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http//dnsc. academia. edu/ennelgArugal Final Paper in PA 231 Public Fiscal Administration Glenne B. Lagura Gaming manoeuvre (Filipino merriment and Gaming fellowship PAGCor) Submitted to DR. ANTONIO M. FAUNILLIAN JR. , MPA Instructor Submitted by Glenne B. Lagura UNIVERSITY OF SOUTHEASTERN PHILIPPINES BO. OBRERO, DAVAO urban center College of G overnance and Business Master of Public Administration April 10, 2012 1 Glenne B. Lagura enlist I. Introduction a) b) c) d) Background of PAGCor Board of Directors Management PAGCors Operational Highlights ? Sources of PAGCors in fuck ? PAGCors network ?PAGCors character to nation building II. intervention a) Where does PAGCors income go? b) Corporate Social Responsibilities of PAGCor III. Analyses a) Social Problems b) Reduce gross? c) PAGCor Problems and Ch altogetherenges ? Il wakeless becomes Legal ? alert or Unaw be? or Awargon to be Unaw atomic number 18? ? Institutional Problems d) Anomalies ? Regulate Authorize WATCHED ? Is drama a cursed? e) Corruptions f) Recent Issues IV. Possible Solutions and Recommendations a) b) c) d) e) Maintain the Status Quo PAGCOR to concentrate on its governory function Privatization Abolish and close PAGCOR and theorise solutions from a deliberate.V. VI. death References 2 I. Introduction A. Background of PAGCor The role and impact of presidency-Owned and Control Corporation (GOCC) on the fiscal position of the presidency and the economy continue to be significant to this day. Despite re wreaks low taken in the past, according to the Commission on Audit, on that point re of import around one hundred thirty three GOCCs run in the argonas of agriculture, transportation, infrastructure, public utilities, provision of housing, industrial exploitation and finance. The dismal doing of m whatsoever of these flocks has contri neerthelessed to the fiscal deficits of the public sector.As defined under PD 2029, GOCC is a stock or a non-stock corporation, whether performin g regimeal or patented functions, which is instantaneously chartered by special rectitude or, if organized under the general corporation fair play, is decl atomic number 18ed or controlled by the organization directly or indirectly through a parent corporation or subsidiary corporation, the extent of at to the lowest degree a majority of its peachy capital stock or of its outstanding voting capital stock. Filipino Amusement and Gaming Corporation (PAGCor) is a 100 percent presidency-owned and controlled corporation.It was launch to regulate all games of chance in the surface area. It was created in 1977 to oversee the exercise of swordplay cassinos, to generate bullion for the governments developmental projects, to uphold tourism in the country, and to attend curb guilty play. PAGCor had an initial trustworthy capital stock of P5 meg which was later increased to P200 moveion. PAGCor is authorized to resume property from local or international sources. Hal f of PAGCors earnings are remitted to the Bureau of the treasury (BOT) to be used in programs and projects as directed and authorized by the Office of the President of the Filipinos.This is aside from the mandated beneficiaries which see financing from PAGCor. Its stay funds form power of the Social caudex to finance infrastructure and/or socio-civic projects. The Corporation was created during the Martial Law age by virtue of a Presidential Decree (PD 1067-A) in solution to calls for the Philippine governance to put a stop to the growing proliferation of culpable cassino proceedings in various parts of the country then. The law creating PAGCor was later amended and consolidated by PD 1896 former(a)wise cognise as the PAGCor Charter.Under this Charter, PAGCOR is mandated to ? Regulate, authorize and license games of chance, games of cards and games of numbers, particularly casino turn in the Philippines ? Generate grosss for the Philippine Governments socio-civic and n ational development programs and ? Help promote the Philippine tourism industry. In June 2007, Republic behave 9847 was passed by the Philippine Congress, extending the corporate life of the put forward-run play firm by 25 age, renewable for anformer(a) 25 years. It as well as prescribed the adjacent amendments to the PAGCor Charter 3 ? ? ? ?PAGCor can enter into agreements including joint venture, with any person, firm, linkup or corporation Requirements to obtain consent of the local government office that has territorial jurisdiction over the area chosen as spot for any PAGCors operations Exclusion of jai alai from PAGCor operations and Delimitation of regulatory authority and power over play activities covered by different populateing certifications, regulatory bodies or special laws. Presently, PAGCor is the third largest taxation-generating arm of the government next to the BIR and the Bureau of usage.From January to November 2011, PAGCor generated gross revenu e of P33. 15 meg, P15. 