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ON THE OTHER HAND
Legalize Jueteng
By Antonio C. Abaya
Written May 24, 2005
For the
Manila Standard Today,
May 26 issue



Now that President Arroyo has declared an �all-out war on jueteng,� I am more convinced than ever that nothing will come out of the present brouhaha over it.

Hasn�t she learned anything from her and other politicians� previous �all-out wars� on poverty, crime, drugs, gambling, kidnapping, illegal logging, pollution, illegal election billboards, flying voters, jaywalking, colorum vehicles, pirated DVDs, etc?

Filipinos are not culturally equipped to wage �all-out wars� on anything. Or rather, Philippine media, which is the repository of our collective memory and aspirations,   is not culturally equipped to wage �all-out war� on anything.

Our and our media�s attention span is notoriously short, our memory even shorter. When a scandal breaks out or an anomaly is exposed, media focuses on it for a few days or a few weeks � during which everyone and his grandmother wax eloquent with his or her opinions and an investigation is started in the House or in the Senate � then loses interest in it when a new scandal breaks or an new anomaly is exposed.

The investigation leads nowhere and no one is convicted of anything except for the perfectly forgivable - because we do it all the time - sin of wasting everyone�s time.

Instead of an all-out war on anything, I wish our leaders will wage only quiet, behind-the-scenes, unpublicized little wars on the usual suspects and will call attention to themselves only when they have accumulated solid evidences against the bad guys and have rounded them up for trial, not by publicity, but before a no-nonsense court of law.

In the present ruckus over jueteng, I am totally unimpressed that three alleged jueteng bagmen and operators, code-named B1, B2 and O1, are allegedly ready to testify before the Senate and reveal what they know about alleged jueteng pay-offs to relatives of a high government official, code-named M1, M2 and JS7, who are later identified as presidential husband, Mike Arroyo, presidential son Mikey Arroyo and presidential brother-in-law Jose Ignacio Arroyo.

If they really have something factual to say, they should not hide behind code-names but should fearlessly identify themselves and say what they have to say, under oath, before the Ombudsman or the NBI.

If they are not comfortable making their deposition before a government agency, they should go to an independent  private organization like the Philippine Center of Investigative Journalism or Clean Hands Inc. of Frank Chavez and Mario Ongkiko, who have the professional competence to determine if their allegations will hold up in a court of law.

Hiding behind code-names, and making unfounded and unsworn-to allegations in media about other people, with the promise that they will tell all before the Senate, suggest that they do not really have much factual and verifiable information to reveal that can be used to convict anyone but are just engaging in mud-slinging for purely political and partisan reasons..

Unless they are prepared to reveal their true identities right away and make their depositions, under oath, before the PCIJ or CHI, they have no credibility, and media, especially the Philippine Daily Inquirer which seems to be their chief publicist, are being made fools of by person or persons whose motivations are neither noble nor pure nor trustworthy.

For the same reason, I am also unimpressed by the claim of Dagupan Archbishop Oscar Cruz, who started this jueteng brouhaha in the first place, that he has a witness who will tell the Senate inquiry about the extent of corruption spawned by jueteng nationwide.

Let Archbishop Cruz  present his witness first, fully identified and sworn to tell the truth before the PCIJ or the CHI, who will determine if the witness has any credible information to reveal.

Otherwise, said witness will just waste taxpayers� money  and the senators� time in a Senate inquiry that will lead nowhere, like most inquiries did in the past. Ditto for the witnesses of Senator Lacson. Haven�t we learned anything?

And I am appalled at the revelation of Archbishop Cruz that he had received checks from anonymous donors in the past ten years or so.. These checks were said to be for P5,000, P10,000, P20,000, etc. The most recent one was for ten million pesos.

He never cashed any of these checks. Good for you, Archbishop. But didn�t it ever occur to you to find out who were sending you these amounts by checking with the issuing bank or banks? You must have had some suspicions that those checks came from jueteng lords trying to buy your silence and good will.

Why didn�t you make any effort to find out the identity of the donors? With some unpublicized detective work, you would have found out if those donors were in any way connected with jueteng, and you would have built up a case against them by connecting them to the unsolicited money that you have received from them.  Anti-money laundering laws now require banks to reveal the identities of depositors engaged in suspicious money transfers.

The more I think about jueteng, the more I am convinced that the best �all-out war� against it is to legalize it.

Legalize it by making it part of the lottery games managed by the Philippine Charity Sweepstakes Office (PCSO) several times a week. Make room in the lotto for the legalized jueteng by designing an electronic game that accepts bets equal to the modest sums wagered in the illegal jueteng and masiao. (In Erap�s gambling-obsessed  republic, he also envisioned a legalized jueteng, but he wanted it in private hands, his crony Atong Ang�s, probably the easier to collect his share of the take.)

At the same time that a legalized jueteng is incorporated into the PCSO lotto, wage a media campaign to bad-mouth the illegal jueteng. Several years ago, someone did a comparative study of lotto and the illegal jueteng. He or she found out that only seven percent of the take in jueteng returns to the players in the form of winnings.

