House Panel Junks ABS-CBN’s Bid for a 25-Year Franchise

ABS-CBN Corporation’s struggle for a bid on a new 25-year franchise has ended as their application for franchise renewal for radio and TV was denied by the House Committee on Legislative Franchises on Friday, July 10, 2020.

With a total majority vote of 70 affirmative votes to 11 who voted against the resolution, the panel approved the resolution that denies “the Franchise Application of ABS-CBN Corporation to Construct, Install, Establish, Operate and Maintain Radio and Broadcasting Stations in the Philippines.”

One abstained, while two other lawmakers inhibited from voting––one being Rep. Alfred Vargas, who cited “conflict of interest” as an actor/producer and “has been engaged for artistic projects with ABS-CBN.”

Of the 85 total voting members of the hearing with 46 regular members and 39 ex-officio members or House leaders.

Cebu Rep. Pablo John Garcia said the technical working group that drafted the resolution determined that the “likely consensus” among the panel members was to disapprove the application ABS-CBN for another franchise.

The previous House hearings discussed and debated on the network’s franchise issues. This also includes:

• The citizenship of ABS-CBN chair emeritus Gabby Lopez
• Alleged labor and tax violations
• Possible violations of the constitutional limits on foreign ownership
• Other violations of the terms of its legislative franchise.

Cebu Rep. Rodrigo “Bebot” Abellanosa, said in a statement that he would have been “the 12th apostle” had he been a voting member, pertaining to the 11 lawmakers who voted against the resolution on the denial of franchise application.

He also added that the shutting down of ABS-CBN was “very inhumane, absolutely out of sense and timing” and should have been left to the judicial system.

“In this time of the pandemic when businesses are closing down, people are losing jobs and getting hungry, the economy is on the verge of collapse, the decision shutting down the ABS-CBN is very inhumane, absolutely out of sense and timing. While government agencies such as SEC and BIR did not concur to the alleged wrongdoings of ABS-CBN, these are not well-established and should have been better left to the courts to resolve,” he said.

The resolution also stressed that the denial of the media conglomerate’s franchise application is “not a press freedom issue.”

“It is what it is–a denial of a privilege granted by the State because the applicant was seen as undeserving of the grant of a legislative franchise,” it said. (GFB)