ABS-CBN denies franchise violations, says quo warranto case ‘without merit’
MANILA, Philippines — Media giant ABS-CBN on Monday denied allegations of violations in its legislative franchise, saying the quo warranto petition filed by Office of the Solicitor General only point to an effort to shut down the network.
A statement released by the broadcast giant claimed Solicitor General Jose Calida‘s petition before the Supreme Court to forfeit its franchise of ABS-CBN lacked merit.
“The Office of the Solicitor General’s filing of a quo warranto case against ABS-CBN on alleged violations of its franchise appears to be an effort to shut down ABS-CBN to the serious prejudice of millions of Filipinos who rely on the network for news, entertainment and public service,” the statement read.
“These allegations cited by the Office of the Solicitor General in his press statement are without merit. ABS-CBN complies with all pertinent laws governing its franchise and has secured all necessary government and regulatory approvals for its business operations,” it added.
The network also noted that the Senate, the House of Representatives, and the Executive Branch have assured the public that its franchise will be allowed to undergo the proper renewal process in a “fair manner.”
“To that end, the filing of the quo warranto case is ill-timed given that Congress has already resumed its session,” ABS-CBN said.
According to the network, all its broadcast offerings, including the Kapamilya Box Office (KBO) have received the necessary government and regulatory approvals, and are not prohibited by its franchise.
It likewise said that Philippine Deposit Receipts (PDRs) of the ABS-CBN Holdings were evaluated and approved by the Security Exchange Commission and the Philippine Stock Exchange prior to its public offering. ABS-CBN explained these are the same instruments used by other broadcast companies to raise capital for the improvement of its services.
The ownership of ABS-CBN in ABS-CBN Convergence was also undertaken under the same law and structures that have been utilized by other telecommunication companies. These are transfers that are approved under the Public Telecommunications Policy Act and are fully compliant with the law, according to the network.
“We reiterate that everything we do is in accordance with the law. We did not violate the law. This case appears to be an attempt to deprive Filipinos of the services of ABS-CBN,” it said.
The broadcast giant also noted that KBO remains one of the cheapest forms of entertainment that it can provide to the public.
“The capital we have raised from the PDRs has enabled us to provide services to nearly 90 percent of the Philippines and to our OFW’s all over the world. Our work with ABS-CBN Convergence supports the government policy of finding ways to bring down the cost of internet access,” it said.
“We remain committed to our mission to serve the Filipino people especially at this time when millions of Filipinos rely on our services in delivering information such as the 2019 NCoV ARD, the developments in the Middle East, and updates on Taal Volcano situation as they relate to our countrymen,” the network added.
In filing the quo warranto petition, Calida sought to void the franchise in a bid to stop the supposed “abusive practices” of ABS-CBN.
“We want to put an end to what we discovered to be highly abusive practices of ABS-CBN benefiting a greedy few at the expense of millions of its loyal subscribers. These practices have gone unnoticed or were disregarded for years,” Calida said.
READ: ‘Vindictive’ Duterte ‘hellbent’ to shut down ABS-CBN, says NUJP
