NTC FINES GMA P0.6 FOR NOT RENEWING PERMITS!

THE National Telecommunications Commission (NTC) has imposed a P685,300-fine on GMA Network Inc. for failing to renew on time its permit to operate in several provinces.

GMA’s certificate of public necessity (CPN) in the cities of Cagayan de Oro, Ozamiz, Cotobato, Pagadian, Roxas and Puerto Princesa and in the municipality of Kalibo, Aklan expired on December 17, 1999 and was renewed by the broadcasting firm only on May 27, 2008.

The NTC granted GMA’s petition for renewal only on August 31. It allowed GMA to continue operating in those provinces up to but not beyond December 31, 2014. However, the regulators ordered GMA to pay a fine of P308,000.

In similar orders, the NTC also renewed GMA’s permit to operate in Masbate and Dipolo Citybut again imposed a hefty fine of P377,000.

GMA’s CPN expired on January 10, 2000. The application for renewal was filed two years later or on September 6, 2002. For this, the NTC charged GMA with a fine of P96,600.

The broadcasting firm’s CPN in Dipolog City, meanwhile, lapsed on August 20, 2000. It filed an application to renew the permit only on April 30, 2008. For this, GMA was fined P280,700.

As expected, GMA is protesting the fines imposed by the NTC.

“With all due respect, GMA moves for the partial reconsideration of the said order dated August 31, 2011 insofar as it imposes a fine against the former. The honorable commission erred in imposing a fine against applicant GMA notwithstanding that its violation, if any, had already prescribed,” said GMA.

GMA pointed out that the NTC erred in imposing a fine without the filing of an original complaint under the 2006 NTC revised rules of practice and procedures.

Moreover, it pointed out, the imposition of penalty in excess of P25,000 is contrary to the policy embodied in Chapter 4 of the Public Service Act.

“Assuming for the sake of argument that applicant GMA committed a violation when it operated the subject [ultra-high frequency] TV stations from December 17,1999 to May 27.2008, the latter respectfully emphasizes that such violation had already prescribed when the honorable commission issued the present order. With all due respect, the imposition of fines against applicant GMA embedded in the August 31 order without the filing of an original complaint…violates the fundamental principle of due process. Indubitably, it should be reversed insofar as the imposition of the fine is concerned,” said GMA.

The broadcast company also said the charges were “exorbitant and unconscionable under the circumstances considering among others, that the omission herein was due to pure inadvertence without any of abandoning its obligations as a public service.”

Source: Interasyon.com