Republic of the Philippines
CONGRESS OF THE PHILIPPINES
Metro ManilaTwelfth Congress
Second Regular SessionBegun held in Metro Manila on Monday, the twenty-second day of July, two thousand two
REPUBLIC ACT NO. 9192 February 28, 2003
AN ACT GRANTING THE ACWS-UNITED BROADCASTING NETWORK, INC. A FRANCHISE TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS IN THE PHILIPPINES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
Section 1. Nature and Scope of Franchise. - Subject to the provisions of the Constitution and applicable laws, rules and regulations, there is hereby, granted to ACWS United Broadcasting Network, Inc., hereunder referred to as the grantee, its successors or assigns, a franchise to construct, install, establish, operate and maintain for commercial purposes and in the public interest, radio and/or television broadcasting stations in the Philippines, where frequencies and/or channels are still available for radio and/or television broadcasting, through microwave, satellite or whatever means, including the use of any new technologies in television and radio systems, with the...
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Republic Acts
AN ACT GRANTING THE ACWS-UNITED BROADCASTING NETWORK
Republic Act No. 9192
Nature and Scope of Franchise (Section 1):
- Grants ACWS-United Broadcasting Network, Inc. (the grantee) a franchise to construct, install, establish, operate and maintain radio and/or television broadcasting stations in the Philippines for commercial purposes and in the public interest.
- Allows the use of microwave, satellite or any new technologies, including technological auxiliaries, facilities, special broadcast and program distribution services, and relay stations.
- Subject to the provisions of the Constitution and applicable laws, rules and regulations.
Manner of Operation of Stations or Facilities (Section 2):
- The stations or facilities shall be constructed and operated in a manner that results in minimum interference on the wavelengths or frequencies of existing or future stations.
- The grantee shall not diminish its own right to use its selected wavelengths or frequencies and the quality of transmission or reception.
Prior Approval of the National Telecommunications Commission (Section 3):
- The grantee shall secure appropriate permits and licenses from the National Telecommunications Commission (NTC) for the construction and operation of its stations and facilities.
- The grantee shall not use any frequency without authorization from the NTC.
- The NTC shall not unreasonably withhold or delay the grant of any such authority.
Responsibility to the Public (Section 4):
- The grantee shall provide adequate public service time to enable the government to reach the population on important public issues.
- The grantee shall provide sound and balanced programming at all times.
- The grantee shall assist in the functions of public information and education.
- The grantee shall conform to the ethics of honest enterprise.
- The grantee shall not broadcast obscene, indecent language, speech, act or scene, or disseminate deliberately false information or willful misrepresentation to the detriment of public interest, or incite, encourage or assist in subversive or treasonable acts.
Right of Government (Section 5):
- The President of the Philippines has a special right, in times of war, rebellion, public peril, calamity, emergency, disaster or disturbance of peace and order, to temporarily take over and operate the stations or facilities of the grantee, or to temporarily suspend the operation of any station or facility in the interest of public safety, security and public welfare, or to authorize the temporary use and operation thereof by any agency of the government, upon due compensation to the grantee.
- The radio spectrum is a finite resource that is part of the national patrimony and the use thereof is a privilege conferred upon the grantee by the State and may be withdrawn anytime after due process.
Term of Franchise (Section 6):
- The franchise shall be for a term of twenty five (25) years from the date of effectivity of this Act, unless sooner revoked or cancelled.
- The franchise shall be deemed ipso facto revoked if the grantee fails to:
- Commence operations within one (1) year from the approval of its operating permit or provisional authority by the NTC;
- Operate continuously for two (2) years; and
- Commence operations within three (3) years from the effectivity of this Act.
Acceptance and Compliance (Section 7):
- Acceptance of this franchise shall be given in writing within sixty (60) days from the effectivity of this Act.
- Upon giving such acceptance, the grantee shall exercise the privileges granted under this Act.
- Non-acceptance shall render the franchise void.