51 billion of which was channeled to large-scale socio-civic programs. B. Board of Directors The Board of Directors is composed of five (5) members, three (3) of whom shall come from the government sector and shall be appointed by the President of the Philippines and the otherwise two (2) shall come from the private sector who own at least 1 share of stock in the corporation and shall be choose by the stockholders of the corporation in the annual general meeting or in a special meeting called for such purpose.Each Director shall swear out for a term of one (1) year and until his successor shall have been duly qualified and appointed. C. Management PAGCor is managed by its Chief Executive Officer who is the coincident Chairman of the Board. He is assisted by PAGCors President and simultaneous Chief Operating Officer, a Vice-President for Administration, and various department heads. 134 Personnel guidance policies set by the Board of Directors govern th e hiring of personnel.All employees of the casinos and related operate are classified as confidential appointees and their employment is exempt from the provisions of the cut into Code or any of its implementing convenings and regulations. As such, employee unions or any form of employee associations are not allowed to be formed to ensure continuous and unbroken service to its customers. D. PAGCors Operational Highlights PAGCor is engaged in the business of gaming and is the only entity prerogatived by the government to operate casinos in the country. Its major fruit rootages consist of table games, one-armed bandit machines, and chip washing.It in any case offers net profit gaming, internet sports betting, and bingo and slot machine demo units. Internationally recognized games manage Baccarat, Black Jack, Roulette, Craps, Big & Small, Pai Gow Poker, Stud Poker, Pontoon, and Super 6 are operational in its Casino Filipino branches. Aside from table games and slot machines , PAGCor has withal expanded its operations to include the conduct and regulation of bingo games as it expands the image of Casino Filipino from a gaming venue into a vehicle for whole more than than or less entertainment for the whole family. 4 With all those bourn of business transactions, PAGCor is set to uphold its olicy by constantly upgrading and using a state-of-the-art technology to snitch it at par with the top gaming destinations of the world as it puts into action its vision of becoming A international Corporation with a Global Mindset and a Filipino Heart. ? Sources of PAGCors Income PAGCor derives bulk of its income from the winnings of the gaming, slot machine and in-house bingo operations of its antithetical casino branches. The corporation also lines substantial earnings from other sources bid its other regulated gaming activities such as private clear casinos, poker operations, commercial bingo operations, E-games and others. PAGCors earnings PAGCor is th e Philippine government third largest revenue-generating arm, next to the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC). From the time the government went into the direct managements and supervision of casino operations in 1986 up to December 31 2010, PAGCor generated a astounding gross revenues of P355. 575 billion. ? PAGCors contributions to nation building Of the P355. 775 billion total revenues over the concluding 25 years, PAGCors contributions to nation building occured to P203. 646 billion, which comprised 57% of the manners gross earnings during the period.These contributions were in the form of remittances to the BIR and the case Treasury which went directly to government coffers for monetary support farreaching and wide-ranging national the Philippines Sports Commission for the gentility of the countrys national athletes in international sporting events and in cultivating Philippine sports at the grassroots the Board of Claims to give scarcelyic e to those who were falsely accused or prosecuted hundreds of federation development programs of nationwide implemented through the efforts of PAGCors casino host-cities which get a share from the corporations revenues and the Presidents Social ancestry which has been tapped to finance high impact programs such as construction of school bui8ldings, provision of potable water systems in the countryside, and funding of livelihood programs for the marginalized sectors of society, among others. II. Discussions 5 A. Where does PAGCors income go? In accordance with its Charter, PAGCors income is distributed in the pursual manner ? ? ? ? ? % of net winnings goes to the BIR as franchise tax 50% of the 95% balance goes to the discipline Treasury as the National Governments mandated income share 1% of the net exchange income goes to the Board of Claims, an agency under the Department of Justice, which compensates victims of wrongful detention and pursuance 5% of the balance after the F ranchise Tax and the National Governments mandated income share goes to the Philippine Sports Commission to