The bulk of the 93%, after payola is skimmed off to the governor, mayor, congressman, police chief, parish priests etc. goes to the gambling lords. By contrast, in lotto, much bigger percentages go back to players in the form of winnings, although I cannot recall the exact amount that was cited.

Furthermore, in the illegal jueteng, many of the players do not really know the winning numbers at first hand. They rely on the honesty of the runners and collectors, a fact which can be exploited in a media campaign against illegal jueteng. In a legalized jueteng where the draw is computerized and televised, all players can see that they are not being cheated by the operator as they are in illegal jueteng.

Archbishop Cruz and the other bishops who oppose ALL kinds of gambling are being na�ve and impractical. The sweepstakes, which have been around since the time of President Quezon, are also a numbers game, like the lotto.

So is bingo, which many Church parishes use to raise funds for their pastoral work. If they oppose the lotto and a legalized jueteng, the bishops should also oppose the sweepstakes and their own bingo games.

Legalized jueteng should be given a try by piloting it first in one or two jueteng provinces (such as Pampanga and Laguna) where the kinks can be ironed out and the concept finessed, with the end in view of eliminating the corruption that is directly caused by its being illegal.

Gambling, in moderation, should be considered a voluntary form of taxation if the net income of the State from it is used for the common good that are in short supply, such as socialized housing, school desks and schoolhouses, and medical services and facilities. *****

Reactions to
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Reactions to �Legalize Jueteng�


Dear Mr. Abaya,

I agree that jueteng must be legalized.  I could go into a stream of consciousness discussion why this is the case, so I am harnessing my thoughts.

Suffice it to say, the reasons are legion.  Anyone with logic can see this and must agree.

(I am dying to go into a diatribe, but I refuse to.  I wish not to bore you.)

Frederick F. Calope, [email protected]
Margaret Wong & Associates, Co., LPA
Cleveland, Ohio, May 26, 2005

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In Iloilo, there is this common knowledge circulating around that a prominent family (rich and notoriously moneyed) cannot donate (presenting the money) to the diocese or any church rep or facility because their business is from dubious operations - gambling, prostitution, sex trade, sex dorms or rooming spaces. The money is returned to them by the church and would want nothing to do with any. Because of this, the family is forced to change its operations until it became clear that they are not engaged anymore in dubious circumstances where their business incomes are derived.

Elsa Bayani, [email protected]
May 26, 2005

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Yes, indeed.  Legalize jueteng.  It has been a long time in coming.

Angie Collas-Dean, [email protected]
Portland, Oregon, May 27, 2005

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To Mr. Abaya

GMA's all out war against jueteng is just an attempt of credibility. If she can't stop jueteng in Pampanga, then her credility is worse than useless. All the best.

Oscar R. Landicho, [email protected]
Sydney, Australia, May 27, 2005

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Dear Mr Abaya,


All these issue about some persons being involved in jueteng is becoming an annoyance for nothing. As far as the masses are concerned what is wrong with it? For as long as there is a chance for them to win an amount a few multiples of what they bet it is simply OK. After all everybody who bets has the same chance.

It is only to the opposition (whoever is there in that side of the fence) that jueteng matters. That is why legalizing jueteng can not seem to get off the ground. They have to keep the jueteng illegal otherwise they will have one issue less against the administration. Legalize jueteng and media will have one issue less to sell.

On the part of administration why legalize jueteng when everybody from the police chief (some police are even moonlighting as bet collectors), mayors, congressmen and up are profitting?

My bit of advise for media. Ignore jueteng as an issue. It does not sell anymore. Inggitan lang iyan on the part of opposition. Wait till it is their turn on the helm and you will see same issue against them. So what else would be new.

We are now numbed to jueteng issue
Jorge Matanguihan, [email protected]
May 27, 2005

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Since the government cannot do a worthwhile job of stopping  jueteng, just do the most practical thing and legalize it. Jueteng is a poor mans game, a source of enjoyment and easy money if they get lucky. Not everyone can afford going to casino or buying lottery tickets, while you only need some loose change for jueteng.

Oscar Barawid, [email protected]
May 27, 2005

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.....Great ! , Mr.ACA...Legalize jueteng, like all the bingo, lotto, horse racing, sweepstakes, casinos etc...... that you rightly stated were legalized for better protection for the bettors and additional revenue for the government......But wouldn�t this deprive the present protectors of their fees ?.....And these protectors themselves are part of the machinery to legalize ?.

Tinine Bautista, [email protected]
May 27, 2005

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Tony,

Putting it under PCSO would already be an improvement, but remember that PCSO (and Pagcor) are milking cows of whoever is the administration.  I think best would be to make it legal, competitive, transparent; any monopolistic or collusive practice prohibited; let NGOs and the Church run their own regular small-scale lotteries (with a different name from jueteng).

Mahar Mangahas, [email protected]
Social Weather Stations, May 27, 2005

MY REPLY. The Church could call it �Manna from Heaven.�

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I agree. Sir, please send this article to them, Archbishop Rosales & GMA and the two houses of Congress.

