MANILA, Philippines — The National Telecommunications Commission (NTC) on Tuesday issued a Cease and Desist Order against ABS-CBN after its legislative franchise expired on May 4.
In an Order dated May 5, the NTC directed ABS-CBN to stop operating its television and radio broadcasting stations nationwide “absent a valid Congressional Franchise required by law.”
ADVERTISEMENT
NTC cited Republic Act No. 3846 or the Radio Control Law which states that “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.”
Thus, with the expiration of the Republic Act. No 7966, which granted ABS-CBN a 25-year franchise to operate its TV and radio broadcasting stations, NTC said that ABS-CBN “no longer has a valid and subsisting congressional franchise as required by Act No. 3846.
“The NTC Regional Offices shall implement the closure order in their respective areas of jurisdiction,” NTC said in a statement.
The order likewise gives ABS-CBN en days from the receipt of the Order to respond as to why the frequencies assigned to the network should not be recalled.
“After receipt of ABS-CBN’s response, the NTC shall schedule the case for hearing at the earls time after he Enhanced Community Quarantine is lifted by the Government,” NTC said.
What happened?
The 11 bills seeking the renewal of franchise of ABS-CBN remain pending before the House committee on legislative franchises, the earliest of which, at least in the 18th Congress, was filed in July 2019.
While the bills were pending in the lower chamber, House Speaker Alan Peter Cayetano on numerous occasions assured that ABS-CBN will not shut down its operations even if its franchises lapses.
On May 4, the same day Congress resumed its sessions from their Lenten break, ABS-CBN’s franchise expired.
In assuring that ABS-CBN will continue its operations while Congress tackles the bills seeking its renewal, House leaders banked on the NTC granting the network a provisional authority to operate.
ADVERTISEMENT
Thus in February, Cayetano and Palawan Rep. Franz Alvarez, the franchise committee chair, earlier sent a letter to the NTC enjoining the commission to grant a provisional authority to operate to ABS-CBN effective on May 4, 2020, “until such time that the House of Representatives/Congress has made a decision on its application.”
On March 10, NTC Commissioner Gamaliel Cordoba told members of the House that they will follow the advice of the Department of Justice (DOJ), allowing ABS-CBN to operate while its franchise renewal bid is pending in Congress.
Solicitor General’s opposition
On May 3, Solicitor General Jose Calida, who earlier filed a quo warranto petition against ABS-CBN in a move to have the network’s franchise revoked, warned the NTC against granting provisional authority to ABS-CBN.
According to Calida, NTC could not grant provisional authorities to ABS-CBN Corporation and its affiliate, ABS-CBN Convergence, Inc. because it must first secure a franchise from Congress.
Calida said the NTC commissioners could risk subjecting themselves to prosecution under the country’s anti-graft and corruption laws should they issue the “unlawful” provisional authorities to ABS-CBN while not having a franchise.
In response to Calida’s efforts to “pressure” the NTC, Alvarez said that the “Committee on Legislative Franchises will not be dictated upon by any individual or agency as to the manner, schedule, and conduct of its official business.”
Alvarez also posted a warning to NTC: “If the NTC chooses to succumb to the pressure of the Solicitor General, and disregard the commitments they gave under oath, we reserve the right to call them before Congress and explain why they should not be held in contempt.”
Ironically, Alvarez released the statement merely hours before news broke out regarding the cease and desist order against ABS-CBN.
So far, the committee on legislative franchises has only held one hearing—or meeting—to discuss the matter. But during this meeting, no one from ABS-CBN or from the opposition was invited.
Instead, the lawmakers decided to first draft the ground rules for the formal deliberations of the franchise renewal bid of ABS-CBN, which Cayetano earlier deemed to be necessary so that the hearings would not be a “circus.”
Read Next
EDITORS' PICK
MOST READ
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.