finance the countrys sports development programs and Fixed amount is given to cities hosting Casino Filipino branches for their single community development projects. Aside from the abovementioned mandatory contributions, PAGCor has also tapped as funding source for the capital punishment of the following vital laws ? P 400 million a year or P2 billion in five years to the Early Childhood Car and Development Program ? P100 million initial funding to the Sports Benefits and Incentives bite ? P300 million or P10 million a month to the Gasoline Training and Loan fund ?P250 million to be taken from the remittance to the Presidents Social neckcloth to implement the National Museum cloak of 1998 ? P5 million a month to be taken from the National Treasurys share to support the Comprehensive Dangerous Act of 2002 ? P30 million to fund the Childrens TV Act of 1997 ? P300 million contribution to the Barangay Micro Business Development Fund ? P50 million for the National carry Development Trust Fund and ? P312 million for the Department of Science and Technology. The remaining balance of PAGCors income is then remitted to the Presidents Social Fund to help finance the priority projects of the government. Below is the figure indicating the *distribution of the revenue generated by the Corporation. 6 Based on the 2010 one-year Report of PAGCOR project 1 Income Distribution of PAGCor B. Corporate Social Responsibilities of PAGCor The following are the activities conducted by PAGCor as appended in the Annual Report 2011 of the excogitation 1. 2. 3. 4. Bringing canonical favorable work closer to the Filipino masses Helps b decision victims get back on their feet literally Restoring he Pasig River back to life share-out the Gift of Hope Pamaskong Handog III. Analyses As the third largest revenue generator in the country, PAGCor plays a vital role in the s cotch development and took part of responsibility with regards to fiscal advancement of the country.Aside from the bulk income generated by this establishment, it attracts also the foreign investors to invest in this kind of business thus promoting the country as a tourist spot in terms of legal gaming and shimmer. Even by that, though it brought a cause for the alleviation of the frugal business office as per scrutiny, as a counterpart, it conveys some consequences and also faces problems and issues. The following postd situations prevails the point of view of the owner of this paper as to the current situation of PAGCor and its burdens to the community. Further, some contents of this part contain documentation of issues and problems foundation garment from the current news and information cited from different reliable sources. moreover, the views and opinions of the presenter do 7 ot necessarily reflect the contents or discussion of the incomplete class nor stand point of the subject instructor, thus all the generated opinions are purely coming from the presenter. ? Social Problems With the initial concept of regulating and legalizing any games of chance and dramatic play in the country in order to burn master revenue, presently it gives an psyche to the common battalion to formulate their own versions of establishing in any ways and means which are now considered to be as felonious. Some of the few irregular or unauthorized games or activities that exist are the following cockfighting, jueteng, horse racing bingo and other forms of lotteries, slot machines other mechanical contraptions and devices and online gambling. All the above mentioned activities are against the PRESIDENTIAL edict No. 602 wherein it prescribes stiffer penalties on illegal gambling. Aside from the feature that it contradicts the law of the land, reality check, these illegal actions became a part of the regular activities of those individuals in a community who are w inning their selves to be part of these. Worse comes to worst, these brought an obvious social problems which we encountered nowadays. It entices everyone, old and young even children to be involved in these activities. At an early age, children at this time learn the knowhow of involving their selves in these activities which brought pessimist consequences with regards to their studies and to the habitual lifestyle of the people.This reality is pretended to be unknown to all of us, considered to be a usual activities and unfortunately, big officials are the one who is behind under this operations. If it is the rule of the PAGCor to regulate these illegal activities, then who is in charge of implementing necessary actions to those who make these obvious offenses? What actions were countered already with regards to discontinuing these uncontrolled activities which resulted to criminal offence, death and other anti-humanitarian acts? Is the subject organization took already a resp onse to the matter? Below is a tilt quoted rough illegal gambling by Roy Q. Lagarde in his article The knock off of Legalized maneuver. Gamblings negative consequences