Joseph Gannaban, [email protected]
May 27, 2005

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Agreed!  So, why the foot-dragging to legalize it? Could it be that "entrenched" interests would rather have it this way?

Tom and Ruth De Guzman, [email protected]
May 27, 2005

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Legalizing jueteng will not stop another illegal game to prop up. The people behind this illegal numbers game will not share their "huge wealth" since by legalizing it, will cut their earnings big-time.

What is the real purpose of legalizing Jueteng, I ask? To stop corruption? This will legalize only the "payola" to these so-called / alleged government officals and civil servants. If you want to be moral about the whole issue, "STOP ALL GAMBLING"and help eleviate the lives of the poor who comprise the bulk of the citizenry by offering them a better alternative, JOBS!!!!.

What must be done is for a "real government of the people" to look into the root of why this illegal game or legal gambling is being done by illegal jueteng operators, government agencies(PAGCOR), sectoral groups (BINGO) etc...its because it is the easiest way to make MONEY!

Reason behind the success of this illegal game is because it is providing a certain kind of "HOPE" for the hardships that the "common tao" (who are actually betting) is experiencing during these past years. Actually, it is a ticking bomb ready to explode if nothing is done in regards to their sorry plight in the very near future.

This new "PR gimmick" will not succeed because gov't can't or won't police their own ranks, its as simple as that!

I could be wrong all along, who knows..... but I, like so many, doubt that they will succeed in this new witch hunting scheme on all-out-war on jueteng.....  Good luck, guys!

Jose Genato, [email protected]
May 27, 2005

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Dear Mr. Abaya,

Peaceful greetings!

I am David D. D'Angelo, National Secretary General of Brotherhood of Destiny (BROOD) - www.broodonline.com and we are pleased to tell you that we are constantly
featuring some of your articles in our newsletter because we find them very informative although some are rather not in our taste but still a good opinion.

Thanks and more power!

David D. D�Angelo, [email protected]
May 27, 2005

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Tony,

I agree with you that jueteng should be legalized. In fact, when FVR was
elected, that was the first memo I sent him even before he took his oath
because I saw and knew how it corrupted the entire PNP, including the DILG
and others close to Malacanan.

Somehow, I feel that memo might have been the reason I did not get re appointed as DILG Secretary. I clearly remember when out of nowhere, one of my Atenean friends suddenly visited to inform me that it took a while for the info he was bringing to be given to me since they didn't know how to make contact.

You know what the info was? That as Secretary of the DILG, I was entitled to a hefty monthly sum and I was to call a number so I could give an bank account number anywhere in the world!

The distribution from the top DOG to the municipal chief of police is established.
Once you are on the take, you become beholden because they have the goods on you. And soon, the crime protection institution becomes the protector of prostitution and drug lords.

Cesar Sarino, [email protected]
May 28, 2005

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MR. ABAYA,

ANO SA PALAGAY MO? PAREHAS DIN YAN NG MGA NAKARAANG ISSUE NG KALOKAHAN NG ADMINISTRATION NI GMA, PALAGE SILANG MAY PALUSOT SA LAHAT NA KALOKOHAN GINAGAWA NILA SA MGA PILIPINO, MEANING LAHAT NA GINAGAWA NILA AY WELL-PLANNED AND BUDGETTED NA NINAKAW SA TAONG BAYAN.(MAKATI BUSINESS MAN, ROTARY CLUB NG MAKATI@GRUPO NI M2 SA ATENEO NA PURE NA ATTY. NA SILA ANG NAGPA-PLANO LAHAT NG BAWAT GALAW NI M2.BASTAT' GUMAWA SILA NG KALOKOHAN @ NABULILYASO,SIGURADO MAY KASUNOD NA AGAD NA SOLUSYON ANG MGA YAN KUNG PAANO NILA PAGTATAKPAN ANG MGA KALOKOHAN NILA SA TAONG BAYAN, HINDI KO NILALAHAT LAHAT NG MEDIA MEN BUT SOME OF THEM BINABAYARAN NILA PARA MALAGAY@MABASA NG NG TAONG BAYAN NA SILA AY WALANG GINAGAWANG MASAMA.

YAN PO MR. ABAYA ANG COMMENTS KO.KAWAWA ANG TAONG BAYAN SILA NAGPAPAKASARAP SA YAMAN NG TAONG BAYAN.MABUHAY.MABUHAY ANG PILIPINAS

Virgilio Bolor, [email protected]
RMG MICO
PGBI-Riyadh, Saudi Arabia. May 28, 2005

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Under lotto this kind of game was already existing.  I agree with you to
legalize this game.

Alexander Carranceja, [email protected]
Kuwait, May 28, 2005

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Legalizing jueteng is long overdue. Why can't a tax-desperate Congress, which is once again on a taxing frenzy including text messages,  act with urgency on this highly significant issue that could wipe out the ballooning foreign debt and the government's fiscal deficit?

The PCSO or Pagcor should take the initiative in producing infomercials on the pros of legalizing jueteng, especially on the government's sincere desire to wipe out poverty and help our poor countrymen.

