Poe panel eyes possible ‘cures’ for Mislatel franchise woes

MANILA, Philippines—After holding four hearings, the Senate committee on public services is now looking at possible remedies to “cure” the “defects” and questions surrounding the franchise of Mindanao Islamic Telephone Company, Inc. (Mislatel).

In terminating the hearings on Wednesday, Senator Grace Poe stressed the need to address a franchise provision on “ipso facto” revocation.

Poe chairs the committee tasked to look into the entry of a third   telecommunications player in the country.

“We have to cure perhaps the provision with regard to Mislatel, but not just only Mislatel but the general franchise provision to make it clear who has the power ipso facto revoke,” she said in her closing statement.

“I think Congress does. But we need to dispel any doubts with regards to the wording of this particular provision,” she said.

Senate Minority Leader Franklin Drilon earlier claimed that Misatel’s franchise   was deemed  revoked for violating its own franchise when it failed to operate within one year after it was granted by Congress in 1998.

“A franchise is a privilege, the privilege has conditions. The condition is it must operate within one year and operate in one year,” Drilon said during last week’s hearing of the committee.

Mislatel, he said, should also have sought the approval of Congress before it transferred its majority control to Mislatel Consortium, the provisional new major player in the telco industry.

READ: Drilon: Mislatel franchise considered revoked for violating conditions

Poe said she has yet to consult other members of the committee before she submits a report for plenary discussion hopefully before Congress adjourns its sessions next week.

While she underscored the need for a cheaper and faster telco services in the country, the senator also recognized the legal questions being raised against the winning bidder, particularly the issues raised by Drilon.

“There are several opinions regarding that. Some legal minds are saying that the Senate can actually cure it by granting the franchise or by accepting the franchise as valid. So I’ll have to consult the members of the public services committee and let them weigh in on that particular opinion,” Poe said.

“I strongly believe that Congress, Senate and the lower house, really has the authority to either revoke or grant a franchise. So if we’ll go by that, then certainly, we’d be able to grant them the authority,” she added. /jpv