Ducky Paredes

“(T)he rating of the Wowowee program started to decline from 22-23% under his watch to a single digit with different trial hosts.”

by Ducky Paredes

His pleading in Civil Case No. 10-67770 begins thus: “Plaintiff has, for valid reasons, rescinded his contract with ABS-CBN Broadcasting Corp. However, ABS-CBN publicly disputed the rescission and claimed it was the aggrieved party. So the public may know the truth as to who really is the aggrieved party, who truly is at fault, who has been insincere, who acted with evident bad faith, and who broke promises, plaintiff desires to have his rescission judicially confirmed.”

In his complaint against defendant ABS-CBN, Willie Revillame claims that the network suspended him without pay, unilaterally cancelled his TV program Wowowee and downgraded his TV appearances from three hours daily or 18 hours weekly to just one hour weekly, or 17 hours less.

ABS-CBN also placed him on probation without assurance of reinstatement, and also downgraded his appearance from a “live” to a “pre-recorded” program, which constitutes censorship and prior restraint. His contract provides for a live telecast.

Revillame is also deprived of his earning from “in-show” product endorsements, which has become part of his compensation package.

What Willie wants to know is why the giant entertainment network is going out of its way to destroy him. Is it because of politics? He openly backed Manny Villar, a personal friend, while ABS-CBN campaigned for Noynoy Aquino.

Why else the “deliberate sabotage” of his image by the company by airing “destructive pieces” against him instead of promoting him as its talent?

He said there is also an “abuse of right by ABS-CBN under a one-sided contract of adhesion, purposely intended to destroy his career and to humiliate him, which is not in keeping with good faith, usage and law.”

Why did the giant network refuse to bring him back, even when the rating of the Wowowee program started to decline from 22-23% under his watch to a single digit with different trial hosts?

For Willie to continue working under terms that include probation, censorship and prior restraint, he feels that this would already constitute involuntary servitude.

Revilame’s contract with ABS-CBN ties him to the network until its expiration on September 11, 2011, despite the fact that ABS-CBN already rescinded the same when it unilaterally cancelled Wowowee. ABS-CBN even went so far as to threaten with lawsuits any network who would employ Revillame.

Thus, his one hope is that the courts will give him judicial relief by ruling that Willie has the right to break an unfair and illegal contract. After all, if the contract means that the network does not have to give you work but can prevent others from hiring you. Isn’t that a clear violation of one’s rights? Doesn’t such a contract – that can prevent one from working and earning — reduce one to the status of a slave that has to serve a master even if he gives you nothing. A man is reduced to not working and no pay just to please ABS-CBN until September 10, 2011?

Since ABS-CBN had unilaterally cancelled Wowowee , Revillame said  “maghahanap-buhay naman ako para makapagbigay ligaya ako sa mga tao at sa aking mga fans.”  He said that he is willing to forgo his claim for damages if he and ABS-CBN can go their separate ways amicably.

Revillame says that he devoted all his time to making Wowowee succeed but that management seemed to have disregarded this when they cancelled the program.

“For five years and-a-half buhay ko ang ibinigay ko dyan. Nine o’clock in the morning hanggang gabi, ideas ko ibinigay ko sa kanila. Bakit ganyan ang trato nila sa akin?”

The contract with ABS-CBN had a term of three years, commencing on September 11, 2008, and ending on September 10, 201l.  In the nearly two years that Willie hosted the show, it moved to the top ranking of television shows, generating 22 to 23 percent of viewership.  After he stopped hosting the show, viewership dropped to just nine percent, indicating that the public sorely missed Willie on their noonday TV.

Willie’s problems began when on complaining to the management about the incessant personal attacks made against him by broadcaster Jobert Sucaldito, also of ABS-CBN, his complaints were ignored.  What was that all about? Why did Sucaldito launch a unilateral attack on Willie? Why did ABS-CBN allow it? Could politics have been the cause of all this?

* * *

On that hostage negotiation that turned bloody, the one lesson to be learned is that there should be only one man in charge who can restrict people’s movements and media coverage, have control over the police and the single negotiator. He should be in total control. The one goal should be to save all the hostages. Anything else – freedom of the press, arresting people, the rights of usiseros and families, etc. – should not interfere with that main purpose.

As it was, the live coverage of the arrest of the brother (who should have been prevented from going anywhere near the hostage-taker) set off the carnage. We should thank the negotiator for successfully saving the lives of those who were freed prior to the killing.