Bond (Section 8):
- The grantee shall file a bond issued in favor of the NTC, with an amount determined by the NTC, to guarantee compliance with and fulfillment of the conditions under which this franchise is granted.
- If after three (3) years from the date of the approval of its permit by the NTC, the grantee shall have fulfilled the conditions, the bond shall be cancelled by the NTC.
- Otherwise, the bond shall be forfeited in favor of the government and the franchise ipso facto revoked.
Tax Provisions (Section 9):
- The grantee, its successors or assigns, shall be subject to the payment of all taxes, duties, fees or charges and other impositions under the National Internal Revenue Code of 1997, as amended, and other applicable laws.
- Nothing herein shall be construed as repealing any specific tax exemptions, incentives, or privileges granted under any relevant law.
- All rights, privileges, benefits and exemptions accorded to existing and future broadcasting station franchises shall likewise be extended to the grantee.
- The grantee shall file the return with the city or province where its facility is located and pay the taxes due thereon to the Commissioner of Internal Revenue or his duly authorized representatives in accordance with the National Internal Revenue Code and the return shall be subject to audit by the Bureau of Internal Revenue.
Self-regulation by and Undertaking of Grantee (Section 10):
- The grantee shall not require any previous censorship of any speech, play, act or scene, or other matter to be broadcast from its stations.
- The grantee shall cut off from the air the speech, play, act or scene, or other matter being broadcast if the tendency thereof is to propose and/or incite treason, rebellion or sedition, or the language used therein or the theme thereof is indecent or immoral.
- Willful failure to do so shall constitute a valid cause for the cancellation of this franchise.
Obligation of the Grantee (Section 11):
- Any person aggrieved by any remark, report, statement, commentary or the like by broadcasters using the same facilities of the grantee shall have the right to reply in the same program or any other program the aggrieved party may choose.
Warranty in Favor of National and Local Governments (Section 12):
- The grantee shall hold the national, provincial, city and municipal governments of the Philippines harmless from all claims, accounts, demands or actions arising out of accidents or injuries, whether to property or to persons, caused by the construction or operation of the stations of the grantee.
Sale, Lease, Transfer, Usufruct, Etc. (Section 13):
- The grantee shall not lease, transfer, grant the usufruct of, sell nor assign this franchise or the rights and privileges acquired thereunder to any person, firm, company, corporation or other commercial or legal entity, nor merge with any other corporation or entity, nor shall the controlling interest of the grantee be transferred, whether as a whole or in parts and whether simultaneously or contemporaneously, to any such person, firm, company, corporation or entity without the prior approval of the Congress of the Philippines.
- Any person or entity to which this franchise is sold, transferred or assigned shall be subject to the same conditions, terms, restrictions and limitations of the Act.
Dispersal of Ownership (Section 14):
- In accordance with the constitutional provisions to encourage public participation in public utilities, the grantee shall offer at least thirty per centum (30%) of its outstanding capital stock or a higher percentage that may hereafter be provided by law in any securities exchange in the Philippines within five (5) years from the commencement of its operations.
- The public offering shall comply with the rules and regulations of the Securities and Exchange Commission (SEC).
- Non-compliance therewith shall render the franchise ipso facto revoked.
General Broadcast Policy Law (Section 15):
- The grantee shall comply with and be subject to the provisions of a general broadcast policy law which Congress may hereafter enact.
Equality Clause (Section 16):
- Any advantage, favor, privilege, exemption, or immunity granted under existing franchises, or may hereafter be granted, shall ipso facto become part of this franchise and shall be accorded immediately and unconditionally to the herein grantee.
- However, the foregoing shall neither apply to nor affect provisions of telecommunications franchises concerning territory covered by the franchise, the life span of the franchise, or the type of service authorized by the franchise.
Separability Clause (Section 17):
- If any of the sections or provisions of this Act is held invalid, all the other provisions not affected thereby shall remain valid.
