In a recent development at the House of Representatives, Albay Representative Joey Salceda has introduced House Bill 11252, aiming to provide ABS-CBN Corporation with a new 25-year franchise. Salceda emphasized that during previous congressional discussions, ABS-CBN was found to be compliant with legal standards, with no violations of ownership rules or outstanding tax issues, as confirmed by the Securities and Exchange Commission and the Bureau of Internal Revenue.
The broadcaster was forced to cease operations on May 5, 2020, after receiving a cease-and-desist order from the National Telecommunications Commission. The House Committee on Legislative Franchises had previously declined ABS-CBN’s application for a new franchise on July 10, 2020, citing multiple concerns including the dual citizenship of Eugenio Lopez III, potential breaches of foreign ownership limits, and alleged labor and tax violations.
Salceda highlighted the severe impact of the franchise non-renewal, which led to the loss of 11,000 jobs and diminished access to news, particularly critical during the Covid-19 crisis. He had previously cautioned that rejecting the franchise could exacerbate the spread of the virus due to reduced information availability.
The lawmaker also pointed out ABS-CBN’s significant role in providing regional news and updates during emergencies, noting that before the franchise was rejected, 36 percent of Filipinos relied on the network for news and entertainment. Salceda’s bill seeks to foster a competitive environment in the media sector, arguing that a monopoly in information dissemination is detrimental to the public’s right to be informed.