Justice Secretary Menardo Guevarra was dismayed by the NTC’s direct disregard of their formal legal advice regarding ABS-CBN’s provisional authority to operate.
Guevarra had said that NTC can give ABS-CBN a provisional authority to operate while their renewal case is still pending in the Congress.
In an interview with Secretary Guevarra, Ted Failon said that the NTC did not seem to value what the DOJ had advised.
Failon also asked if it’s proper for the NTC to consult with DOJ the steps they will take considering the network’s pending application.
Failon: “Apparently hindi po binigyan ng halaga ang inyong legal opinion during the hearing ng NTC. Palagay po ninyo, hindi po ba ay dapat don ay kinonsulta man lamang supposed to be ng NTC ang DOJ sa kanilang hakbang considering na may pending application na ho ang franchise ng ABS CBN?”
Secretary Guevarra revealed that the NTC asked for a formal legal opinion from the Department of Justice. They did not give a legal opinion considering there is a third party involved, which is the ABS-CBN Broadcasting Company.
Instead, they vouched for legal advice saying they can allow ABS-CBN to function considering there is no law governing that particular situation, even more with a company that has already secured a franchise and applying for renewal.
“Alam mo, ang talagang hiniling ng NTC dyan ay isang formal legal opinion to the DOJ. Kaya Hindi namin binigay ang legal opinion na yon kasi may private party nga na involved which is yung ABS CBN. Ganonpaman, kahit hindi kami nagbigay ng formal legal opinion, ay nagbigay kami ng advise for the guidance of NTC. At dun, ay sinabi naming na yung situation ng ABS CBN na walang batas na nag gogovern dun sa specific situation na ang isang kompanya ay meron nang dating franchise, mag eexpire, nag apply na siya ng renewal pero for some reasons, hindi attributable sa company, ay hindi naaksyunan kaagad ng Kongreso. Kaya ang ibig sabihin non ay may sufficiency in the existing laws, or there is a gap in the law, equitable considerations will have to come into place dahil may gap in the law,” says the DOJ Secretary.
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“The DOJ stands by its position that there is sufficient equitable basis to allow broadcast entities to continue operating while the bills for the RENEWAL of their franchise remain pending with Congress,” said Guevarra.
“While existing laws provide that a person who wishes to operate a radio/TV station must first obtain a legislative franchise and thereafter a license to operate from the NTC, there is NO LAW that governs the rights and obligations of a person or entity who has ALREADY BEEN GRANTED a legislative franchise and has fully operated for many years, has applied for the renewal of its franchise long before the expiration thereof, but for reasons not attributable to said person or entity, the legislature has not yet acted on the renewal of said franchise,” he added.
Guevarra also clarified a Supreme Court decision regarding broadcast franchises. According to Guevarra that the case of ACWS is different from ABS-CBN since the former is applying for their initial franchise while ABS-CBN is just renewing its existing franchise.
“The subject of the ruling, Associated Communications & Wireless Services-United Broadcasting Networks (ACWS), ”did not even have an original franchise to begin with.’ ABS-CBN has ‘a franchise and a license to operate, albeit subject to further deliberations for its renewal,”‘ Guevarra explained.
Guevarra’s statement came on the heels of Solicitor General Jose Calida’s latest statement warning the National Telecommunications Commission against granting ABS-CBN provisional authority.
In a statement Sunday, May 3, Calida cautioned NTC that that might be subjected to graft charges if they will grant ABS-CBN provisional authority.
“Although this legislative power may be delegated to administrative agencies through a law, at present, there is no such law giving the NTC or any other agency the power to grant franchises to broadcasting entities,” he said in the statement.
“Hence, a PA should only be issued once a congressional franchise has been granted and an application for CPC is pending before the NTC for approval,” Calida said.
“The NTC cannot issue a PA when the broadcast company has no valid and existing legislative franchise. No less than the Constitution requires a prior franchise from Congress. Hence, when there is no renewal, the franchise expires by operation of law. The franchise ceases to exist and the entity can no longer continue its operations as a public utility,” he added.