Repealability and Non-exclusivity Clause (Section 18):
- This franchise shall be subject to amendment, alteration or repeal by Congress of the Philippines when the public interest so requires and shall not be interpreted as an exclusive grant of the privileges herein provided for.
Reportorial Requirement (Section 19):
- The grantee shall submit an annual report to the Congress of the Philippines on its compliance with the terms and conditions of the franchise and on its operations within sixty (60) days from the end of every year.
Effectivity Clause (Section 20):
- This act shall take effect fifteen (15) days from the date of its publication, upon the initiative of the grantee, in at least two (2) newspapers of general circulation in the Philippines.
- Grants ACWS-United Broadcasting Network, Inc. (the grantee) a franchise to construct, install, establish, operate and maintain radio and/or television broadcasting stations in the Philippines for commercial purposes and in the public interest.
- Allows the use of microwave, satellite or any new technologies, including technological auxiliaries, facilities, special broadcast and program distribution services, and relay stations.
- Subject to the provisions of the Constitution and applicable laws, rules and regulations.
Manner of Operation of Stations or Facilities (Section 2):
- The stations or facilities shall be constructed and operated in a manner that results in minimum interference on the wavelengths or frequencies of existing or future stations.
- The grantee shall not diminish its own right to use its selected wavelengths or frequencies and the quality of transmission or reception.
Prior Approval of the National Telecommunications Commission (Section 3):
- The grantee shall secure appropriate permits and licenses from the National Telecommunications Commission (NTC) for the construction and operation of its stations and facilities.
- The grantee shall not use any frequency without authorization from the NTC.
- The NTC shall not unreasonably withhold or delay the grant of any such authority.
Responsibility to the Public (Section 4):
- The grantee shall provide adequate public service time to enable the government to reach the population on important public issues.
- The grantee shall provide sound and balanced programming at all times.
- The grantee shall assist in the functions of public information and education.
- The grantee shall conform to the ethics of honest enterprise.
- The grantee shall not broadcast obscene, indecent language, speech, act or scene, or disseminate deliberately false information or willful misrepresentation to the detriment of public interest, or incite, encourage or assist in subversive or treasonable acts.
Right of Government (Section 5):
- The President of the Philippines has a special right, in times of war, rebellion, public peril, calamity, emergency, disaster or disturbance of peace and order, to temporarily take over and operate the stations or facilities of the grantee, or to temporarily suspend the operation of any station or facility in the interest of public safety, security and public welfare, or to authorize the temporary use and operation thereof by any agency of the government, upon due compensation to the grantee.
- The radio spectrum is a finite resource that is part of the national patrimony and the use thereof is a privilege conferred upon the grantee by the State and may be withdrawn anytime after due process.
Term of Franchise (Section 6):
- The franchise shall be for a term of twenty five (25) years from the date of effectivity of this Act, unless sooner revoked or cancelled.
- The franchise shall be deemed ipso facto revoked if the grantee fails to:
- Commence operations within one (1) year from the approval of its operating permit or provisional authority by the NTC;
- Operate continuously for two (2) years; and
- Commence operations within three (3) years from the effectivity of this Act.
Acceptance and Compliance (Section 7):
- Acceptance of this franchise shall be given in writing within sixty (60) days from the effectivity of this Act.
- Upon giving such acceptance, the grantee shall exercise the privileges granted under this Act.
- Non-acceptance shall render the franchise void.
Bond (Section 8):
- The grantee shall file a bond issued in favor of the NTC, with an amount determined by the NTC, to guarantee compliance with and fulfillment of the conditions under which this franchise is granted.
- If after three (3) years from the date of the approval of its permit by the NTC, the grantee shall have fulfilled the conditions, the bond shall be cancelled by the NTC.
- Otherwise, the bond shall be forfeited in favor of the government and the franchise ipso facto revoked.
Tax Provisions (Section 9):
- The grantee, its successors or assigns, shall be subject to the payment of all taxes, duties, fees or charges and other impositions under the National Internal Revenue Code of 1997, as amended, and other applicable laws.
