Bahala na sila! Duterte leaves graft case vs ABS-CBN up to Ombudsman

By Prince Golez

President Rodrigo Duterte is leaving to the Office of the Ombudsman the task to investigate the alleged unpaid taxes and condoned loans of broadcast network ABS-CBN, according to Malacañang.

In his weekly public address on Monday, Duterte ordered the National Telecommunications Commission (NTC) not to grant ABS-CBN permit unless the firm settles their alleged tax liability.

“Sabi po ni Presidente, iri-refer na niya ang bagay na ito sa Ombudsman. So, Ombudsman na po ang magri-review kung mayroong cause of action for any violation of our Anti-Graft Laws,” Presidential Spokesperson Harry Roque said in his virtual presser.

According to Roque, Duterte received information that ABS-CBN violated the anti-graft law when it sold its assets to a special-purpose vehicle (SPV) and when the Development Bank of the Philippines (DBP) condoned its loans.

“Nakalap siya ng impormasyon na nagkaroon ng paglabag ng batas, ng ating Anti-Graft Law noong nauna na binenta ng ABS-CBN sa isang SPAV [special purpose asset vehicle] ang kaniyang mga ari-arian at naka-condone hindi umano iyong ilang mga loans niya sa DBP at na-acquire po muli ng ABS-CBN iyong mga same assets,” he added.

In February 2020, the Bureau of Internal Revenue said that ABS-CBN had no outstanding tax liability.

Last month, the DBP clarified that it did not condone and write off P1.6 billion in loans to companies controlled or affiliated with the Lopez family that turned sour as a result of the lingering 1997 Asian financial crisis.

The loans to the Lopezes were part of P9.55 billion in non-performing loans and non-performing assets that the bank sold in an auction to two SPVs or financial companies that specialize in buying these receivables at discounts.

On May 5, 2020, ABS-CBN went off-air after the NTC issued a cease-and-desist order against the network after its legislative franchise expired on May 4.

In an overwhelming 70-11 vote, the House Committee on Legislative Franchises also rejected ABS-CBN’s bid for a new 25-year franchise due to various issues.

Source: Latest Politics News Today (Politics.com.ph)