Executive Order No. 45

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Stop monopoly

Stop monopoly

By GENALYN D. KABILING

June 15, 2011, 6:41pm

MANILA, Philippines — President Benigno S. Aquino III has launched a campaign against cartel, monopoly, and other anti-competitive practices and designated the Department of Justice (DoJ) to lead the government’s legal battle against those who restrain free trade.

President Aquino issued Executive Order No. 45 designating the DoJ as the “Competition Authority” amid the administration’s efforts to promote healthy competition and level the playing field in the market.

Also created was the Office for Competition, a unit under supervision of Justice Secretary Leila de Lima, to lead the campaign to protect consumers from cartels, monopolies, and other illegal restraints of free trade. De Lima is also authorized to designate the chief and members of new office.

In EO 45, the President emphasized that the State recognizes the role of the private sector, encourages private enterprise, and provides incentives to needed investments. It also pursues a trade policy that serves the general welfare and shall regulate or prohibit monopolies when the public interest so requires, according to the President.

As the Competition Authority, the primary duty of the DoJ will be the investigation of all cases involving violations of competition laws and prosecute violators to prevent and punish monopolization, cartels and combinations in restraint of trade.

The President also authorized the DoJ to enforce competition policies and laws to protect consumers from corrupt business practices.

Other responsibilities of the DoJ include monitoring and implementation of measures to promote transparency and accountability in markets; preparation and dissemination of studies and reports on competition to inform and guide the industry and consumers; and promotion of international cooperation and strengthen the country’s trade relations with other countries.

To implement the provisions of EO 45, the President said the initial funds for the operations of the Office for Competition will be taken from the DoJ budget. Afterwards, its budget shall be incorporated in the annual budgetary appropriations of the DoJ.

The President noted that the recent developments from the World Trade Organization (WTO), the ASEAN Free Trade Area (AFTA), and the trade liberalization initiatives under the Asia Pacific Economic Cooperation (APEC) forum have advocated competition in domestic and international trade.

Based on Republic Act No. 4152 signed on June 20, 1964, the President also noted that the Secretary of the DoJ has a mandate to study all laws relating to trusts, monopolies, and combinations, to draft such legislation to enable government to deal more effectively with monopolistic practices, to investigate all cases involving violations of such laws, and to take preventive measures, including judicial proceedings to prevent monopolization and other activities that restrain free trade.

EO 45 also highlighted that the DoJ is the principal legal counsel and prosecution arm of the government as well as the central authority for matters requiring international legal cooperation. The DoJ also serves as the principal agency mandated to enforce the rule of law and investigate and prosecute offenders.

EO 45, signed last June 9, will take effect upon publication in a national newspaper.

Iloilo Rep. Niel Tupas Jr., the chairman of the House Committee on Justice, welcomed 90-day preventive suspension of Sulit.

Tupas said the preventive suspension against head of the Office of the Special Prosecutor (OSP) in the Office of the Ombudsman was necessary to prevent her from tampering with documents related to the Garcia case.

“We hope that the OP (Office of the President) decides on the main case of removing Prosecutor Sulit for gross negligence and betrayal of public trust soonest to give way to a new leadership at the OSP,” Tupas said in a text message.

Tupas was the head of the House committee that impeached Ombudsman Merceditas Gutierrez on charges of betrayal of public trust. She eventually resigned.

Tupas issued the statement after Ochoa signed a two-page formal charge, suspending Sulit for three months to ensure that there will be no tampering with evidence and interference in her investigation. (With a report from Rio Rose Ribaya)

http://www.mb.com.ph/articles/322819/stop-monopoly

Manifesto

House Bill No. 271 "AN ACT PROVIDING FOR ANTITRUST PENALTIES"

The Constitution under Section 19 of Article XIIprovides that: “The State shall regulate or prohibit monopolies when the publicinterest so requires. No combinations in restraint of trade or unfaircompetition shall be allowed.

The aforementionedconstitutional provision not only recognizes the danger that monopolies pose onthe public interest, but also contemplates that monopolies emerging, throughrestraint of trade or unfair competition, must be struck down in theirincipiency.

It is obviously inaccordance with the aforecited constitutional principles that the creation ofthe Asset Privatization Trust (APT) and the Committee on Privatization (COP)clearly provided that the privatization effort should “give primacy to theprivate sector in undertaking economic activities under a climate of faircompetition. Sale to investors which would result in undue concentration ofeconomic power in the hands of the few groups or individuals shall bediscouraged.”

The bill was filed duringthe 9^th Congress in reaction to observation of industries beingcartelized when few suppliers of a vital product conspire to fix prices to thedetriment of the public. In very sensitive public utilities, small operators,who collectively may be able to provide better and geographicallyfarther-reaching service, are unable to do so because of undue restraintsimposed by the giants of the sector. In protecting their turf, the giants andthe virtual monopolies place public interest below the objective of protectingmarket share and profitability.

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Senate Bill No. 1 "Competition Act of 2010"

Competition Act of 2010

REPUBLIC ACT No. 7925 "Public Telecommunications Policy Act of the Philippines."

REPUBLIC ACT No. 7925

AN ACT TO PROMOTE AND GOVERN THE DEVELOPMENT OF PHILIPPINE TELECOMMUNICATIONS AND THE DELIVERY OF PUBLIC TELECOMMUNICATIONS SERVICES

ARTICLE I
GENERAL PROVISIONS

Section 1. Short Title. - This Act shall be known as the "Public Telecommunications Policy Act of the Philippines."

Section 2. Scope and Application. - This Act shall apply to all public telecommunications entities in the Philippines.

Section 3. Definitions and Interpretations. - For purposes of this Act, the following terms shall be used:

(a) Telecommunications - any process which enables a telecommunications entity to relay and receive voice, data, electronic messages, written or printed matter, fixed or moving pictures, words, music or visible or audible signals or any control signals of any design and for any purpose by wire, radio or other electromagnetic, spectral, optical or technological means.

(b) Public telecommunications entity - any person, firm, partnership or corporation, government or private, engaged in the provision of telecommunications services to the public for compensation.

(c) Broadcasting - an undertaking the object of which is to transmit over-the-air commercial radio or television messages for reception of a broad audience in a geographic area.

(d) Franchise - a privilege conferred upon a telecommunications entity by congress, authorizing that entity to engage in a certain type of telecommunications service.

(e) Local exchange operator - an entity providing transmission and switching of telecommunications services, primarily but not limited to voice-to-voice service, in a geographic area anywhere in the Philippines.

(f) Inter-exchange carrier - an entity, sometimes referred to as carrier's carrier or national backbone network operator, authorized to install, own and operate facilities which connect local exchanges within the Philippines and to engage in the business of inter-exchange national long distance services.

(g) International carrier - an entity primarily engaged in the business of providing transmission and switching of any telecommunications service between the Philippines and any other point of the world to which it has an existing correspondent or prospective interconnection agreements.

(h) Value-added service provider (VAS) - an entity which, relying on the transmission, switching and local distribution facilities of the local exchange and inter-exchange operators,

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