It's an idea who time has come for the good of our country.

And may I remind everyone that even the revered Jaime Cardinal Sin once said that he would accept financial assistance for his flock even if it comes from the devil himself?

So what's the big fuss about legalizing jueteng?

Niel Enrile Narca, [email protected]
May 28, 2005

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Dear Mr. Abaya,

Mary Racelis was kind enough to forward to me your 26 May article on the
same subject, after she received the attachment from me yesterday, the
29th.  Mary is a friend and neighbor at Beverly Hills Subdivision here in
Antipolo.

I guess we're coming from different directions.  Where we agree is that it
may be futile to try eliminating Jueteng.  You are for rationalizing it, I
am for minimizing addiction to it, but keeping it illegal because of its
inherent illicitness.

Manuel Q. Lim, [email protected]
May 30, 2005

                                               
ISSUES ON
                                 THE LEGALIZATION OF JUETENG



For a rational discussion of issues, it is essential to lay down principles and to define terms.

1. �GAMBLING is a contract in which the participants in a game of chance (e.g., bingo, dice, poker) agree to pay the winner a certain prize, sum of money, etc.  Playing billiards, golf, tennis, etc., for money is not strictly gambling, since the outcome depends on skill and not, or at least only partially, on chance. � Healy, Edwin F., S.J.: Moral Guidance, Loyola University Press, 1942

2. �THE LICITNESS OF GAMBLING.  Gambling is licit provided the following three conditions are verified:

� The stakes belong to the one who gambles and may be disposed of by him.  Hence Lawyer Jones may not gamble with him client�s money, nor may Smith licitly stake money at poker that is necessary either for his family�s support or paying his just debts.

� There is no fraud involved; as, for example stacking the cards, loading the dice, etc.
EXAMPLE 1.   Jones marks the backs of the high cards with signs that are visible only through his green-tinted spectacles.  This would be illicit.

EXAMPLE 2.  Joseph winces or looks elated in order to deceive his opponent or glances at his opponent�s carelessly exposed cards.  This manner of acting is accepted as part of the game and is consequently licit.

� Equality of risk is observed; that is, there is for all participants an approximately equal hope of winning and equal danger of losing.

EXAMPLE.  Card Wizard Botkins, whose skill is unknown, sits down to a game of poker with inexpert Hiramson.  Here there is no equality of risk at all and so Botkins would not be acting honestly.  If, however, Hiramson, knowing of Botkins� skill, realizes he has little chance of winning and still enters the game freely, he tacitly consents to waive this condition that is ordinarily necessary for lawful gambling.  Hence Botkins plays with him licitly.�  Idem

3. JUETENG is clearly GAMBLING since it is a game of pure chance requiring no skills at all on the part of the player.

4. GAMBLING in JUETENG very proximately violates the first condition because of the strong tendency to bet funds needed for family support or paying just debts and other obligations.  In fact, many times people gamble in the hope of winning enough to pay just debts and other obligations.  The irony may be in that the debts grew out of losing.  In any event, losing just deepens the hole they are in.

To be sure, betting in JUETENG may start out as an innocent pastime.  Either a few wins or a few losses may easily lead to serious pursuit, gradually becoming an insatiable habit, which carries one away to such an extent that he risks all on the outcome of the bet.

5. JUETENG may also violate the second condition of no fraud.  This should be considered with the third condition of equality of risk.  The �house� clearly has the edge; otherwise it would not be conducting the games.  Unfortunately, as pointed out above, the bettors often reach a point where they �hope against hope� to climb out of a hole by continuing to bet, even knowing that the odds are stacked against them.

6. The issue of corruption arising from its incidence is really collateral.  Even if there were no resulting corruption, the considerations on its license would not change.  And yet, the two collateral issues feed on each other in spiral form: because JUETENG  is illicit and illegal it must be covert.  To remain covert it must pay for cover.  To pay for cover it must stack the odds higher for the �house�. . . . all for the account of the bettor.

7. Therefore, legalizing JUETENG will merely perpetuate the onus on the bettor.  Realistically, since much of the operations is verbally conducted, a fourth split may need to increase the take: the �house�, the �lords� and their master, the protectors, and now the government . . . . for the greater account of the bettor.

8. What to do?  First an attempt to trace the attractiveness of JUETENG.  No doubt the thrill of chance is there, as opposed to challenge.  This thrill is probably heightened by Bathala, which make the individual relate chance winning to favor by the gods.

9. Again, no doubt that in some this thrill turns into addiction.  We find such addicts in psychiatric wards, where they are treated as psychotic patients.  But it seems that these patients are not needy, or maybe the needy do not get this kind of expensive treatment.

10. But by and large the aficionados are not affluent.  It may be that the more aficionado the less affluent, and therefore more vulnerable to compulsion.

11. With the above assumption, we may conclude that POVERTY is at least one, if not the major, root cause.  If so, then overcoming POVERTY is a major step towards reducing ABUSE of JUETENG; NOT ELIMINATION, which may not be achievable because of the above-described thrill, but REDUCTION OF ABUSE, which results from false hopes.