are even more than formidable than the flaunted revenues to subsidize purportedly governments social services programs. One which is a visible problem is crime. Historically, crime increases where gambling is legal. Studies showed that tortuous gamblers sometimes turn to criminal activities to support their habit. Gamblers often deal drugs, embezzle, or steal to get money to gamble or to pay gambling debts. Prostitution, and general sexual immorality, likewise rises because of immoral entertainment provided in and approximately gambling houses. In fact, alongside with most gambling dens in pipe manilla paper KTV bars have sprouted like mushrooms, many of which prominently display Japanese characters and signs recruiting GROs. 8 ? Reduce Revenue?It is visible already to the eyes of everybody the population of those activities which are considered as illegal as to the fact that PAGCor is the only institution that is authorizes to establish and to lead those activities. What a misery to mean that even by now those establishment which are considered to be illegal in their operation are still in service of doing their criminal work. Fortunate to the forefront of this criminal movement, it becomes a huge and growing business. Is the institution PAGCor, doesnt bother to imagine what would be the effect of those growing illegal establishment in every region as to the income that is supposed to be generated by the institution? Accessibility wise, those illegal establishments can be nearly reach compare to those firms which are authorized to do such legal acts.If the PAGCor is the one also mandated to regulate those unrule-governed actions what possibly be the actions to be undertaken for the purpose of setoff, taking good care at their primary economic reason of generating revenue for the Republic of the Philippines, second, assessing their role as to the regulation of these rampant rising activities, third preventive measure of responding to this situation and last lawful actions that are needed to be adopte. ? PAGCor Problems and Challenges A. Illegal? becomes Legal? Gambling is a major social problem in the country. Not even the ejector of President Joseph Estrada from Malacanang castling, on charges of receiving jueteng money from syndicates, could abate the problem. Jueteng is said to be a P40-billion business in the Philippines, annually. The need to answer and to come up a solution as to the problem of rampant increase of illegal gambling in the country is quite an undying issue. It can be considered as an infinite problem in algebra, the constant looking for the value of x and y.In that case, the never-ending issue of the involvement of those influential persons is considered as the main angle to relate in this situation. Some if not many of the government officials in the country are involved in these illegal gambling and heard to be as the organizer and supporter of the prohibited gambling and gaming activities. Philippine gambling laws permit a wide variation of licensed and taxed gaming options, yet Jueteng, the nations most general game, is illegal and remains firmly in the hand of organized crime, this statement was stressed in the article of Alex Nevsky, Government Official knobbed in Illegal Sports Betting in the Philippines at the internet site www. gamingzone. om last April 26, 2011, where it was sited also the allegedly involvement of an administration employee in illegal gambling including operating illegal jai alai games and promoting online casino in the country. B. Aware or Unaware? Or Aware to be Unaware? In the promulgated article Is PAGCor a betting illegal gambling? of Alejandro del Rosario at Manila Standard Today Newspaper last December 10, 2011, Senator Aquilino Koko Pimentel questioned the proliferation of gambling houses in the country. He queried also if the certain institution (PAGCor) is properly regulating the operation of these casinos which seem to 9 sprout like wild mushrooms. Senator Pimentel stated that PAGCor seems inattentive in regulating the operation of these private casinos and electronic betting houses and escaped in the granting of licenses to them.During that time, Pimentel heads the Senate committee on games and amusement, thus he seek to send for the adverse effects of these gambling houses on the youth and the rising relative incidence of crime. C. Institutional Problems The following problems were cited based on the thesis of Cecilio Villanueva entitled The Philippine Amusement & Gaming Corporation (PAGCOR) as Government Regulator and doer of Legalized Gambling Its Implications for National gage which was published at www. ndcp. edu. ph last 2008 ? Unclear regulatory functions and procedures in registration/affiliation and granting of licenses ? Lack of co ordination with the Securities and commute Commission, DTI and other regulatory bodies ?Relationship with the newly created Economic Zones Coordinate with PEZA and other entities empowered by law for economic