ABS-CBN Corporation on Monday maintained that it did not violate the law, contrary to claims made by Solicitor General Jose Calida in his press statement for the filing of a quo warranto petition against the broadcast network.
In a statement, ABS-CBN slammed the petition as “ill-timed” and an effort to shut down the network.
Calida earlier accused ABS-CBN of “highly abusive practices” such as the issuance of Philippine Depositary Receipts (PDRs) to foreigners.
“These allegations cited… are without merit. ABS-CBN complies with all pertinent laws governing its franchise and has secured all necessary government and regulatory approvals for its business operations,” the company said.
ABS-CBN said all its broadcast offerings, including the KBO Channel, have obtained the necessary government approvals, while its PDRs were duly evaluated and approved by the Securities and Exchange Commission and the Philippine Stock Exchange.
The network added that its ownership in ABS-CBN Convergence was “undertaken under the same law and structures that have been utilized by other telecommunications companies.”
ABS-CBN underscored that its KBO Channel, which has provided services to “nearly 90 percent of the Philippines,” is powered by the capital raised from PDRs while ABS-CBN Convergence has supported government policies to bring down the cost of internet access.
“We reiterate that everything we do is in accordance with the law. We did not violate the law. This case appears to be an attempt to deprive Filipinos of the services of ABS-CBN,” the company said.
The franchise of the broadcast network is set to expire on March 30, 2020. —Julia Mari Ornedo/KG, GMA News