CAGAYAN DE ORO CITY – An authorized agent corporation of the Small Town Lottery (STL) here and the province of Misamis Oriental is helping 14 sales representatives obtain freedom after they were arrested and detained by the police over the weekend due to their alleged involvement in illegal number games.
DIAMOND Millennium Corp. (DMC) lawyers answer questions from the media during a press conference in Cagayan de Oro City on January 22. (Franck Dick Rosete)
According to the legal counsel of Diamond Millennium Corp. (DMC), those arrested, including a pregnant woman and a nursing mother, are about to be endorsed before the city and provincial prosecutor’s offices after the massive operation against DMC over the weekend and the week before.
“We’re currently exhausting all the remedial and legal measures to prevent the same and similar situations from happening in the past,” lawyer Katrina Mordeno said, adding that several other outlets have also been raided by the police. She also said they have yet to find the basis of these raids.
The ambiguity of the situation started when Melquiades Robles, general manager of the Philippine Charity Sweepstakes Office (PCSO), issued a letter to DMC last July 12 terminating its agency agreement and authority to operate “due to failure to secure PCSO’s prior approval” when they changed stockholders.
DMC questioned the decision, maintaining that they did not fail to inform the PCSO about the changes to their membership before the expiration of their license from 2019 to 2022 and before they applied for renewal for their 2022 to 2025 permit.
These changes came after one of the stockholders, who was a director of DMC, passed away.
The PCSO allegedly continued its decision until the DMC was granted a Temporary Restraining Order (TRO) last July 28 which enabled them to continue operations. But they eventually stopped after the TRO expired and the Court of Appeals denied the DMC’s application for the issuance of a Writ of Preliminary Injunction on October 13, 2023.
The issue was elevated to the Supreme Court (SC), and last January 8, the High Court issued a Status Quo Ante Order (SQAO) enjoining PCSO “from implementing the letter dated July 12, 2023, unilaterally terminating petitioner Diamond Millennium Corp.’s Authority to Operate a Small Town Lottery in Cagayan de Oro City and in the Province of Misamis Oriental, effective immediately as of this date and continuing until further orders from this Court.”
Mordeno said she would like to believe that law enforcers might have failed to understand the real meaning of SQAO which resulted in the misapplication of the law.
“How can we have faith and trust in our law enforcement agencies if they themselves do not follow the law?" Mordeno said as she asserted that the police officer giving directives should ensure that “the law is complied with.” She added that the police must also seek SC clarification.
DMC lawyers stated that PCSO issued a certification on January 15 that the sole authorized agent corporation of STL in this city and in Misamis Oriental is Hexaprime Inc. effective October 17, 2023.
READ: https://mb.com.ph/2023/10/23/pcso-prods-new-stl-operator-in-cagayan-de-oro-to-help-people-in-need
Kristine Bernaldez, new officer-in-charge branch manager of PCSO-Misamis Oriental, issued a similar certification upon the request of the police.
Police Lt. Col. Evan Viñas, spokesperson of the Cagayan de Oro City Police (COCPO), said that they asked certification from PCSO prior to the operation following their initial investigation about alleged STL outlets operating without the authority to operate. The city police received a certification from PCSO certifying that these outlets have no authority to operate.
However, Joane Gales, a DMC lawyer, asserted that it was not stated under the implementing rules and regulations of PCSO that only one corporation would be given the authority to operate.
Viñas said that they did not focus on the SQAO issued by the SC as they were “not bound to interpret the law.” He said there were nine DMC sales representatives arrested in Saturday's operation and two on Monday, January 22.
DMC lawyers are currently processing bail for them and are hoping that the courts will see the merits in their applications and petitions for bail.
They are also exploring possible cases they could file against police officers involved in the operation. They have yet to identify specific individuals but they already have a tentative list.
PSCO has yet to release a statement on the issue.