House leader seeks amendment to Pagcor charter

MANILA, Philippines - A leader of the House of Representatives is proposing the amendment of the charter of the Philippine Gaming and Amusement Corp. (Pagcor) to withdraw powers Congress had delegated to the agency.

Isabela representative and Deputy Speaker Giorgidi Aggabao made the proposal in Bill 4311, which would amend Republic Act No. 9487, the law enacted in 2007 extending the life of Pagcor for another 25 years.

Aggabao said the law delegated to Pagcor the power of Congress to license casino and gaming club operators.

“Clearly, with the given additional authority, Pagcor has encroached on congressional mandate. My bill seeks to rectify the situation and proposes to revoke the authority of Pagcor to license casino and gaming club operators,” he said.

“In addition, it seeks to give back to Congress its supervisory oversight of Pagcor by mandating that all contracts entered into by Pagcor, in whatever form, will be subject to the approval of Congress,” he said.

He added that as of now, the state-owned gaming corporation unilaterally issues licenses to casinos and other gaming investors, including so-called junket operators.

Aggabao pointed out that if the delegated authority were returned to Congress, there would be more transparency in the grant of casino and gaming franchises, since these would be subjected to public hearings and scrutiny.

The government would also be able to get the most out of the grant of such privileges in terms of revenues, he stressed.

The Aggabao bill removes all references to Pagcor’s power to authorize, license or franchise casino and gaming operations. However, the corporation would keep its regulatory functions.

It would also keep its power to operate and maintain casinos and other places for gaming and amusement activities, provided that it seeks the approval of the local government unit where gaming or amusement facilities would be located.

Pagcor has embarked on an ambitious project it calls Entertainment City in the reclamation area along Manila Bay in Pasay City and Parañaque.

One casino-amusement complex is now operating in the area, while another is slated to open later this year. Pagcor has required a minimum investment of $1 billion for every complex.

The gaming agency hopes to attract gamblers patronizing casinos in Macau, which had surpassed Las Vegas in terms of gambling revenues a few years back.