As to our police, they should go back to school to learn crowd control and how to arrest suspects without allowing them to make a scene. That arrest which started the carnage was very poor police work.

* * *

I received an e-mail with the picture of an old friend who has been away for some time now– Nitoy Escano, broadcaster, golfer and wise man.

It read simply: “Nestor Rafael Basa Escano, October 24, 1933 – August 16, 2010.”

It continues: “’What good is it for a man to gain the whole world yet forfeit his soul?’ Mark 8:36”

“Loving husband and father. He was a friend who sticks closer than a brother. He lived his life with great passion in accomplishing his goals.”

Good-bye, old friend. Prayers from devout readers are appreciated.

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hvp (08.25.10)

Readers who missed a column can access www.duckyparedes.com/blogs. This is updated daily. Your reactions are welcome at duckyparedes@yahoo.com

“At some point in increasing the tax rate, no more taxes can be collected and violation makes more economic sense.”

by Ducky Paredes

 

Department of Health (DOH) Secretary Enrique Ona is pushing for an excise tax on cigarettes of P4.50 per stick or P90 per pack of 20s. One can’t blame the secretary; he worries about our health and he wants anything that contributes negatively to our national health out. He is talking taxes as a doctor, not as a taxman and not as an economist, which he is not.

Will Secretary Ona’s P90 peso tax work? Will it cut down smoking or will it at least raise more money for government to spend on making the country healthier. My guess is that the Ona tax will do neither. In fact, not only will it have no effect on cutting down the number of Pinoy smokers by making the habit more expensive; Dr. Ona’s tax may even increase the number of smokers. As for earning more money that government can spend on making the country healthier, absolutely not!

What may even happen is that the tax collected on cigarettes may drop to zero – no collections at all! Here is why: When the tax on anything becomes onerous, one increases the rewards of tax avoidance. A tax that is affordable and reasonable gives the smuggler no incentive since it is affordable and getting caught in violation is just not worth the trouble. In fact, it is plain stupid to smuggle when the tax rate is fair and reasonable. But a tax of P90 per pack is another matter.

The very high tax makes smuggling or tax avoidance worthwhile. At some point in increasing the tax rate, no more taxes can be collected and violation makes more economic sense.

While those who fear that a P90 per pack tax may kill the local legitimate tobacco industry could be right, it won’t kill the cigarette smuggling industry that gives nothing back to the country. As of now cigarette makers pay excise taxes ranging from P2.47 per pack for low-priced cigarettes to P27.16 per pack for premium cigarettes. 

According to a World Bank study, for every 10% increase in the price of cigarettes in developing countries (such as the Philippines), there is an 8% reduction in consumption. A side effect of this is that the price increase will force smokers to shift to lower-priced cigarettes on which a lower excise tax is levied. Not only does the government earn less, the effect on the national health of lower-quality lower-priced cigarettes may be a worse result.

If a smoker shifts from a high-priced brand on which he pays an excise tax of P27.16 to a low-priced brand on which P2.47 per pack excise tax is paid, the government loses P24.56 per pack. Will a smoker increase his consumption of cigarettes to accommodate the government? Are you crazy?

The experience in other countries is that drastically increased tax rates have found that these create major disruptions in the market and legitimate businesses and even governments suffer.  This is because there are unintended consequences such as a dramatic increase in the incidence of counterfeiting and smuggling, which means revenue losses for the government.

In Canada, the government had to lower excise taxes on cigarettes after increasing them, when it encountered the problem of increased cases of smuggling. Thus, despite significantly increased excise taxes results in loss of revenue.

            The present law (Republic Act 9334) provides for reasonable and predictable increases in excise taxes every two years, with the last increase happening last Jan. 2009. An excise tax increase is scheduled for 2011.

Only two products are regularly subject to tax increases every two years since 2005 — alcohol and tobacco products. Excise taxes on both products are a stable source of revenue for the government.

In fact, collections from alcohol and cigarettes have been steadily increasing. Tax collection from cigarettes January to June in 2009 and in 2010 shows an increase of 39.7 percent! The current system of smaller incremental increases works!

* * *

According to the Jubilee South Asia Pacific Movement on Debt and Development (JSAPMDD) and the Action for Economic Reforms (AER), increasing taxes on tobacco products “upholds tax justice.” The increase will “correct a public bad caused by cigarette smoking and generates revenue that will finance poverty reduction, including essential health services for the people.”

