Metro Manila (CNN Philippines, December 12) — A lawmaker filed a measure on Tuesday seeking to revoke the franchise of Swara Sug Media Corporation, also known as Sonshine Media Network Inc. (SMNI), citing supposed violations including alleged fake news peddling and failure to comply with requirements of its 25-year franchise grant.
In the explanatory note of House Bill No. 9710, 1-Rider party-list Rep. Ramon Rodrigo Gutierrez said his Committee on Legislative Franchises has identified \”numerous transgressions and abuses on the part of the franchise grantee (SMNI).\”
Among the alleged violations found was SMNI’s failure to have the changes in its corporate structure approved by Congress as established during the Dec. 5 hearing.
\”The terms in its franchise grant are clear – the grantee shall seek prior approval of Congress for any transfer, usufruct, or assignment of its franchise or the rights and privileges acquired thereunder to any person,\” Gutierrez said.
\”Even clearer stated in the grant that failure to report to Congress such as change of ownership shall render the franchise ipso facto revoked,\” he stressed.
SMNI also did not disperse at least 30% of its ownership to the public, as required of its franchise, according to Gutierrez.
The lawmaker further said SMNI \”failed to deliver truthful and balanced reporting to its audience,\” citing various cases of red-tagging and fake news peddling filed against the network as well as the recent airing of false information about House Speaker Martin Romualdez’s alleged ₱1.8–billion travel fund.
\”Knowing further that misinformation and misrepresentation can have serious implications, most especially in shaping public opinion, and thus create potential social and political divide, the operation of Swara Sug or SMNI is considered a threat to national security and stability,\” Gutierrez said.
SMNI was granted a legislative franchise under Republic Act 11422 in August 2019. This gave the TV network 25 years to operate.
SMNI host Jeffrey Celiz claimed in his TV show that Romualdez spent ₱1.8 billion for his foreign trips. Celiz later admitted that his allegation was false after House Secretary General Reginald Velasco clarified that the Speaker only had a ₱4.3-million travel budget from January to October 2023.
During the House hearing on Tuesday for the alleged fake news peddling by SMNI, members of the Committee on Legislative Franchises cited Celiz for contempt for refusing to reveal who was the source of his claim, along with his co-anchor Lorraine Badoy, who admitted to being a co-producer of the show.
