House cautions PCSO execs on STL operations

The House of Representatives has threatened to exercise its oversight function and may eventually file graft charges against officials of the Philippine Charity Sweepstakes Office (PCSO) if they continue operating jueteng-tainted small town lottery (STL) joints.

Speaker Pantaleon Alvarez issued the warning as he asked PCSO officials to review the lottery agency’s charter, saying that operating STL and illegal gambling are not part of its mandate.

“What you are doing is illegal. Congress is the one which gave you your charter. Stop what you are doing unless you want Congress to file a case against you before the Ombudsman for doing things you are not authorized to do,” stressed Alvarez.

The House leader aired his complaint against STL operations during a hearing on the issue conducted by the Committee on Games and Amusements.

Alvarez reminded PCSO officials that entering into agreements with local operators is not part of the charter which Congress gave them.

Chaired by Paranaque City Rep. Gus Tambunting, the games and amusement panel has started its inquiry on illegal STL operations as sought in separate resolutions filed by Reps. Jesulito Manalo (Ankla Party-list) and Rodel Batocabe (Ako Bicol Party-list).

The two lawmakers noted that despite over a decade of operations, STL firms licensed by the PCSO have failed to generate the income projected by the lottery agency.

Manalo and Batocabe said the inability of the STL firms to raise the projected income is mainly caused by the fact that they are operating merely as “jueteng” fronts.

Tambunting said most, if not all, of STL joints are fronting as illegal numbers games joints.

“Let’s not kid each other. You are just trying to justify jueteng. This is why you are controlling who you partner with, and now you have what you call ‘right to match,” Alvarez said in the vernacular.

Tambunting agreed that the right to match clause is detrimental to the government. He said the House will exercise its oversight over the agency, especially on the right to match issue, and pursue cases against those involved.

PCSO Chairman Jose Jorge Corpuz explained the system was already in place when he took over the agency.

Corpuz added that PCSO has already issued additional contracts to new authorized agent corporations (AAC) which have already paid the government.