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SC FINDINGS AND RECOMMENDATIONS

SC Findings and Recommendations of ABS CBN renewal of franchise.

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• For the relevant Committees of the House, with the participation of appropriate

government agencies, to inquire, in aid of legislation and policy determination, on

the various digital platform offerings of broadcast entities in order to protect public

interest and ensure compliance with legislative franchises, or recommend

amendments thereto to take into account technological advancements in digital

broadcast technology;

• For the relevant Committees of the House, with the participation of appropriate

government agencies to inquire, in aid of legislation and policy determination, to

inquire on the current system of giving tax and fiscal incentives to prevent abusive

tax avoidance measures which deprive the government of rightful taxation income,

and ensure that only bona fide target industries and entitles are able to avail of said

incentives; and

• For the relevant Committees of the House, with the participation of appropriate

government agencies, to inquire, in aid of legislation and policy determination, on

how exactly ABS-CBN was able to recover its properties from the government

without recourse to the mandated procedures and in light of recent questions

relating to its property in Mother Ignacia, Quezon City.

FREEDOM OF THE PRESS

In resolving the franchise application of ABS-CBN, this Committee assures the House of

Representatives that this matter is in no way related to the freedom of the press. 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.

By no means can this franchise application be related to press freedom. If it were so, then all

applicants for legislative franchises covering mass media could simply claim such freedom and

force the hand of this Committee each time. Such a scenario is totally inconsistent with the

nature of legislative franchises as a mere privilege and never a matter of right.

WHEREFORE, in view of the foregoing, the technical working group respectfully

recommends the DENIAL of the franchise application of ABS CBN Corporation.

The technical working group recommends the adoption of the attached committee

resolution entitled, “RESOLUTION DENYING THE FRANCHISE

APPLICATION OF ABS CBN CORPORATION TO CONSTRUCT, INSTALL,

ESTABLISH, OPERATE, AND MAINTAIN RADIO AND TELEVISION

BROADCASTING STATIONS IN THE PHILIPPINES.”

Rep. Pablo John F. Garcia

3 rd District, Cebu City

Rep. Xavier Jesus D. Romualdo

Lone District, Camiguin

Rep. Stella Luz A. Quimbo

2 nd District, Marikina City

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