The Framework Convention on Tobacco Control Alliance Philippines also backs Health Secretary Enrique Ona’s tax idea.

 Lidy Nacpil, JSAPMDD Coordinator, says the Ona tax idea “is an effective instrument to raise revenues for the government that is saddled with a budget deficit problem and will have difficulty pursuing its social goals of providing for the social protection programs on health and livelihood.”

According to Filomeno Sta. Ana, AER coordinator, revenues collected from increased tobacco taxes — including those imposed “on goods and services that are of no social value such as cigarettes” — will be enough “to replace revenues from the Value Added Tax imposed on essential goods and inputs for staple goods.” Not only that but higher tobacco taxes will also provide “a big revenue boost, which will avert a fiscal crisis and thus provide macro-economic stability. It will also be critical to the success of the new administration’s poverty reduction program, including President Aquino’s commitment to put in place universal health coverage.”

Recently, JSAPMDD and AER organized the Asian Seminar on Tax Justice in the Philippines to pursue national, regional and global campaigns on tax justice issues, including particularly tobacco taxes to improve public health.

Participants from the Philippines, Bangladesh, India, Indonesia, Pakistan, Sri Lanka, Thailand and Vietnam also discussed the justice issues involved in progressive taxation, tax evasion and regressive taxation.

Nacpil says: “Raising tobacco taxes should not be unthinkable for the President because other countries are already doing so. Tax justice involves the review of our existing taxation policies that should encourage industries and practices that are beneficial to the people and discourage industries that produce goods and services that cause harm to people’s health and the environment.”

Fine words but Canada, for one, has already discovered that you can only increase taxes by so much; there comes a point when the money stops coming in and the habit – condemnable as it is – continues to grow!

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hvp (08.24.10)

Readers who missed a column can access www.duckyparedes.com/blogs. This is updated daily. Your reactions are welcome at duckyparedes@yahoo.com

 “If the assets were sold but the money did not go to paying off the NPC’s debts, where could they have gone?”

by Ducky Paredes

Eastern Samar Rep. Ben Evardone is doing a good job in trying to get to the bottom of why our power rates are so high. As he explains, the Epira Law gave the go-signal to the National Power Corporation to sell its assets so that Napocor would pay off its loans that were causing the high power rates.

Ben says that the Power Sector Assets and Liabilities Management Corp. (PSALM), which the Electric Power Industry Reform Act (Epira) of 2001 created to sell Napocor, has already sold 91.8 percent of the power firm’s assets.

 “A total of $10.6 billion was generated from the proceeds of privatization. This amount includes $3.394 billion from the sale of 25 generating plants and $3.950 billion for the concession for its transmission facilities,” he said.

PSALM also took out $2.8 billion in new loans.

Ben Evardone wants to know: “PSALM has generated $10.6 billion from privatization and $2.8 billion in new loans for a total of $13.4 billion, but it has paid only $1.3 billion of Napocor’s indebtedness. Where did the $12.1 billion go?”

Apparently, the NPC is not talking.

Says the congressman: “They have refused to tell the ERC where the privatization and loan proceeds went, supposedly because this information is confidential. I think that disclosing this information could lead to a lot of irregularities being exposed.”

 This is something that needs to be looked into. If the assets were sold but the money did not go to paying off the NPC’s debts, where could they have gone? Weren’t there any provisions in the Epira law that made sure that the money raised would go towards extinguishing the NPC’s debts? Why are the debts still unpaid even as most of the assets have already been sold?

In 2001, when Epira was enacted, Napocor’s debts stood at $9.3 billion.

Explains Evardone” “Under Epira, taxpayers, through the national government, immediately absorbed P200 billion or about $4 billion of those debts, leaving a balance of $5.3 billion.”

Evardone explains that if PSALM paid the balance of Napocor’s indebtedness using the $10.6 billion generated from the sale of its assets, the government would still be left with a surplus of $5.3 billion.

Ben continues: “But there is no surplus. They even contracted new loans. To make things worse, they want consumers to pay more than P500 billion over 17 years for so-called stranded debts of Napocor and independent power producers.

“I think our people will not accept new rounds of increases in electricity rates unless they are informed of and satisfied with where billions of dollars in privatization proceeds and new loans went.”

