Tulfo seeks review of PAGCOR’s P500M contract with agency tasked to audit POGOs


Senator Raffy Tulfo on Thursday, September 22 sought a review of the P500-million a year contract entered by the Philippine Gaming and Amusement Corporation (Pagcor) with Global ComRCI because has it does "not appear competent enough to do the auditing task as the company limited experience in the gambling industry."

Tulfo issued the statement during a Senate committee on games and amusement organizational meeting and public hearing where he lamented that "kabos" (chief collectors) are not getting government-mandated work benefits, including Social Security System (SSS), Philippine Health Insurance Corporation (PhilHealth), and Pag-Ibig.

Amid anomalies surrounding POGOs, Tulfo proposed to review the contract of PAGCOR with Global ComRCI, which is receiving roughly P500 million guaranteed pay a year.

“Maybe it’s about time na pag-aralan po natin itong kontrata with Global ComRCI, at kung pwede, ay alisin na po natin ito (Maybe it is about time to review he contract of ComRCI and, if possible, cancel the contract)..kasi yung P500-million na binabayad dito, ay napupunta lang po sa korapsyon (because the P500-million being paid to it goes to corruption)” he said.

Global ComRCI appears to be a consortium among three other companies, one of which is performing large-scale printing and is reportedly owned by a powerful personality who has a connection to PAGCOR, Tulfo said.

These companies have little to no social media presence and its website is not accessible to the public, Tulfo said.

The Senator from Isabela, likewise, flagged several problems on the Philippine Offshore Gaming Operators (POGOs), including the series of crimes linked to it.

There are some senators who want to drive POGO operations out of the country because they attract or bring with them criminal elements that are now behind kidnappings murder, extortion and other arts of violence against POGO workers mostly.

Finance Secretary Benjamin Diokno had said the Philippines should do away with POGOs, citing what he described as social and reputational risks

Diokno told senators the Philippines could move forward without the industry as it has already seen a decline in revenue generation.

At the Development Budget Coordination Committee (DBCC) briefing for senators in connection with the National Expenditure Program (NEP) for 2023, Diokno said the total revenues from the industry were estimated at P3.9 billion in 2021, versus the P7.2 billion recorded in the previous year

“If you ask my personal opinion on this, let’s discontinue with the POGO because of the social cost,” he said.

During the committee organizational meeting and public hearing presided by vice chairman Tulfo, he lamented that ‘’kabos’’ are not getting government-mandated work benefits.

“I talked to several ‘’kabos’’ from different provinces, at wala daw po silang natatanggap na benepisyo (I have talked to several ‘kabos’ from different provinces and told me they have not received benefits due them). Masakit po sa kalooban ko, bilang pro-manggagawa, na ipinagkakait po ng STL operators (Being a pro-worker, I am hurt because these are denied by them by STL operators who are making billions of pesos every month, ang benepisyo na para sana sa kanila),” he said.

Philippine Charity Sweepstakes Office (PCSO), chairman Junie Cua failed to provide proof of remittances showing that STL operators contributed to SSS, PhilHealth, and Pag-ibig on behalf of the kabos employed under them, Tulfo said.

Aside from the issue on benefits, Tulfo also bewailed the unjust bidding process of STL operators, which essentially allows losing bidders to join another round of bidding despite an initial loss. This scheme effectively gives losing bidders the right to match the original proponent chosen and does not guarantee that the most advantageous contract is entered into in STL Franchise Operators.

The current scheme, Tulfo said, reeks of corruption because it only favors a bigtime, influential and powerful gambling lord who has cornered most franchises to operate STL in different parts of the country.

Notably, some unscrupulous PCSO officials are favoring an influential gambling lord to secure wins during public biddings of STL in exchange of goodwill money and regular under-the-table pay.

Instead of going to the pockets of corrupt individuals, Tulfo said the gambling revenues should have been spent for social services that would benefit the poor and other Filipinos needing assistance.

Tulfo manifested plans to legislate amendments to the Build-Operate-Transfer (BOT) Law removing STL and other gambling activities from being subject to Unsolicited Proposals which makes this current scheme possible.

He stressed that the bidding should be closed once a winning bidder has already been declared, saying, “dapat, ‘pag nanalo na, nanalo na (When you win, you win). ‘Pag natalo na, natalo na (when you lose, you lose). Ganon po talaga ang (That is the) essence of bidding. Kapag natalo ka na (When you lose), better luck next time,’’ he added.