhile, local faves Thelonius Monster will be back in early June with a new album titled "Saturday Afternoon." The album features several tribute tunes, including "Michael Jordan" (the band's fave hoopster), "Key to Life" (which plugs the group's fave brew, Budweiser) and "Zelda" (in honor of a dog in dire need of house training).