What we know is that the NPC retired all of its officials and rehired all of them the very next day. Did all that money from the sale of its assets go to the NPC officers? So, why is no one but Evardone looking into this?

* * *

What is Rear Admiral Feliciano Angue complaining about? Gloria Arroyo appointed him to the post of Commander of the National Capital Region Command, a posting that requires the rank of a three-star general, while Angue’s rank was the equivalent only of a one-star general. While in that post, he was promoted to the equivalent rank of a two-star general. Now that he is given a post that is right for his present rank, he complains?

Those who say that Angue should not be ignored and that his complaints should be looked into must want our military to get even more spoiled than it already is. Angue belonged to the class that adopted the former President, which could be the main reason why he was favored and spoiled rotten by her.

The AFP should investigate him for his behavior. In fact, why even give him any assignment at all?

* * *

It seems that every once in a while, the topic of when school should start comes up again. Didn’t we talk about that ten years ago and five years ago and, maybe, even just two years ago? Why can’t we decide on this once and for all and put closure on this topic? Can we have a final discussion on it and never bring it up again. There must be more important matters to discuss other than when to start the school year!

Heck, does it even matter? Other countries start their school year in January or May or September. In our case, the truth is that no matter when the school year begins, because it takes up ten months of the year’s twelve, we will have typhoons during the school year. There is no avoiding the typhoon season, which has no real reliable schedule. In fact, the important part of education is not when the school year begins and ends but what is taught and how this is taught.

* * *

* * *

We have a letter from a long time reader and old, old friend: “I am still alive.  I was in Manila for three months.  I stayed at Rockwell Hoya condo in Makati.   I didn’t vote as I transferred to Mindoro.

 “ Anyway, I am fine.  Back in Mindoro for a month now.  I read no papers.  Only in the Internet.  Sometimes, I can’t get you at the Malaya.  When I was at Rockwell, I had the laptop of my niece but sometimes I hardly knew the mechanics.  I met some people at Rockwell at the elevators like Neri, Carangdang,  Ces Drilon, Karen Davila at the Mall and some movie stars.  I was able to talk to Neri.

   “So far so good Noynoy’s’ work except Kris who is always on TV.”  — Nay Trining (Mrs. Trinidad Gomez)

* * *

Excerpts from the privilege speech of Senator Jinggoy Estrada: “I have no doubt that President Aquino had nothing but the noblest motive in mind when he first thought of naming Mr. Davide to that position. Obviously, the President was acting in the honest belief that he was choosing an eminently qualified man for that all-important post.”

 “To you who will be listening to my speech with prejudice I say this: if you cannot listen with open hearts, at least listen with open minds. For sometimes it is the most esteemed men who act as if they were above the law, as Davide has.”

“Davide participated in the conspiracy of EDSA Dos when he accepted then vice president Gloria Arroyo’s letter to administer her oath of office as president of the Philippines even if he knew that the letter was based on the misrepresentation, the lie that President Estrada was permanently incapacitated – even if he was not.”

 “The irony of Davide as head of the Truth Commission is not only obvious, it is glaring. With Davide as head of the Truth Commission against Arroyo, we might as well ask Benjamin Abalos to investigate the NBN-ZTE deal or have Jocjoc Bolante investigate the fertilizer fund scam or even ask Virgilio Garcillano to investigate the ‘Hello, Garci’ scandal.”

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hvp 08.18.10

 

Readers who missed a column can access www.duckyparedes.com/blogs. This is updated daily. Your reactions are welcome at duckyparedes@yahoo.com

 “We don’t have to re-invent the wheel or the Kindle or the Megumi. The solution to our lack of books and improved teaching aids is already with us.”

 

 

by Ducky Paredes

 

On July 24, 2008, my column in Malaya was on the Megumi Reader. For those who still need an introduction to this concept, here is that column:

“The harsh realities of Philippine education is that we have a lot of students and an inadequate number of teachers, books, and classrooms. There are 17 million students and 2 million new Grade One pupils every year.

“The results are not promising. Literacy rates need improvement. Most of our graduates –  even those who finish college — use bad grammar and have poor pronunciation of English words.

“Why is this? Government funding is a perennial problem and 70% of 420,000 teachers feel that they are not proficient enough in the English language.

