Solon wants revocation of re-sold congressional franchises

Tuesday, 24 May 2011 09:39

Ang Kasangga Party-list Rep. Teodorico Haresco today said there is a need to conduct a congressional audit on the legislative franchises that it issued to various private firms and find out if these
franchises are still in the hands of the original franchise holders or were already re-sold to other individuals or corporations.

He proposed that all congressional franchises issued from the 8th Congress up to the present which have been re-sold or are no longer in the control of the original franchisee be immediately revoked or cancelled.

Haresco made this proposals amid reports that certain congressional franchises such as radio and telecommunication frequencies and other utilities that require a congressional franchise are being secured only to be resold to the highest bidder.

Haresco pointed out that compliance with the full requirement of the law including the full approval of Congress in order to secure and operate a congressional franchise should not be transferable to any group or entity which did not go through the same congressional scrutiny that was subjected to the original franchise holder.

"This practice should be considered illegal because the original holder of the franchise should be the only one who is accountable to Congress which issued the franchise in the first place. Congressional franchises should not be treated as mere commodities that can be the subject of trade and commerce because these are embedded with public interest and even some security issues," Haresco said.

Earlier, Haresco sent a letter to House Secretary General Atty. Marilyn Barua-Yap requesting to be furnished a list of franchises granted by the Philippine Government since the 8th Congress up to the
present.

"It is important to reexamine said franchises to make sure these public utilities are still in compliance with the purpose for which they were originally granted franchises," Haresco added.

Haresco cited Article XII, Section 11 of the 1987 Philippine Constitution which states that "...Neither shall any such franchise or right be granted except under the condition that it shall be subject to amendment, alteration or repeal by the Congress when the common good requires."

"With the said list, we can review and monitor if they are still complying with the provisions and conditions for which the said franchises were originally granted," Haresco pointed out.

Haresco said that the requested congressional review would help bring out to light possible violations of franchises and other related matters and help Congress work out remedial measures to safeguard public interest and safety.

"We have to look into legal loopholes that compromise public interest," Haresco stressed in the wake of disturbing accidents involving public utilities.

Haresco noted that while it is the obligation of the companies that were granted franchises to run public utilities including those related to mass media and telecommunications to regularly submit periodic reports to Congress with regard to their compliance with the provisions of their franchise, this requirement seems to have been completely ignored soon after the companies managed to secure their franchise.