The Department of Information and Communications Technology has been asked to clarify the status of the awarding of the third telecommunications slot to Mindanao Islamic Telephone Co. following reports the “new major player” had not yet paid the P25.7-billion performance bond to the government.
Taxpayer Marlon Anthony Tonson, who earlier filed a petition before the Supreme Court assailing the earlier selection process for the new major player in the telco industry, questioned the eligibility of Mislatel as it accused DICT of disregarding the rules and extending “partiality and unwarranted benefits” to the consortium amid debate in Congress on the validity of its franchise.
Tonson particularly cited the failure of Mislatel to submit all required documents for its Certificate of Public Convenience and Necessity to be able to start operations.
He stressed that under the Terms of Reference set by the National Telecommunications Commission, the NMP would have only 90 days from issuance of Confirmation Order to submit all necessary papers for issuance of CPCN.
Tonson recalled that the Confirmation Order naming Mislatel as NMP was issued by the selection committee on Nov. 19, 2018, which means the consortium of Udenna Corp. of businessman Dennis Uy and China Telecom had until last Feb. 17 to comply with all the requirements under the TOR.
“May we know the status of the submissions of the necessary documents by the confirmed new major player?” he asked in the two-page letter to DICT Secretary Eliseo Rio Jr. last Feb. 25.
Through legal counsel Arnel Victor Valeña, Tonson alleged that Mislatel was unable to meet all requirements because it did not submit a formal declaration from the House of Representatives of concurrence to the recent Senate resolution approving its franchise.
“Considering that the 90-day [period] for the NMP to submit the documents has lapsed, and they failed to submit this formal declaration that you required, then what is the implication? Clearly, the NMP failed to comply with the requirements of the TOR,” read the letter.
Tonson asked DICT to formally report such failure on the part of Mislatel, warning that “failure to do so would open the NTC, DICT and the whole NMP process to criticism of giving a private party unwarranted benefits, advantage or preference in the discharge of their official administrative or judicial functions through manifest partiality, evident bad faith or gross inexcusable negligence.”
He alleged that DICT has previously covered up the violations of the TOR by Mislatel, particularly when the consortium “misrepresented its qualifications by claiming possession of a valid and subsisting legislative franchise,” which was found to be “ipso facto revoked or at least defective” due to “patent violations.”
“Even as such violations were openly admitted during the Senate hearings, you never sanctioned the NMP. Instead of acknowledging failure to scrutinize the NMP’s franchise, you shifted the burden to the courts and the legislative to declare a revocation,” Tonson told DICT.
“Through your disregard of the TOR provisions, you have extended partiality and unwarranted benefits to the consortium. In doing so, you deprive the public of the most qualified third telecommunications player, and you fall short of the professional and ethical standards expected of a public servant,” he further alleged.
Earlier reports showed that Mislatel has not yet paid the P25.7 billion performance bond to the government, which was supposed to be paid on or before February 17, the end of the 90-day post qualification period, based on the TOR in the selection for the 3rd telco player.
The TOR stated that the performance bond shall be paid prior to the issuance of the certificate of public convenience and necessity. The performance bond represents 10-percent of the capital and operational expenditure of the winning bidder. Mislatel committed to spend P257 billion in 5 years for the endeavor.”‹