How to overcome POVERTY.  That is another story.  But, as in engineering as in most other disciplines, half the solution is knowing the problem.

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(Copy furnished by Manoling Morato, [email protected])    


      May 30, 2005

Senator Edgardo Angara
c/o Chie Langomez

Dear Senator Angara:

I refer to your letter of May 21, 2005 regarding the legalization of the jueteng.

I presumed you want me to comment on it.

Without wanting to interfere on what the Legislative Department may decide to do, I personally stand by the President�s decision of not legalizing the jueteng.  She is opposed for not wanting to spread the culture of gambling in our society.  And I share her feelings on that.

Allow me to express my opinions:

1.  The lotto falls under the category of �amusement� and not gambling, worldwide, for it is not addicting nor habit forming.  The lotto as a numbers� game is voluntary in nature and its players are not forced to play it � if they do not want to.  Wala pong pilitan.  A player must go out of his/her way to buy a ticket in the lotto outlets.  And only those 18 years old and above are allowed.  The law is strictly followed by all the lotto outlets.

2. The lotto is in no less than 125 countries used to raise funds for charity.  In the Philippines, our law mandates the PCSO to give 55% derived from sales to the Prize Fund.  30% goes to the Charity Fund.  And only 15% is retained by the PCSO for Operating expenses.  I can almost say that we are the most generous among all the lotto operators in the world; and the most fair as well.

3.  For a numbers� game to be immoral, the element of cheating must be present.  The lotto is tamper-proof, completely computerized with no human intervention whatsoever. 

On the other hand, jueteng thrives on cheating its bettors.  The draws are conducted in secret and not seen by the bettors.  It has no transparency, unlike the lotto draws where all its draws are televised and seen nationwide.

For this reason, to be brief about it, the Church has not really and truly opposed it.  Not even the Vatican had issued a statement against the lotto.

If we had problems with some Church leaders at the onset of the lotto, including the opposition we encountered from the Kilosbayan headed by then Senator Salonga, it was more on the idea of promoting the culture of gambling more than its issue on morality.  At the time, the lotto was new in the country and some priests and politicians including local public officials reacted against the lotto without really knowing much about it.

I was the one thrown at the frontline to face the controversies that erupted when the lotto was being opposed in many areas.  It later became clear to me that the local officials were against the lotto for very obvious reasons.  They were protecting the illegal jueteng and illegal masiao in their areas.  Wherever the jueteng was strong, the opposition to the lotto was likewise strong.

This is one big reason why the rolling out of the lotto outlets in Luzon and VisMin was delayed, aside from the fact that we indeed have a problem with our telecommunication providers.

As it happened all over the world, the lotto was the only numbers� game that successfully eradicated the illegal numbers� game within five (5) years.  All the illegal gambling simply died a natural death, eventually.  Unfortunately, this did not happen in our country because just when the lotto was getting stronger in 1997/98, I left the PCSO in 1998.  The change in the administration set aback the lotto because of the �Bingo 2 Balls� � which is in effect was another form of jueteng.

My PCSO successors under that regime slowed down on the lotto.  Instead of intensifying it, they simply coasted along which actually allowed the jueteng to strengthen again.

The rest is history.  Let it be said, however, that the jueteng-type �Bingo 2 Balls� was an illegal numbers� game as well with no accountability nor transparency.  And its tie-up with Pagcor was contrary to the law for Pagcor was actually not the operator but Atong Ang�s company.

As I know it, both the PCSO and Pagcor cannot lend its franchise to any operator.  The PCSO, for example, must be the operator � according to law; and no other outfit can make use of its franchise � not even as partner, much less to be allowed to use it for personal gains.

For that reason, the Supreme Court allowed and approved our contract with PGMC only on a lease agreement.  The PCSO only rents the lotto equipment of the system provider at 4.3% of gross sales, plus 0.15% for maintenance.  That was what the Supreme Court allowed us to go into.  And that�s the contract I signed.

PGMC is not the operator.  PGMC is not a partner.  And despite that, it was a very close decision at 7/7.  What more had it been a joint venture.  It would have surely been defeated and denied.  The PCSO would have lost the case.

4. What Secretary Purisima said that legalizing the jueteng would be an �administrative nightmare,� I fully agree.  But I disagree with his other statement of passing the jueteng to the PCSO or Pagcor, or merge the two agencies. 

I will attempt to explain.  If given to the Pagcor, will the jueteng be another �Bingo 2 Balls�?  We know from experience that that did not work at all.  But I rather not speak for Pagcor for I am not competent enough to do so; and I should not, por delicadeza.

I must limit myself to the PCSO of which I am more familiar.

At present, the PCSO has already in its system a jueteng-type digit game called the EZ 2.  It�s a two-digit game similar to the jueteng.  In the Visayas and Mindanao where the masiao proliferates, the PCSO has Swertres or the three-digit game.  Both are doing well.  But as I said, the PCSO needs to roll out more lotto outlets nationwide to be effective.  Now is the time to roll-out fast to give the jueteng patrons a legal alternative.   Unfortunately, the lotto is not present in about 70% of the Islands.  How can the lotto compete?

