GMA adopts hands-off policy on PLDT issue

In line with her policy not to meddle into purely private "boardroom brawls," President Arroyo has said the government will not be drawn into playing the role of referee in the ongoing dispute among the controlling stakeholders of the Philippine Long Distance and Telephone Co. (PLDT).

As long as no government shares or public funds are involved in corporate disputes, President Arroyo said her administration’s policy is to keep away from taking sides in such corporate feuds.

"To me, that is a private dispute and that we must be neutral," she told Palace reporters. "That’s my instruction: to be neutral because it’s a private dispute," she pointed out.

During an informal luncheon press conference last Wednesday at Malacañang, the President said she would not commit the same sins as her predecessor President Joseph Estrada who interfered in private corporate matters.

Although she did not cite specifics, President Arroyo was apparently referring to Estrada’s participation in the "insider trading" scam involving the Best World Resources Corp. of presidential crony businessman Dante Tan.

"My specific instruction is to be neutral. It’s a corporate dispute. It’s free enterprise," President Arroyo said.

"You see, in the previous administration, that was one of the problems. They meddled in all of these things. I believe that in a corporate dispute, we should not be involved in boardroom brawls. That’s free enterprise," the President pointed out.

President Arroyo, an economist, cited that the PLDT row should not, in any way, adversely affect the Philippine business climate since the corporate dispute is fought at the board rooms with no undue interference from the government to favor either sides.