zones ? Relationship with the Local Government Units (LGUs) ? Problems with text scams ? Casinos located close to each other ? Operator Functions Gambling scams and syndicates / foreign terror groups ? Arrogance/rudeness of the players ? Overbearing presence of hookers and financiers to the drive back of players ? Old and out-modeled machines and other gaming equipments ? church buildings continued showdown to PAGCOR ? Perception of graft and corruption ? Discipline/Attitudes of employees ? So many employees of PAGCOR ? More PAGCOR officials and employees be pirated for work abroad ?Tourism Development Political intrigues ? financial Capacities ? How to continue with high income ? Threat of privatization ? Too much expenses for non-organic personnel and ? PAGCOR follow behind in Asian Gaming Industry. Even by now, as we can see and heard at the news, with the recent issues PAGCor is facing, we can more or less say that the institution is still trying to fix what is not being fixed out of those above cited problems. ? Anomalies A. Regulate Authorize WATCHED In line with the article of Alejandro del Rosario, as accorded by Senator Pimentel, the issue is not the big revenue that can be generated by those casinos but they too need to be watched.The Senator recall incidences in past administrations when casino handlers were hazard of skimming from the revenue, where it should be that a portion of the revenue earned from these 10 casinos is supposed to go the Presidents social amelioration fund. He added that the problem is the existence of small private gambling houses that propagate in many areas including residential ones. Signages of private poker clubs are everywhere and when it comes to the gambling houses, all are well shuttered with a guard-do orman usually stationed at the entrance and by that, we can only imagine what else goes on in in that respect. B. Is gambling a cursed? In the paper of Roy Q.Lagarde it was stated by far also, there have been more accusations of anomalous transactions in PAGCOR including the P489 million in rents PAGCOR paid to the Hyatt Manila Hotel and Casino, and the hiring of 116 consultants, 103 retainers and many directors in exclusive clubs. It was further cited also in the said paper the standpoint of Francisco Tatad, erstwhile senator, whom charged Arroyo and some legislators for covering-up allegedly allowing PAGCOR to continue its operation. The senator explained the fact that PAGCOR was created under PD 1067-A, with a 25-year franchise to operate under PDs 1067-A, 1067-B and 1067-C, all issued on January 1, 1977. These decrees were, as yet, consolidated into one PD-No. 869 on July 11, 1983 without changing the 25-year contract, thus, the franchise was to expire January 1, 2002. But the Arroyo administration allegedly railroaded last December a bill which misrepresents the 25-year franchise as having taken effect on July 11, 1983 instead of Jan. 1, 1977, and expiring only on July 11, 2008 instead of having already expire on Jan. 1, 2002. ? Corruptions The biggest problem, in a word, is corruption or at least the potential for it. In many years, not only few government officials have been implicated in gambling-related scandals. Members of can of Representatives constantly sat down in a session to address alleged scandals in the countrys gambling industry.Legislators have been demanding that the PAGCOR open its books to an audit so that the people pull up stakes be able know how the gaming, if gambling, government corporation spends billions of pesos it earns from its operations. Where do these revenues go and how does the general public benefit from them? Rep. Crispin Beltran asked during a mansion session. Its apparent that for all of PAGCORs projections tha t it donates millions to socio-civic projects of the government and contributes to charities, billions more are pocketed by its officials and their business partners in the private sector. PAGCOR is a government institution where corruption is inherent and undeniable. quoted from the article The Scourge of Legalized Gambling by Roy Q. Lagarde at www. impactmagazine. net. To continue, Rep.Robert Jaworski said From what I heard, PAGCOR is the Santa Claus for a lot of government officials and there is no way we could verify this report because of questionable disbursement procedures. I was also surprised that most of its finance are not covered by any auditing mechanism by Commission on Audit. In factual basis, for several years, PAGCORs contributions to the Presidents Social Fund did not pass through the National Treasury until the 11 implementation of E-VAT recently, imposing a 10 percent tax on services not previously covered by the old VAT law including PAGCOR. ? Recent issues IV . Possible Solutions and Recommendations A. PAGCOR to concentrate on its regulatory function The psyche of separating the roles of PAGCor is a situation that they should delve into.It is favorable to imagine separating the role of regulator