This is the reality of it all.  The lotto can very well challenge the jueteng and masiao illegal operations nationwide if it were only accessible to the most number of the population.


Legalizing the jueteng and masiao is not the correct solution.

1. Even if the jueteng (and let me stick to it alone) is legalized and computerized, the bad habit of going underground will still continue.  Why?  That�s the structure the jueteng operators have mastered in over a hundred years.  They have perfected a very unique system that no one can possibly obliterate.

Senator, I will tell you why:

Assuming for the sake of argument, the jueteng is legalized, computerized and publicly drawn on television, the �cobradores� will continue with their guerilla-type operation, at much lower price, with bets written on pieces of �toilet paper� as they do today.  The government will all the same lose out on taxes.

I would even venture to say that it can even eventually kill the lotto.  Why?  The jueteng is drawn 3 times a day and it is a more active game than the lotto.  It will definitely capture the participation of the betting public more than playing the lotto which is drawn only once a day at 9 P.M., as it is done worldwide.

The sweepstakes is a perfect example.  It died when the lotto came in because the lotto is a more active gaming than the sweepstakes.  And the same can very well happen should the jueteng be legalized.  The jueteng can ultimately kill the lotto.  Where then would that lead us to?  The two will end up competing with each other.

Are we prepared to sacrifice the lotto in favor of the jueteng and the masiao?  We would be the only country in the world to do so for instead of penalizing an illegal activity, we would be rewarding instead.

2. Who then among the system designers in the world would be tasked to do the software?

Legalizing the jueteng (and masiao) will call for increasing the bets automatically for several reasons.  Using tamper-proof tickets, printing of bet slips and all the other overhead expenses will jack-up the price to almost the level of the cost of the lotto tickets now.  Or maybe a little less.

But what I am trying to say is that despite all that, the jueteng operation will continue � underground.  Corruption will continue.

3. Allow me to tell you, Senator, that I had nothing to do with the so-called �Small Town Lottery� which was a form of legalizing the jueteng.  That happened during the PCSO leadership of Mr. Carrascoso during the Cory Administration.

I was a Ramos appointee in January of 1994.  That�s when President Ramos appointed me PCSO Chairman and eventually Chairman-General Manager a few months later. 

When I took over, I investigated that �Small Town Lottery� of Carrascoso.  The PCSO hardly got anything; or none at all because those given the right to run the �Small Town Lottery� in the provinces did not turn over the proceeds to the PCSO.  What they did was to use their new image of legitimacy to go on with the jueteng.  In effect, dalawang beses pa sila kumakabig.  Kaliwa�t�kanan ang pasok ng pera � from the jueteng bettors and from the Small Town Lottery tickets sold.  
4. Kaya po, Senator, medyo pag-aralan po ninyong mabuti itong pag-legalize ng jueteng.  Papatayin nito ang lotto because the jueteng is more mass-based than the lotto. 

Noong panahon ko as PCSO Chairman and General Manager, hindi po ako nakipag-away sa jueteng operators.  Unang-una, hindi ko po trabaho maghabol sa kanila.  Trabaho �yan ng mga local officials and the law enforcement agencies.

As the one running the lotto then, I took the stand of live and let live.  Matira ang matibay.  Hindi ako nakipag-away kasi nakita ko na humihina na ang jueteng.  Ang pila sa lotto outlets noon ay parang ahas sa haba, blocks and blocks away.  Ngayon, hardly one has to fall in line.  Kasi nga, hindi masyado ang tulong sa mga may sakit na mahihirap.  At kinansel pa ng successor ko ang burial assistance to the poor.

Sa panahon po ni Presidente Ramos, about 600 sick poor patients a day ang ipinagagamot naming sa hospitals; at about 80 dead poor people ang ipinalilibing.  Araw-araw po ito, nationwide.

Kaya pinatronize ng tao ang lotto ng katakut-takot.  Plus 3,600 ambulances were given away nationwide under the Ambulance Donation Program of President Ramos.

As I see it, the more the PCSO attends to the sick poor people, the more the tickets sell.  One goes with the other.

Tumutulong naman po ang PCSO ngayon.  But more on hospital equipment.  What our people really want is to be helped directly sa kanilang paghihirap makabayad sa kanilang gastos sa sakit.  Direkto sa kanila ang tulong.  They hardly feel those hospital equipment.  Kaya po pinag-usapan na namin sa Board na medyo mag slow-down po sa mga equipment donation and to concentrate more on individual requests � without naman po neglecting the necessary and urgently needed hospital equipment.  In other words, it is a question of balancing everything and apportioning the PCSO resources properly.

5. Contrary to what some are saying on television, the jueteng was not brought into the country by the �Chinese centuries ago.�

The sweepstakes started in the country during the Spanish times.  Jose Rizal was even one of those who won in the loteria in the 1800s.

The jueteng was brought in by the Irish-Americans through Clark Field at the turn of the century.

It was a numbers� game concocted by the Irish immigrant in New York called �waiting,� patronized among themselves and limited to certain areas, not the entire state.

