NTC orders ABS-CBN to cease broadcast

MANILA, Philippines — Bereft of a congressional franchise and ordered to “cease and desist” by the National Telecommunications Commission (NTC), network giant ABS-CBN went off the air last night, more than three decades after its rebirth following the ouster of the Marcos dictatorship which had ordered it shut down.

The NTC issued a cease and desist order against ABS-CBN, citing the expiration of its franchise on Monday, with the agency assuring the network giant and the public that its decision was not influenced in any way by recent threats made by Solicitor General Jose Calida.

Malacañang also washed its hands of the issue. “ABS-CBN is free to exhaust all legal remedies available to it,” presidential spokesman Harry Roque said.

“President Duterte, as a matter of record, accepted the apology of the network and left its fate to both houses of Congress. Let the public be informed that broadcast franchises are within the authority of Congress,” he added.

In the order, the NTC directed ABS-CBN to stop operating its TV and radio broadcasting stations nationwide “absent a valid congressional franchise as required by law.”

The cease and desist order covers the network’s five AM radio stations, 18 FM stations and 42 television stations. ANC, ABS-CBN’s news channel, is not covered by the order.

Republic Act No. 7966, which granted ABS-CBN a 25-year franchise to operate TV and radio broadcasting stations, expired on May 4.

With the development, NTC said the network no longer has a valid and subsisting congressional franchise as required by Radio Control Act No. 3846.

Before going off the air after the evening news TV Patrol, president and CEO Carlo Katigbak and president Mark Lopez bade ABS-CBN viewers good-bye.

In a phone interview, NTC deputy commissioner Edgardo Cabarios told The STAR the order is “immediately executory.”

“But they have legal remedies, there are legal remedies available to them, so let’s see,” Cabarios said.

“They can file a petition in court, they can ask for a TRO (temporary restraining order). So they have a lot of options,” he said.

Asked if ABS-CBN can continue to broadcast despite the issuance of the CDO, Cabarios said “it’s up to them now to look for remedies.”

“They have remedies to continue operating for the meantime. There are legal remedies available to them,” he said.

Cabarios said the NTC’s decision was based solely on Act No. 3846 which states that “no person, firm, company, association or corporation shall construct, install, establish or operate a radio transmitting station, or a radio receiving station used for commercial purposes, or a radio broadcasting station, without having first obtained a franchise therefor from the Congress of the Philippines.”

He gave assurance that NTC’s decision was not affected in any way by Calida’s earlier statements warning NTC officials of facing charges under the Anti-Graft and Corrupt Practices Act should it grant provisional authority to the media network.

Calida earlier pointed out that only Congress has the power to issue franchise to public utility companies like broadcast companies.

Broken promise

NTC commissioner Gamaliel Cordoba earlier told a House hearing that the agency would not order the shutdown of ABS-CBN while it waits for Congress to renew its franchise.

Cordoba had said the NTC would heed the Department of Justice’s advice that it may issue a provisional authority (PA) to the network “upon expressed authorization from the House.”

Speaker Alan Peter Cayetano and House franchise committee chairman Franz Alvarez had secured NTC’s commitment to issue a provisional authority to ABS-CBN.

Cordoba was not answering calls and messages for comment.

Cabarios, however, insisted its legal team has arrived at a decision that it cannot issue any form of authority, even a provisional one, to an entity without a valid legal franchise.

“Their franchise is not valid anymore. We are barred by law to grant any authority to any broadcast entity that has no congressional franchise,” Cabarios said.

In an interview over dzMM, Cabarios said the NTC would seek assistance from law enforcement agencies to implement the order if ABS-CBN continues to operate upon its official receipt of the order.

He said a security officer at the ABS-CBN office in Mother Ignacia  received the order late afternoon yesterday.

ABS-CBN was given 10 days from receipt of the order to respond as to why the frequencies assigned to it should not be recalled.

ABS-CBN said it would comply with the order and stop broadcasting its TV and radio stations nationwide.

