CA denies PCC plea to lift injunction vs review of PLDT, Globe’s P70 B buyout deal

March 2, 2017

The Court of Appeals denied the appeal of the Philippine Competition Commission to lift a writ of preliminary injunction stopping the PCC from reviewing a P70-billion buyout of Philippine Long Distance Telephone Co. and Globe Telecommunications of the telco assets of San Miguel Corp.

In a resolution penned by Associate Justice Ramon Bato Jr., the CA’s Special Twelfth Division issued a gag order directing the PCC to remove immediately from its website its preliminary statement of concern which contained an initial finding that the deal “is likely to substantially prevent, restrict and lessen competition” within the telco industry.

The appellate court also ordered PCC, PLDT and Globe to stop issuing public comments and statements that would violate sub judice and subject them to indirect contempt.

“Likewise, to be fair, PLDT should also refrain from making comments on the subject acquisition and desist from communicating their opinion to the public during the pendency of this case,” the court said.

The gag order was issued upon the motion filed by PLDT where it claimed that the publication of the statement of c oncern violates Republic Act No. 10667 which considers confidential the deliberations and investigation conducted by PCC.

Last August 26, 2016, CA issued a writ of preliminary injunction against PCC and its agents from conducting any investigation, which would impair the rights of PLDT, Globe and SMC.

In ruling against PCC’s motion for reconsideration of its August 26 resolution, the CA stood by its findings existence of all requisites for issuing a writ of preliminary injunction has been established by PLDT and Globe. DMS