Obviously, when those American soldiers of Irish decent were drafted and sent to the Philippines, as a form of pastime, it started in the American base of Clark Field until it spread out of the base and a tagalized name for it was adopted by the locals and called it �jueteng�.  They meant �waiting� but spelt it wrongly.

Baka po �Sioktong� ang sinasabi ng iba sa television na dinala daw po dito ng mga Intsik!

As I know it, diyan po sa Central Luzon nag-umpisa ang jueteng through Clark Air Force Base.

Kaya po, hindi �centuries old� ang jueteng.  Only a century or so.

But that�s beside the point.

We must go back in trying to solve this illegal jueteng (and masiao).

1. What is scary about the illegal jueteng and masiao is the fact that it is Mafiosi.  It branches off to prostitution, drugs, smuggling and other nefarious activities.  After all, they have to invest those billions earned somewhere.

Of course, ang corruption ng public officials ang pinakamasama.  Kasi once tumanggap, you are beholden to them.  Everybody knows that the jueteng lords chose who would win in every election.  I was their victim in 1998 when I ran for president.  All my propaganda materials posted nationwide disappeared within only half an hour.  Sayang lang po ang ginastos ko.  But I gracefully accepted all of that as part and parcel of our political system.  I am not complaining.

Hindi ko din naman sila inaway.  I just thought they would not do it to me because I know Mayor Lilia Pineda.  She was very friendly with me and would often come to the PCSO to ask me for expensive medicine for the victims of Pinatubo in her town who were still suffering from emotional and psychological disorder.

The day we met, she asked me if I would be willing to help her.  I said, Opo.  Bakit naman hindi.  Sabi nya, �ako po ay si Mayor Pineda, asawa ni Bong Pineda.�  Sabi ko naman, alam ko po.  Ang PCSO po ay para sa lahat. Ang hinihiling ninyo ay para sa ating mga kapwa sa inyong lugar.  Tutulong po ang PCSO.

Hanggang dyan lamang ang aming pagkakilala at pagkakaibigan.  At during my tenure, I did not play politics.  Maski kaaway, tinulungan ko.  It�s the people�s money after all, not mine.

Senator, I really cannot give you an outright solution to the jueteng operation.  All I can say that legalizing it is not a solution for the aforementioned reasons I�ve cited in this letter.

Just bear in mind the �Small Town Lottery� and the �Bingo 2 Balls�.  Both were meant to legalize the jueteng in another name.  But jueteng intensified just the same.

Should Congress legalize the jueteng, would you still call it �jueteng�?  It might have to go on another name � �2-Digit game�, perhaps, which as I said, the lotto has now.  So, where do we go from here?

The lotto, this legal alternative to jueteng, is really the only solution.  The local officials must be told to support it, nationwide; not to resist it.

The lotto can also generate jobs for the �cobradores� by collecting �Ambagan bets� of P1, P2, P5 to those who want to play the game for less than P10.  For sure, they�d concentrate on the EZ-2 for that�s designed and patterned after the jueteng.

Thinking out loud, the PCSO can probably increase the draw to 3 times a day, televised and broadcasted on radio.  But then, lalasingin naman natin ang taongbayan and force them to spend more money that they cannot afford to spend.  Ito nga po, precisely, ang ating iniiwasan for our people must shed off ang kanilang mga bisyo para malutas ang kahirapan.  No matter how we look at it, gastos pa rin ang tumaya na hindi naman lahat tumatama.  Ganoon din sa jueteng.  Mas marami ang talo kaysa panalo.

No matter how we turn it around, ang bangka ang pirming panalo.

Frankly, I am not that concerned about the �lost� livelihood ng mga cobradores.  They are much smaller in number than the bettors.  They say around P15,000?  How about those millions and millions of bettors whom they�ve caused to lose their money?  Aren�t we going to think about them?  Kung tutuusin, ang mga �cobradores� ang may kasalanan diyan.  They even frisk money from the �baons� of the very young students.

But out of concern to the �cobradores� who are now using emotional appeal on their plight, kikita din naman sila ng pera by being lotto cobradores.  As I said, mangulekta sila ng small bets sa EZ-2 ng lotto; and no doubt, alongside the illegal jueteng also.  Nagbibigay naman ng tip ang mananaya sa lotto sa mga �cobradores� noon pa; at pagnagpatama, may balato pa.

Ayaw lang nilang aminin na puede itong sinasabi ko.  Ayaw na lang nilang baguhin ang lifestyle na kinasanayan na nila.

As to the aspect of corruption, bribery at �lagay� sa mga government officials:

The local officials must be tasked to stop jueteng operations in their respective areas; or be removed from office as what is being done now.  Continue maintaining that stand.  The day will come na kusang hihina ang underground jueteng operation if this campaign is sustained.  Pretty soon, wala ng kikitain na malaki ang jueteng operators, thus reducing as well ang perang pwede nilang ipamigay in the form of �lagay�.

The death of jueteng may come slow, but if the campaign against it today is sustained, kusang mamamatay iyan in due time.