“Millions of Filipinos will lose their source of news and entertainment when ABS-CBN is ordered to go off-air on TV and radio tonight (May 5) when people need crucial and timely information as the nation deals with the COVID-19 pandemic,” the company said in a statement.

“This is in compliance with the cease and desist order issued by the NTC today that prohibits ABS-CBN from continuing its broadcast operations effective immediately,” it said.

ABS-CBN said it trusts that the government would decide on its franchise with the best interest of the Filipino people in mind, recognizing ABS-CBN’s role and efforts in providing the latest news and information during these challenging times.

Justice Secretary Menardo Guevarra said ABS-CBN may file a judicial review or appeal the NTC decision before a court.

“Yes, a CDO is immediately executory but still appealable to the courts, either the regional trial court or the Court of Appeals (CA). However, a judicial review is more appropriate than an appeal,” Guevarra said.

“The NTC will have to enforce it if ABS-CBN will not voluntarily comply,” he said when asked about a possible scenario if ABS-CBN defies the order.

Asked what could have prompted the NTC to push through with the CDO despite an agreement with House leaders, Guevarra said: “It must have a very good reason for doing so. Let’s wait for its explanation,” Guevarra added.

Outrage

The NTC order drew condemnation from lawmakers.

Senate Majority Leader Juan Miguel Zubiri branded the directive as “irregular and improper in this time of national pandemic that we would cut off a major television station that provides information dissemination as well as information gathering.”

Senate Minority Leader Franklin Drilon condemned the act “as contrary to law and grave abuse of discretion.”

“The SC itself has said provisional authority can be authorized to be issued where the application for renewal of the franchise is pending,” Drilon said.

Sen. Sonny Angara described the move as “ill-advised and heavy-handed from the standpoint of law and public policy.”

“There is the risk of many people losing their jobs or livelihoods in what is a very difficult economic environment,” Angara said in a statement.

Sen. Grace Poe, chair of the committee on public services, pointed out ABS-CBN and other networks “continue to pay their talents even if they’re not working.”

Sen. Bong Revilla, chairman of the committee on public information and mass media, said the order “is sadly not in accordance with its commitment to Congress and the Senate.”

“This is something we’ve wanting to avoid long before, when we said that Congress needed to act immediately on the franchise, and we could have avoided reaching this point,” Revilla said.

Sen. Joel Villanueva said the NTC has granted provisional authority to other firms with expired franchises.

“The current resolution of NTC is disappointing. To issue this in times of COVID-19 when people need jobs to survive the pandemic is just heartless, considering congressional hearings have shown that the station has not violated any law to justify none extension of franchise,” Villanueva said.

Sen. Francis Pangilinan also condemned the NTC for “this arbitrary exercise of governmental power.”

“This is ridiculous. In the middle of a pandemic, the government is preoccupied with this,” Pangilinan said.

“Given the circumstances, this cease and desist order by the NTC is ill-timed and insensitive to the needs of the public. The delivery of timely and correct information is essential to our COVID-19 response. This shutdown order goes against public welfare,” Sen. Risa Hontiveros said.

Albay Rep. Edcel Lagman said NTC cease and desist order was a result of failure of the House to extend ABS-CBN’s franchise prior to expiration on May 4.

In a statement, he said the solution proffered by the House leadership on the grant of a provisional authority was “part of a charade” since it was “contrary to law and jurisprudence.”

Palawan Rep. Chikoy Alvarez, chairman of the House committee on legislative franchises, said the panel is summoning NTC officials “to explain why they should not be held in contempt” after “disregarding the commitments they gave under oath.”

“We would like to make it clear that Congress takes this matter very seriously, as it directly challenges our exclusive constitutional authority to grant, deny, extend, revoke or modify broadcast franchises. Including having the primary jurisdiction to make an initial determination whether an application for a legislative franchise should be granted or denied,” he said.  –  Edu Punay, Christina Mendez, Delon Porcalla, Evelyn Macairan, Paolo Romero