“One solution to this may be the Megumi Reader, a  joint International Service Project of three Rotary Clubs — R.C. Los Altos Sunset of District 5170 in California,  R.C. Makati Bonifacio of District 3830 and R.C. Pasig of District 3800.

“The Megumi Reader is an electronic reader using the latest in  information technology. The Megumi is portable, durable, programmable, dynamic for various Grade levels and relatively inexpensive.

“The technical specifications are: Off-the-shelf device, originally intended as a Multimedia Player; CPU: Intel PXA255; Display: 3.8″ touch screen LCD; Flash: 32MB; RAM: 32MB; I/O: 2 mini-USB, 2 Audio ports; Expansion: Compact Flash Slot; Power: AC/DC 9V with rechargeable battery pack (life is 2 hrs. when fully charged).

“The Megumi Reader is a special electronic book that is intended to be a sophisticated teaching tool. It is designed to contain all of the text books needed for elementary education of a child from kindergarten to Grade 6, and possibly even up to high school.

“The prototype was developed by a Philippine team over a short period of just a few months. A special concern of the prototype team was to make sure that the reader could not be converted by some nascent evil genius to use as a play station. It is, however, still an very interesting device.

“Oral parts of the lessons may be heard through earphones or amplified speakers.

“The Megumi would contain all texts required from Grades I to VI. With all these in the Megumi, the student can find anything by using the easy references of the page and word index. Lessons would be presented in form, structure and sequence as prescribed by the DepEd with exercises and tests included.

“The Megumi would be bi-lingual (English, Pilipino and even other dialects). It would have graphically illustrated stories and would also have an AM/FM radio.

“Press the caption Book Reading, and an illustrated short story will appear. Through the earphone, the child will hear the story read slowly, with every word enhanced or underlined as it is read.  The plan is to have many short stories using words that the child is trying to learn. Children’s songs and humorous anecdotes will appear in this section and will be heard through the earphone.

“Story Telling is started by pressing on its caption, and the story of Ibong Adarna appears.

“Press the title, and the story begins, narrated through the headphones in Filipino.

“Press the English button, and the narration in English will be heard. The story may be heard by the child in either language as many times as he or she may want.                                             

“Megumi Reader stories will show respect for social values in everyday settings as well as teach vocabulary and good conduct.

“Click on Word Pronunciation and Megumi Reader shows all the letters in the alphabet. By tapping on a letter, samples of pictures with the correct pronunciation of the object is illustrated.

“It will also have Arithmetic lessons. The child is presented with an illustrated problem: 4 pineapples plus 1 pineapple equal how many pineapples?

“If the child chooses the wrong answer, the reader will show what the answer should have been.

“What is expected is that the child will recognize letters and numbers, read and correctly pronounce words, understand simple sentences in English and Pilipino and be able to do simple addition and subtraction

“Other significant benefits include the possibility of parents and elder siblings supervising learning with the Megumi at home, thereby supporting and enhancing classroom learning.

“The Megumi Reader will also relieve teachers of tiresome chores like preparing test questions, correcting papers, and talking continuously.”

Why is this relevant today? News is that the secretaries of Department of Science and Technology (DOST) and the Department of Education (DepEd) have got together to design a Kindle-like device for the use of our schoolchildren.

Sen. Richard Gordon, during the presidential campaign talked about giving every school child a Kindle in his campaign for the presidency. The Megumi reader was developed right here in this country by a Filipino company headed by a De La Salle alumnus. If, finally, the DepEd is serious about doins a portable e-reader for everyone, by now, all that the Megumi needs is the money to go into full production.

We don’t have to re-invent the wheel or the Kindle or the Megumi. The solution to our lack of books and improved teaching aids is already with us. All that needs to happen is for all the parties to get together and work together for the good of our children and our schools. The tool that the DOST and the DepEd secretaries agreed to build is already a reality. All that needs doing is for everyone to get together on this project.

* * *

 “Education is the key to national progress and personal development, and literacy is the needed first step to education. Yet millions of children in many places are allowed to grow to adulthood without that equipment they need to live a full life. The Megumi Reader is being developed to help them get their rightful share of life.” — M.A.T. Caparas, President, Rotary International 1986-1987 and prime-mover of the Rotary Megumi Reader Project.

 

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hvp 08.16710

 

Readers who missed a column can access www.duckyparedes.com/blogs. This is updated daily. Your reactions are welcome at duckyparedes@yahoo.com