THE SENATE’S PRESENT FOR THE FUTURE: Senate President Franklin M. Drilon delivers the Senate’s concluding message for the 16th Congress as it formally ended during Monday’s session, June 6, 2016. In his speech, Drilon highlighted the sterling accomplishments of the Senate over the past three years, saying that these laws have paved the way for a better Philippines. “Hard work enabled us to achieve so much in a span of three years,” he said.(MNS photo)
MANILA, June 14 (Mabuhay) – The Philippine Competition Commission (PCC) can stop the joint acquisition of the San Miguel Corp (SMC) telecommunications assets by two industry giants if the deal, after a review, would encourage or result in a monopoly, Senate President Franklin Drilon said on Tuesday.
Drilon pointed out that under the Philippine Competition Act, the commission can review “whether a particular agreement or a particular practice would have monopolistic tendencies,” which he said would be prejudicial to public interest and to the expansion of the economy and business.
He cited as an example the recent agreement between the Philippine Long Distance Telephone Co. (PLDT) and Globe Telecom to buy out the SMC’s Vega Telecom Inc. and two other telco companies with reported links to SMC.
SENATE’S CLOSING MESSAGE FOR 16th CONGRESS: Senate President Franklin M. Drilon is congratulated by his fellow senators after delivering the Senate’s closing message for the 16th Congress, which adjourned sine die during Monday’s session, June 6, 2016. A four-time Senate President, it was Drilon’s ninth time to deliver the closing message of the Senate. Those greeting Drilon, are clockwise, Senators Bam Aquino, Sonny Angara, Senate Deputy Minority Leader Tito Sotto III, along with Senators Gringo Honasan II, Antonio Trillanes IV, Koko Pimentel III, Cynthia Villar and Senate Majority Leader Alan Peter Cayetano.(MNS photo)
“This is now subject to the review of the Philippine Competition Commission to see whether there is a monopoly or duopoly which prevent the coming-in of other players that therefore, kill competition,” Drilon said.
Asked if there was a need to get the PCC’s nod before the deal was done, the Senate leader said: “No, but they have a right to review and they have the right to declare that these agreements stifle competition and therefore can stop it, theoretically.”
Asked again if there was a need for the PCC to go to the Supreme Court to stop the deal, Drilon said he could not recall if it was provided for in the law.
“But on their own, they can say that the agreement encourages or results in a monopoly and therefore this cannot be implemented – either portions, or the whole agreement,” he said.
PLDT and Globe earlier insisted that the Commission had no power to undo their joint acquisition last month. (MNS)