DAVAO CITY, Philippines (September 4, 2008) – House Speaker Prospero Nograles warned private corporations against non-compliance with the requirements of their legislative franchises, endorsing an earlier call by a senior Mindanao lawmaker for a review of all franchises granted by Congress.
"Rep. Rodolfo Plaza was right when he sought such a review because the grant of a franchise is an act of Congress which can also be taken back or revoked when the grantees do not adhere to the mandates of their franchises," Nograles said.
Plaza (Agusan del Sur) revealed that a number of private corporations granted franchises by Congress are reportedly remiss in complying with the letters of their legislative concessions.
Nograles said Plaza's revelation, that certain firms deliberately conceal their true ownership when applying for a legislative franchise, "is something that should be really looked into".
Following this revelation, Nograles instructed the House Committee on Legislative Franchises chaired by Iloilo Rep. Ferjenel Biron, to exercise oversight over the franchises granted by Congress.
Nograles also wants Biron to "find out if these franchisees have been diligently complying with the terms and conditions pertinent to their legislative franchises including the submission of annual reports to Congress."
According to Plaza, a number of legislative franchise holders have not been submitting annual reports. Under the law, companies can be fined with up to P50,000 per day for failure to submit their annual reports.
Nograles said the congressional review would cover telecommunications service providers, broadcasting media companies, cable television firms, commercial airlines and public utilities.
"We owe it to the Filipino people," Nograles said and assured that "those who faithfully comply with the terms and conditions of their respective franchises have nothing to worry about." (Romy Bwaga)
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