Metro Manila (CNN Philippines, February 27) — Upon the wish of President Rodrigo Duterte, ABS-CBN says it is donating the ₱2.6 million refund that the network was supposed to pay to him for unaired political advertisements during the 2016 elections.
"We will coordinate with the President's office as it relates to his guidance on donating the refund to a charitable institution," the embattled ABS-CBN network said in a statement on Thursday.
Presidential Spokesperson Salvador Panelo in a media briefing said there is no need for guidance. "Just donate it to your favorite charitable organization," he said, addressing the station.
ABS-CBN said it is "grateful and humbled" that the President accepted the apology they made during a congressional hearing. During a legislative inquiry into the network's franchise woes, ABS-CBN President and CEO Carlo Katigbak publicly apologized for "offending" Duterte when it aired an advertisement that questioned if a tough-talking, cursing politician would be a good fit for president.
Katigbak also disclosed that the network could not find airtime for Duterte's advertisements in 2016 since slots for local ads were limited to just two minutes per hour. Katigbak said ABS-CBN refunded about ₱4 million to Duterte, but got delayed in returning the remaining ₱2.6 million. He said the President's camp refused to accept the delayed refund.
Duterte won the 2016 presidential polls and has since publicly spoken about his ire against ABS-CBN for not airing his political ads. He previously vowed to put the channel and its subsidiaries out of business, even telling its executives to just sell the company.
Malacañang has said the threats should not be taken literally, and that the President has nothing to do with the challenges ABS-CBN is facing regarding the renewal of its franchise.
In a chance interview with reporters on Wednesday, Duterte accepted ABS-CBN's apology, but was silent on whether he will support the network's franchise renewal bid. He stressed that he will not interfere with the pending bills in Congress. He also refused to say whether he will approve or reject a bill passed by Congress granting the media giant another 25-year franchise.
Following the expiry of broadcast corporation 's legislative franchise, the Philippine government issued a cease and desist order dated yesterday, forcing the shut-down of broadcasting operations by the company. Later in the evening, the network signed off and went off-air. The last time the Philippine government ordered the network to shut down was during the martial law imposed by former Philippine President  back in 1972.
ABS-CBN logo.
Republic Act No. 3846, also known as the "Radio Control Law", states "no person, firm, company, association, or corporation shall construct, install, establish, or operate a radio transmitting station, or 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." Since ABS-CBN's legislative franchise, Republic Act No. 7966, expired on Monday, the network no longer had a valid franchise to continue airing their programs. The  (NTC) issued a cease and desist order to the network yesterday, and in compliance, the network signed off that night.

The network tried to renew their franchise as early as July 2019, but all eleven of the legislative bills filed have been stuck in . The franchise of ABS-CBN expired on Monday, the same day Congress reconvened after their  Break, which began on March 13. Though the NTC is allowed to provide the network a provisional license while its application to the Congress is still being decided upon, the commission refused to provide the network with said license. A number of  condemned the act of the NTC, citing the move as a "grave abuse of governmental power" and "contrary to law".

ABS-CBN Corporation is the largest television and radio broadcasting company in the Philippines with over 42 television stations, 10 digital channels, and 18 FM and five AM radio stations, and has been broadcasting for over 65 years. Philippine President  threatened the network's franchise renewal before, after the network didn't carry some of his campaign commercials, which they've said was due to a lack of airtime, and he accused the network of "swindling". Solicitor General Jose Calida filed a  petition on February 10, accusing the network of violating its franchise. After a Senate hearing was conducted on February 24, the Senate did not find the network had breached laws, nor its franchise terms. ABS-CBN CEO  said refunds for Duterte's unaired political ads were offered, of which some were not accepted by his campaign. Katigbak apologized to Duterte during the hearing, which the President accepted according to a statement by the Presidential Spokesperson Harry Roque.

The network's news channel, ABS-CBN News Channel, is still on air, as the network claims the cease and desist order did not cover their news channel's franchise.