- Nothing herein shall be construed as repealing any specific tax exemptions, incentives, or privileges granted under any relevant law.
- All rights, privileges, benefits and exemptions accorded to existing and future broadcasting station franchises shall likewise be extended to the grantee.
- The grantee shall file the return with the city or province where its facility is located and pay the taxes due thereon to the Commissioner of Internal Revenue or his duly authorized representatives in accordance with the National Internal Revenue Code and the return shall be subject to audit by the Bureau of Internal Revenue.
Self-regulation by and Undertaking of Grantee (Section 10):
- The grantee shall not require any previous censorship of any speech, play, act or scene, or other matter to be broadcast from its stations.
- The grantee shall cut off from the air the speech, play, act or scene, or other matter being broadcast if the tendency thereof is to propose and/or incite treason, rebellion or sedition, or the language used therein or the theme thereof is indecent or immoral.
- Willful failure to do so shall constitute a valid cause for the cancellation of this franchise.
Obligation of the Grantee (Section 11):
- Any person aggrieved by any remark, report, statement, commentary or the like by broadcasters using the same facilities of the grantee shall have the right to reply in the same program or any other program the aggrieved party may choose.
Warranty in Favor of National and Local Governments (Section 12):
- The grantee shall hold the national, provincial, city and municipal governments of the Philippines harmless from all claims, accounts, demands or actions arising out of accidents or injuries, whether to property or to persons, caused by the construction or operation of the stations of the grantee.
Sale, Lease, Transfer, Usufruct, Etc. (Section 13):
- The grantee shall not lease, transfer, grant the usufruct of, sell nor assign this franchise or the rights and privileges acquired thereunder to any person, firm, company, corporation or other commercial or legal entity, nor merge with any other corporation or entity, nor shall the controlling interest of the grantee be transferred, whether as a whole or in parts and whether simultaneously or contemporaneously, to any such person, firm, company, corporation or entity without the prior approval of the Congress of the Philippines.
- Any person or entity to which this franchise is sold, transferred or assigned shall be subject to the same conditions, terms, restrictions and limitations of the Act.
Dispersal of Ownership (Section 14):
- In accordance with the constitutional provisions to encourage public participation in public utilities, the grantee shall offer at least thirty per centum (30%) of its outstanding capital stock or a higher percentage that may hereafter be provided by law in any securities exchange in the Philippines within five (5) years from the commencement of its operations.
- The public offering shall comply with the rules and regulations of the Securities and Exchange Commission (SEC).
- Non-compliance therewith shall render the franchise ipso facto revoked.
General Broadcast Policy Law (Section 15):
- The grantee shall comply with and be subject to the provisions of a general broadcast policy law which Congress may hereafter enact.
Equality Clause (Section 16):
- Any advantage, favor, privilege, exemption, or immunity granted under existing franchises, or may hereafter be granted, shall ipso facto become part of this franchise and shall be accorded immediately and unconditionally to the herein grantee.
- However, the foregoing shall neither apply to nor affect provisions of telecommunications franchises concerning territory covered by the franchise, the life span of the franchise, or the type of service authorized by the franchise.
Separability Clause (Section 17):
- If any of the sections or provisions of this Act is held invalid, all the other provisions not affected thereby shall remain valid.
Repealability and Non-exclusivity Clause (Section 18):
- This franchise shall be subject to amendment, alteration or repeal by Congress of the Philippines when the public interest so requires and shall not be interpreted as an exclusive grant of the privileges herein provided for.
Reportorial Requirement (Section 19):
- The grantee shall submit an annual report to the Congress of the Philippines on its compliance with the terms and conditions of the franchise and on its operations within sixty (60) days from the end of every year.
Effectivity Clause (Section 20):
- This act shall take effect fifteen (15) days from the date of its publication, upon the initiative of the grantee, in at least two (2) newspapers of general circulation in the Philippines.