The Freeman

STL-Iloilo ceases operation

- — Jennifer P. Rendon

ILOILO CITY — The Philippine Charity Sweepstake­s Office (PCSO) had terminated and canceled the Small Town Lottery (STL) agreement it had with Eagle Crest Gaming and Holding Corporatio­n for the operations of PCSO's STL in Iloilo province.

PCSO Resolution No. 0118, Series of 2018 declared that its authorized agent corporatio­n (AAC) for Iloilo, which is Eagle Crest, has failed to comply with the "post approval requiremen­ts pursuant to the pertinent provisions of 2016 Revised IRR, through Resolution No. 0023 (2018)."

It states that "failure to attain and/ or remit the presumptiv­e monthly retail receipt (PMRR) on time shall result to terminatio­n of the STL agreement." The PMRR is the amount determined by the PCSO as the “presumed minimum monthly sales of an ACC, which shall be subject to monthly review.”

Eagle Crest set its PMRR at P89,543,961 or an average of P3 million a day. But records showed that it had a PMRR shortfall of P554,112,552.60 (from January to December 2017), and P106,287,981 shortfall from January to February this year.

Last March 22, a notice of terminatio­n was sent to Eagle Crest, which was also given five days to file its motion for reconsider­ation on the resolution. At that time, its balance based on its shortfall was more than P256.5 million, after making an updated payment of P3 million. If its cash bond of P89,543,961 will be deducted, then its PMRR balance due would amount to close to P167 million.

Eagle Crest proposed to pay its PMRR shortfall on installmen­t computed at P3 million per month until full payment. In its motion for reconsider­ation, Eagle Crest argued that its PMRR has never been practicabl­e and viable due to the existence of illegal number games, or bookies, in its area.

Eagle Crest also cited lack of assistance by the Iloilo Police Provincial Office (IPPO) in stopping the illegal number games, and non-cooperatio­n of local government units in the province.

Eagle Crest also justified that, from the start of its operations on April 23 last year, it was only holding two draws per day and one draw every Sunday, which means that its PMRR — pegged at three draws per day — was too steep and unattainab­le for two-draw operations.

The PCSO board, in its regular meeting last April 16, however “resolved to deny (Eagle Crest’s) motion for reconsider­ation” and “terminate with finality its authorizat­ion to be PCSO's STL-AAC” in Iloilo province.

The recent event was considered another big blow to Eagle Crest's operation, following the ambush of its president, Samuel Aguilar, by ridingin-tandem assailants last March 13 at Tigbauan town in Iloilo. .

Samuel died four days later while undergoing treatment at a hospital in Iloilo City. His wife, Marie Mae, the firm’s chief finance officer, stood as Eagle Crest’s representa­tive in filing the motion for reconsider­ation.

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