MANILA — ABS-CBN Corporation confirmed that one of its directors had proposed shutting down the company without addressing employee obligations, even as it pushed back against what it called “public relations attacks” over its pension fund and post-franchise operations.

In a statement, the company said the proposal was raised without considering obligations to employees, although records showed that a majority of directors “strongly argued” for continued financial support for workers, retirees, and other stakeholders.

ABS-CBN did not identify the director who made the shutdown proposal. Its board includes Carlo Katigbak, Federico “Piki” Lopez, Rafael Lopez, and independent directors Honorio Poblador IV, Emmanuel De Dios, and Randolf David.

The company also rejected allegations concerning its retirement fund, calling reports that 68 individuals received preferential treatment “lies.”

“Contrary to what the article claims, the largest decline in ABS-CBN’s pension fund was due to payouts to close to 6,000 employees who were retrenched as a result of the franchise loss. This is proof of ABS-CBN’s commitment to fully meet all its obligations to its employees,” the statement read.

It added that the drop in the pension fund was driven by separation payouts following the loss of its congressional franchise in 2020, which led to large-scale retrenchment.

“From ABS-CBN’s perspective, we acknowledge that, following the loss of our franchise in 2020, we have experienced challenging financial years but have shown steady, consistent improvement. Our Board of Directors and the rest of the Lopez family have commended the company’s progress and emphasized its existence as important to the country,” it said.

The company said many retirees had voluntarily deferred receiving full retirement benefits, agreeing to wait until its financial position improves.

“They did not get preferential treatment. In fact, they deferred receipt of payment so that the thousands of employees who were separated from the company received their separation in full,” it added.

ABS-CBN also dismissed claims of a P2-billion capital infusion for retirement payouts, saying these had already been refuted by the board, and described the allegations as part of broader “PR attacks” on its leadership and performance.

“These public PR attacks on ABS-CBN’s pension fund, its business performance, and its leadership prove that the individual/s behind these releases do not have the best interests of the company at heart,” it said.

“The series of press releases claims that many of the decisions around ABS-CBN are not in line with proper stewardship or good investment. We leave it to the public to decide whether those actions remain true to the family’s espoused values,” it added.

The statement comes years after the company was ordered by the National Telecommunications Commission to cease operations following the expiration of its franchise on May 4, 2020.

The franchise renewal bills had been pending since 2014, but the House of Representatives only began deliberations in March 2020. In July that year, the House Committee on Legislative Franchises voted to deny the franchise application, which led to the shutdown of ABS-CBN’s broadcast operations.