ON May 5, 2020, in a stroke of bravado, National Telecommunications Commission issued a cease and desist order, even without show cause order, against the giant ABS-CBN, effectively padlocking the network and stopping its broadcast operations on the AM-FM platform.
The move took place at a time when other knotty concerns have added confusion to the already muddled franchise issue Congress has yet to act. The NTC order has even created a heap of legal hurdles that puts two branches of government on a collision course.
Last March 10, 2020, the NTC, with support from both chambers of Congress, promised to issue a provisional authority so the network could continue operating while the House was deliberating on its franchise. Throwing in his legal take on the matter, the Justice Secretary even told Congress there is no law that prohibits the NTC from issuing an interim authority.
Of course, there were quarters that were more categorical in their position that the expiry of a franchise automatically translates to non-operation. Others argue that while Congress is yet to hear the side of oppositors to the franchise, the network can continue to operate, which is porously based on tradition but without a leg to stand on. Adding confusion was the last-minute move of the Solicitor General who threw the gauntlet, warning the NTC to refrain from issuing a provisional authority. Otherwise, charges would be filed.
Earlier, under oath before Congress, the NTC assured both chambers it would issue a temporary license upon expiry of franchise. Instead, it heeded the warning of the Solicitor General.
In the eyes of the Senate and the House, the NTC’s CDO is expected to result in an untenable position for the telecom agency. First, it will have to respond convincingly to the show cause order Congress had issued, which can result in contempt. The worst scenarios the agency will be facing (i) abolition and (ii) getting a P1 budget for 2021.
Granting the NTC was correct in its stance, some sectors claim that under the Bayanihan Law, enacted precisely for COVID-19 calamity, statutory deadlines, including franchises, are automatically extended. Other legal minds have different takes on the provision.
On the side, it is best if we revisit former Justice Reynato Puno’s position that broadcast outfits, such as corporations, should be allowed to operate after acquiring the necessary business permits and licenses, qualifying that “As long as the law remains unchanged, the requirement of a franchise to operate a television station must be upheld.”
