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    Philcomsat Holdings Corporation v. Senate

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    Man2x Salomon
    1) The Philippine Communications Satellite Corporation (PHILCOMSAT) incurred losses from 1998-2005 and its subsidiary Telecommunications Center, Inc. (TCI) received PHILCOMSAT funds without providing proper accountability reports. 2) Senator Miriam Defensor Santiago introduced a resolution to investigate the losses at PHILCOMSAT and its parent company. The Senate committees found mismanagement by the Presidential Commission on Good Government and recommended privatizing PHILCOMSAT and replacing its government nominees on the board of directors. 3) The Supreme Court upheld the Senate committees' power to conduct the inquiry and their submission of the resolution, stating that Congress has wide latitude for legislative inquiries under the Constitution.

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    Philcomsat Holdings Corporation v. Senate

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    Man2x Salomon
    465 views1 page
    1) The Philippine Communications Satellite Corporation (PHILCOMSAT) incurred losses from 1998-2005 and its subsidiary Telecommunications Center, Inc. (TCI) received PHILCOMSAT funds without providing proper accountability reports. 2) Senator Miriam Defensor Santiago introduced a resolution to investigate the losses at PHILCOMSAT and its parent company. The Senate committees found mismanagement by the Presidential Commission on Good Government and recommended privatizing PHILCOMSAT and replacing its government nominees on the board of directors. 3) The Supreme Court upheld the Senate committees' power to conduct the inquiry and their submission of the resolution, stating that Congress has wide latitude for legislative inquiries under the Constitution.

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    1) The Philippine Communications Satellite Corporation (PHILCOMSAT) incurred losses from 1998-2005 and its subsidiary Telecommunications Center, Inc. (TCI) received PHILCOMSAT funds without providing proper accountability reports. 2) Senator Miriam Defensor Santiago introduced a resolution to investigate the losses at PHILCOMSAT and its parent company. The Senate committees found mismanagement by the Presidential Commission on Good Government and recommended privatizing PHILCOMSAT and replacing its government nominees on the board of directors. 3) The Supreme Court upheld the Senate committees' power to conduct the inquiry and their submission of the resolution, stating that Congress has wide latitude for legislative inquiries under the Constitution.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
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    465 views1 page

    Philcomsat Holdings Corporation v. Senate

    Uploaded by

    Man2x Salomon
    1) The Philippine Communications Satellite Corporation (PHILCOMSAT) incurred losses from 1998-2005 and its subsidiary Telecommunications Center, Inc. (TCI) received PHILCOMSAT funds without providing proper accountability reports. 2) Senator Miriam Defensor Santiago introduced a resolution to investigate the losses at PHILCOMSAT and its parent company. The Senate committees found mismanagement by the Presidential Commission on Good Government and recommended privatizing PHILCOMSAT and replacing its government nominees on the board of directors. 3) The Supreme Court upheld the Senate committees' power to conduct the inquiry and their submission of the resolution, stating that Congress has wide latitude for legislative inquiries under the Constitution.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
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    of 1

    PHILCOMSAT HOLDINGS CORPORATION V.

    SENATE OF THE REPUBLIC OF THE


    PHILIPPINES
    [GR. No. 180308; June 19, 2012]
    Facts:
    •The Philippine Communications Satellite Corporation (PHILCOMSAT) is a wholly-owned subsidiary of the
    Philippine Overseas Telecommunications Corporation (POTC), a government- sequestered organization in
    which the Republic of the Philippines holds a 35% interest in shares of stocks.
    • For the period from 1986 to 1996, the government, through the Presidential Commission on Good
    Government (PCGG), regularly received cash dividends from POTC.

    o In 1998, however, POTC suffered its first loss.


    o Similarly, in 2004, PHC sustained a P7-million loss attributable to its huge operating expenses. By 2005,
    PHC’s operating expenses had ballooned tremendously.
    o Likewise, several PHC board members established Telecommunications Center, Inc. (TCI), a wholly-owned
    PHC subsidiary to which PHC funds had been allegedly advanced without the appropriate accountability
    reports given to PHC and PHILCOMSAT.
    • In view of the losses that the government continued to incur and in order to protect its interests in POTC,
    PHILCOMSAT and PHC, Senator Miriam Defensor Santiago, during the Second Regular Session of the
    Congress, introduced Proposed Senate Resolution (PSR) No. 455 directing the conduct of an inquiry, in aid of
    legislation, on the anomalous losses incurred by POTC, PHILCOMSAT and PHC and the mismanagement
    committed by their respective board of directors.
    • Respondents, Senate Committees, submitted the assailed Committee Report No. 312, where it noted the need
    to examine the role of the PCGG in the management of POTC, PHILCOMSAT and PHC.
    • After due proceedings, the respondents Senate Committees found overwhelming mismanagement by the
    PCGG and its nominees over POTC, PHILCOMSAT and PHC, and that PCGG was negligent in performing
    its mandate to preserve the government's interests in the said corporations.
    • Committee Report No. 312 recommended the privatization and transfer of the jurisdiction over the shares of
    the government in POTC and PHILCOMSAT to the Privatization Management Office (PMO) under the
    Department of Finance (DOF) and the replacement of government nominees as directors of POTC and
    PHILCOMSAT.
    Issue/s:
    WON Committee Resolution No. 312 should be nullified, having proposed no piece of legislation and having
    been hastily approved by the respondent Senate?
    Held: Article VI, Section 21 of the Constitution provides the Senate or the House of Representative’s power to
    conduct inquiries in aid of legislation. The respondents Senate Committees’ power of inquiry relative to PSR
    No. 455 has been passed upon and upheld in the consolidated cases of In the Matter of the Petition for Habeas
    Corpus of Camilo L. Sabio, which cited Article VI, Section 21 of the Constitution. The Court explained that
    such conferral of the legislative power of inquiry upon any committee of Congress, in this case the respondents
    Senate Committees, must carry with it all powers necessary and proper for its effective discharge. The Senate
    Committees cannot be said to have acted with grave abuse of discretion amounting to lack or in excess of
    jurisdiction when it submitted Committee Resolution No.
    312, given its constitutional mandate to conduct legislative inquiries. Nor can the respondent Senate be
    faulted for doing so on the very same day that the assailed resolution was submitted. The wide latitude given
    to Congress with respect to these legislative inquiries has long been settled.

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