SC rules in favor of STL expansion - Balutan

MANILA – The Philippine Charity Sweepstakes Office (PCSO) on Sunday welcomed the latest decision made by the Supreme Court en banc after it dismissed a petition by a local gaming corporation in Batangas questioning the constitutionality of a provision in the guidelines covering Small Town Lottery ( STL) operations in the country.

“The Supreme Court has ruled in favor of the expansion of STL operations in the country,” PCSO general manager Alexander Balutan said.

“We will continue to expand and defend the only legal numbers game in the country to help in the generation of funds for the medical needs of our countrymen, “he added.

In a resolution dated March 21, the high court moved to dismiss the petition of local gaming operator Taal Balisong Gaming Corporation (TBGC) against PCSO under G.R. No. 23003 for the violation of the hierarchy of courts and insufficiency in form as it assailed Section 44 of the 2016 Revised Implementing Rules and Regulations (IRR) for STL Operations by the PCSO.

The S C upheld t he questioned provision by the TBGC, which provides for the “right to match” and was not disturbed.

Section 44 provides that all existing STL Authorized Agent Company as of October 1, 2016 shall have the “right to match” the Presumptive Monthly Retail Receipts (PMRR) offered by other interested applicants in their area of operation in the event that PCSO opens the said area/s to other applicant/s.

In their petition, the TBGC claimed that the PCSO Board “grossly violated” its right to equal protection of the law and “unduly stifled” competition in the STL business when it allowed Batangas Enhanced Technology Systems, Inc. (BETSI), an authorized agent corporation in the province, to match its PMMR.

Apart f rom nullifying Section 44 of the IRR, the company also asked the court to set aside any contract that may have been entered into and between the PCSO and BETSI in connection with the renewal of authority to operate STL in Batangas.

The PCSO expects to collect around P27 billion in revenues this year with the expansion of the operation of the STL, with 91 approved STL AAC in the country 47 of which are already operational as of May 15./