and operator in order for the institution to focus in its central function though it requires thorough revision. In an article from Philippine Star, Palace Separating PAGCor roles involve further study by Delon Porcalla last skirt 05, 2012, Abigail Valte, legate presidential spokesperson pointed out that Malacanang hinted already the amendment of separating the dual role of PAGCor but it requires further study. Further, PAGCor professorship and chief executive officer Cristino Naguiat Jr. , admitted that the head requires congressional action which means going through the legislative mill all over again .Naguiat said, PAGCor is open to spinning off its casino operations and retaining its regulatory role, to enable it to focus more on obse rve and policing the growing gambling business in the country. He stressed however that doing so would not be easy and that a closer study should be done. The scheme, if implemented, bequeath have an impact on PAGCors financial commitments to national government and sports agencies. B. Privatization In an article of Francis Earl Cueto Gambling is Life, Edward King, spokesman for PAGCor chairman Efraim Genuino, told The Manila Times that first and foremost, one function that people should commend is that PAGCor is a creation of law. The issue of privatizing PAGCor is also very controversial, with several lawmakers thrust for it and even more congressmen against it.King said that while the act can be considered purely from the noble and stemlistic viewpoint that government should not be in the business of gambling, one has to think from the point of view of generating funds for the government. In addition, King said that if the government would privatize PAGCor, then all income g oes to the private sector leaving only a small amount in taxes being paid to the government coffers. If you give PAGCor to the private, they forget just be paying taxes. at that place is a huge difference amongst a fraction of income from taxes to 100 percent, King said. To comment with the situation, the issue of privatizing PAGCor in order to divest itself of assets to be more productive in the hands of the private sector would somewhat be an issue that talks a lot.The idea of transferring the management of the said institution into the private one for damp management and proper delineation of function is a good thing to be heard, it could be beneficial in many ways. But, in my own perception, this dream might be turned into a great nightmare. We dont know if those lawmakers/government officials have their own personal and undercover agenda of buying and operating 12 PAGCor as we could not get over the fact that the institution is producing bulky of pennies. This is the simp le analogy, privatize PAGCor then, they get the income the lawmakers may perhaps be getting their own kickbacks from certain lobby groups who penury PAGCor for their personal purpose.If PAGCor will fall to the hand of those private individuals, then who will now regulate the activities of PAGCor? The point of arriving to this situation selling another GOCC emanates from the idea of poor management, corruption and undying anomalies. If that is the case, then the target is to seize the rats that lento rotten the house and scrutinize the system and procedures brought by those pests. C. Abolish and shoemakers last PAGCOR. The call for the abolition of the governments legitimate gambling institutions came as their funds were allegedly being used for political rather than freehearted purpose. The recommendation to shut down Pagcor could be a major answer because of reports of fund misuse, Deputy Presidential Spokesperson Abigail Valte said.To note with the issue, let us not forget that the ultimate goal of the mandate of PAGCOR, is to provide assistant to those in need. It is better to put in place systemic reforms first and see whether these systemic reforms will work before we talk about what really should be done to the agencies. In another way, it is indeed a fact that the institution is generating bulky income which serves as a great help in giving financial support for the economic development of our country. D. Formulated Solutions from thorough study As per cited abovementioned problems in the thesis of Cecilio Villanueva, below are the suggested solutions as respective counterpart ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ?Issue clear guidelines on licensing, grants of authority Establish linkages with the SEC, DTI and other regulatory agencies Establish clear operational guidelines with the L GUs in view of RA 9487 Seek clear guidance from NTC, DTI and other government agencies Review zonal locations of the casinos or centers being applied for intercha nge PAGCOR to curb illegal gambling Launch PR campaign / Security Measures Beef up security / Investments in CCTV cameras Find partners under the 60/40 arrangements Corporate Social Responsibilities Foster good relations with the Church Establish Resident Ombudsman