Despite Mindanao name, Mislatel is holed up in Makati’s Mile-Long, with P1 equipment
Despite being named “Mindanao Islamic Telephone Company, Inc.,” the winner of the third telecom franchise is not based in Mindanao, nor does it appear to have any Muslim ownership, according to records with the Securities and Exchange Commission.
Mislatel’s declared office is a room, T-20, at the third floor of Makati’s Sunvar Plaza, sharing the same office floor in the same building within the controversial Mile-Long Arcade that was vacated last year by the Rufino-Prieto family of the Philippine Daily Inquirer after a long-running battle with the government.
According to available SEC and congressional records, Mislatel has not operated as a telecom company since it obtained its nationwide franchise from Congress in 1998.
By 2004, Mislatel already issued an affidavit of non-operation, declaring that it “has not been in operation for quite sometime since its incorporation on Sept. 25, 1997 up to the present.” The sworn statement was signed by Mislatel corporate secretary at that time, Howard Evangelista.
Despite its non-operation, Mislatel continued to file its annual reports to the SEC to keep its corporate registration alive. Its paid-up capital has remained constant, at P3.75 million.
After a decade since the 2004 admission of non-operation, the scale and scope of its corporate existence can be gleaned from its audited financial report for 2015, the most recently available. There Mislatel declared that its office furniture and equipment have a net book value of – this is not a misprint – exactly P1.
The company also reported zero sales for the same year and the year before.
Mislatel for 2015 declared the following as directors and officers:
– Marte Lascano of 59 Zinnia Ave., Ladislawa Village, Buhangin, Davao City.
– Romeo Sabillo of 255 Auburn St, Goodwill 3 Subdivision, Dr A. Santos Avenue, Paranaque.
Lascano and Sabillo were the biggest shareholders, at 25 percent each.
– Howard Evangelista of 18 San Geronimo St., Magallanes Village, Makati.
– Winsberg Austria of B4L4 North Ridge Park Ave corner Molave St., Sta. Monica, Quezon City. – Mariano Pamintuan of Apo View Hotel, Davao City. – president Nicanor L Escalante of 88 Starlite St., Rancho Estate 3, Marikina City.
– chairman Danilo Cortez of 21 Marian Road 1, San Martin de Porres, Paranaque City.
– treasurer Levitico Toquero of 178 Ranger Road, Veterans Village, Diliman, Quezon City.
– secretary Mabelle Grace Palay of Unit 514 Parc Condominium, 15th Avenue, Cubao, Quezon City.
Mislatel for the same year reported that it paid P20,632 for business permit, shelled out P500 for community tax certificate, and paid its directors and officers nothing.
As proof of its non-operations, Mislatel also left blank the spaces for the tax on compensation and benefits, creditable withholding tax, and final withholding tax for the same 2015 financial statement.
According to Republic Act 8627 of 1998, Mislatel was given a 25-year franchise from 1998, valid up to 2023, to operate “wire and/or wireless” telecommunications systems through the country.
Under the terms of the franchise, the privilege to operate is deemed automatically revoked if Mislatel failed to “commence operations within one year from the approval of its permit by the National Telecommunications Commission, operate continuously for two years, (or) commence operations within three years from the effectivity of this act.”
In addition, Mislatel was mandated to list and offer at least 30 percent of its outstanding capital stock to the public within five years from the commencement of its operations.
“Noncompliance, therewith, shall render the franchise ipso facto revoked,” RA 8627 said.
To pave the way for the takeover of Mislatel by Davao billionaire Dennis Uy and China Telecom and make use of its remaining franchise period, the House Committee on Legislative Franchises is scheduled today to consider an urgent resolution seeking to amend the franchise terms.
A resolution filed last week by Rep. Dakila Carlo Cua reminded his House colleagues that any lease, transfer, sell, assign or merge Mislatel or even transfer its controlling interest cannot be done “without the prior approval of Congress.”
As to the question of the continuing validity of Mislatel’s franchise, House legislative franchise chairman Franz Alvarez had already said that his committee “has not received any notice of a judgment from any judicial or quasi-judicial body revoking or cancelling” Mislatel’s franchise.
“In other words, Mislatel’s franchise remains valid and subsisting,” Alvarez said.
E-mail: moneygoround.manila@yahoo.com