Only national lotteries allowed under PCSO charter: Alvarez

MANILA – House Speaker Pantaleon Alvarez on Monday criticized the Philippine Charity Sweepstakes Office (PCSO) for operating Small Town Lottery (STL), saying this violates the agency’s charter.

Alvarez said PCSO's charter only allows the operation of national lotteries.

He threatened PCSO officials with a lawsuit unless they stop operating STL.

“Please educate us. I’ve been reading your charter and I cannot find a provision that authorizes PCSO to issue licenses as well as franchises to STL agents,” Alvarez told PCSO chairman Jose Corpuz.

PCSO Manager for Legal Department Analiza Inciong, however, said it is only the PCSO that has exclusive authority to hold and conduct charity sweepstakes, races, lotteries and other similar activities.

Alvarez then pointed out that the PCSO charter does not authorize the PCSO to team up with private companies for STL.

"Nakalagay diyan you are authorized to be in partnership with other private companies…to hold lotteries sa mga probinsiya, meron ba?" Alvarez said.

Alvarez insisted that PCSO can only operate lotteries nationwide.

"Very specific, national scale. Iyun bang binibigay niyong STL, national scale ba yan? Provincial scale yung bola niyo diyan,” he said.

He said the STL is being used as a front for “jueteng”, even if the STL was established precisely to stamp out the illegal numbers game.

“Alam mo huwag na tayo mag-bolahan. Naghahanap lang kayo ng justification para sa jueteng. Kaya nga kontrolado yung binibigyan niyo ng partnership eh,” he said.

“We are telling you that what you’re doing is illegal. Congress is the one that gave you your charter at kami na mismo nagasabi sa inyo mali yung ginagawa niyo dahil wala sa charter niyo iyan.”

Corpuz then came in and said this was merely a project he inherited.

"When we got there there is already STL. There is already lotto. It has been there since the start so all we have to do -- the present board --expanded the STL from 18 areas to 56 areas at the moment," Corpuz said.

“I think the best thing for you to do is to return the money paid to you and concentrate on national lotteries where you are really allowed under your charter. Tigilan niyo na ang STL dahil illegal yan eh," Alvarez said in response to Corpuz.

The PCSO currently has 56 STL locations nationwide.