and COA to issue or make public records for transparency Seminars on values, productivity Strengthen the Disciplinary Board Screening, testing of pplicants be system Human Resource Development Loyalty awards Focus more on hotel industry/ tourism Vigorous marketing efforts to attract players 13 Glenne B. Lagura http//dnsc. academia. edu/ennelgArugal ? ? ? In-depth study on privatization Contract-out the services of the non-organic personnel and Vigorous marketing efforts. V. coda Despite the surge of PAGCor income that has succeeded immensely in supporting the cash-strapped government, several lawmakers, nongovernment organizations and particularly the religious sector are still firmly against government engaging in t he business of operating casinos. Many Filipinos have long suspected that gambling money finances political campaigns in this country. But this has never been established as fact.The politicians who benefit from gambling funds will for sure lack the political will to spearhead an investigation. Reflecting the sentiments of the political leadership, law enforcers will also have no interest in verifying those perceptions. There are cops who even openly admit that gambling money finances police operations in certain areas of the country. Complicating the problem is the unsure state policy on gambling, which deprives the government of the moral high ground to go down on illegal numbers games popular among the poor such as jueteng. Despite new laws imposing stiffer punishment for illegal gambling, jueteng continues to expatiate and enrich gambling lords.The government could go after these gambling barons and trollop one of the largest sources of corruption by applying new laws against money laundering or even old laws on tax evasion. Lawmakers could pass legislation that will compel transparency in campaign contributions. It may be unfeasible to stop Filipinos from gambling, but it is not impossible to discourage the corruption that is be by illegal gambling Unfortunately for the nation, political will has invariably been lacking in both the executive and legislative branches when it comes to stopping the point of money, especially big money, regardless of the source. The status quo has worked for the typical Filipino politician, whose spatial relation is, if it aint broke, why fix it?On the other hand, the idea of Senator Ralph Recto that the PAGCOR pork should go to national budget is agreeable it applies the mere construction Prevention is better than Cure. This is to prevent also the abuse of misusing the money which can be avoided if the discretionary funds were written into the General Appropriations Act (GAA) or the national budget. 14 References Ne wspaper/ Published Journals Burning House Infested with Rats is not Right Solution to Problem. Philippine chance(a) Inquirer ( January 16, 2012). Retrieved contact 1, 2012 from http//opinion. inquirer. net/21183/burning-house-infested-withrats-is-not-right-solution-to-problem Cabacungan, G. (2012, February 28).Lawmakers rally round PAGcor, move to ban Wynn. Philippine Daily Inquirer. Retrieved March 03, 2012 from http//globalnation. inquirer. net/26911/lawmakers-rally-round-pagcormove-to-ban-wynn Calica, A. (2011, July 09). Palace No need to abolish PCSO, PAGCOR, The Philippine Star. Retrieved March 15, 2012 from http//www. philstar. com Cueto, F (2007, February 25). Gambling is Life. Retrieved March 13, 2012 from http//www. skyscrapercity. com/showthread. php? t=647381 Del Rosario, A. (2011, December 10). Is PAGCor a betting illegal Gambling?. Manila Standard Today Newspaper. Retrieved February 16, 2012 from http//www. manilastandardtoday. com/insideOpinion. htm? =2011/dece mber/ 10/andydelrosario. isx=2011/december/10 Diaz, J (2011, July 27. Lawmakers seek probe of PAGCor Anomalies. The Philippine Star. Retrieved March 20, 2012 from http//www. philstar. com Lagarde, R. The Scourge of Legalized Gambling. Retrieved March 12, 2012 from http//www. impactmagazine. net/v39v09/coverstory. htm PCSO, PAGCOR Pork should go to National reckon Recto. abscbnNEWS. com(2011). Retrieved March 10, 2012 from http//www. abscbnnews. com/nation/07/13/11/pcso-pagcor-pork-should-go-natlbudget-recto Privatized PAGcor to bring in more revenues for govt. abscbnNEWS. com(2011). Retrieved March 10, 2012 from http//www. abscbnnews. om/ nation/08/16/10/privatized-pagcor-bring-morerevenues-govt Porcalla, D. (2012, March 05). Palace Separating Roles needs further Study. The Philippine Star. Retrieved March 5, 2012 from http//www. philstar. com PDF Files 15 A Profile of Selected GOCCs. pdf PAGCOR Annual Report 2010. pdf Presidential Decree No. 1602. pdf Thesis Villanueva, C (2008). The Ph ilippine Amusement and Gaming corporation (PAGCOR) as Government Regulatorand Operator of Legalized Gambling Its Implications for national Security. Retrieved March 15, 2012 from http//www. ndcp. edu. ph/library/thesislist. php? start=1661 http//dnsc. academia. edu/ennelgArugal Glenne B. Lagura 16