Abangan lang po at baka naman ang palakasin ng mga jueteng operators ay ang prostitution, drugs at smuggling � or kidnapping.  God only knows what they are capable of doing.

Basta, sa akin pong pananaw, suportahan ninyo ang lotto for this number�s game is the only one designed to combat all illegal numbers� game.  Wala na pong iba.

Force the PCSO to roll out the lotto outlets � fast.  Reprimand or even remove from office local officials who resist the entry of the legal alternative (lotto) in their respective territories.  Force them to accept the establishment of lotto outlets.  There are mayors who, to this day, do not issue permits to lotto applicants wishing to put up lotto outlets in their town and cities.

England and the Philippines started the lotto at just about the same time in November 1994 and February 1995 respectively.  England was only ahead of us by 2 or 3 months.  Samantala, in only 3 years, England has 45,000 outlets put in place, while we on ly have a little over 2,000 in the entire country in 10 years time since we started.  But this is a long story to tell if I were to delve on it how England did it.

There is another problem to contend with.  There are jueteng sympathizers who apply for lotto outlets just to be able to go on with their illegal trade of selling jueteng tickets as well, para huwag sila mahuli.  Pero madali na po ito ma-solusyunan.  Maraming informers na susulpot.  Puede naman isara ng PCSO ang lotto outlet na lumalabag sa patakaran.  Nandidiyan naman ang NBI and other law enforcement agencies to help the PCSO sa monitoring.

Before I end, why am I opposed to merging the PCSO and Pagcor?

Firstly, the Pagcor caters to the so-called hard gambling, the reason for which it is kept inside the casinos � on restricted territories.

Unlike the lotto, as I said, it falls under the so-called  �soft gaming�, more categorized under �amusement� together with the 3 accepted gaming worldwide � the lotto, sweepstakes and bingo � all used even by the Churches to raise funds for charity.  Only those three aside from the offering of raffle tickets at a certain price � for a good cause.

The mandate of PCSO is different from that of the Pagcor.  The PCSO is focused on  helping the needy, the poor, the sick; and more geared towards medical services on a more personal basis.

The Pagcor on the other hand is more geared towards assisting infrastructures such as deep wells, building of schools, etc�.

The two won�t mix.  And if put together, so many mandated PCSO contributions by law to the many beneficiaries may have to be sacrificed.

The PCSO is even different to the DOH and DSWD in its undertakings.  The two government departments are more holistic in its approach, more community based.  The PCSO on the other hand, is more personalized in its approach.  It is an agency a sick person can run to for medical assistance.  For example, ginagawa ba ng DOH and DSWD magpa-opera ng isang pobreng tao na needing a kidney transplant, or a heart-bypass, etc� costing hundreds of thousands of pesos or even millions para sa isang tao?

Maybe in times of calamities, pare-pareho lang ang role ng DOH, DSWD at PCSO.  Pero ordinarily ang PCSO lamang ang malalapitan at maaasahan ng isang pobreng pasyente na walang perang pangpagamot at pambayad.

Pagpa-dialysis, pagpalibing, pagpaospital, etc�  nandidiyan ang PCSO.

Ang mga Churches, hindi naiilang lumapit sa PCSO for their charities kasi alam nila, malinis daw ang pinanggagalingan ng pera ng PCSO.  Hindi galing sa pandaraya.  Sa ibang sugal daw, marumi.

So, why fix what ain�t broke? Ika nga.

To merge the PCSO with Pagcor is going to be another �Administrative nightmare�.  Not only that.  The two are not compatible.  It is a �marriage� bound to fail.  It would be too big to handle.  Efficiency could be sacrificed, let alone the intrigues and infighting that could ensue.

In time, and maybe many, many years after, perhaps it will settle down.  But must we complicate things now, in these times of need and confusion?

It might not even be only an �administrative nightmare� but an exercise in futility.

As I see it, mergers are possible on other departments and agencies dealing with other matters.  But not when you are dealing with people with human emotions.  That�s a very sensitive issue.

But as I said, Senator, ayaw ko pong makialam sa Congreso at sa liderato.  Ako�y nagbibigay lamang ng opinion at kung ano sa aking pananaw ay nararapat.  Consider it a thought to mull about.  I am sure there are many more with different ideas.  Maybe they are right.  Maybe I am wrong. Or maybe I am right and they are wrong.  I won�t venture to answer that question.

But just the same, thank you for asking me to comment on your stand.  I know that you did it only to arrive at the right and correct solution to a monumental problem.  And also only in that light that I present to you this input as food for thought.

One way or another, it is Congress� prerogative to decide, not mine.  I am only presently, one of five PCSO directors.  I know my limitations.

Please, Senator, take what I�ve said in good light.   I mean well.

Senator, I hope you can develop something out of all what I�ve said in this letter to you.  I received your letter and I answered it.  No one else asked for my opinion.

Pardon this hurriedly written note, sans editing nor style nor form.  I have only 2 hours to do it so you may get it on time for your Senate hearing today at 1:30 P.M.

I had no time to do it sooner.


      Yours truly,



      MANUEL L. MORAT�

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