Philippine DOJ comments on casino ban

The Department of Justice said the President may need to enforce its casino ban on Boracay through an executive order.

Philippines.- After the island of Boracay was closed by the Philippine authorities for a clean-up, President Rodrigo Duterte confirmed his stance on the casino ban in the area. The government urged the Philippine Amusement and Gaming Corp. (Pagcor) to cancel all casino licences from the Boracay island through a letter by the Boracay Inter-Agency Task Force (BIATF), but the local Department of Justice (DOJ) says the measure may need an executive order (EO) to be enforced.

“The President may, by an EO, direct the PAGCOR (Philippine Amusement and Gaming Corp.) to prohibit the grant of licenses to casinos in Boracay and cancel existing license already granted… An EO is proper to direct PAGCOR to hold the grant of licences to casinos in Boracay and to revoke existing licenses,” a legal opinion signed by Justice Secretary Menardo Guevarra says.

“The State possesses police power to prohibit gambling in the Philippines or any part of it and this power was validly delegated by law to the PAGCOR, a government corporation, which is subject to control by the President,” the DOJ added.

According to the legal body, “a licence can be granted, revoked or withheld renewal at the instance of an issuing authority like the PAGCOR because it is an act of grace, a grant of privilege not regularly available to other persons” and explained: “The provisions of a contract, on the other hand, are premised on mutual agreement of parties.”

“As we already stated, the regulation of gambling and casinos – including the recall of provisional licences – is a valid exercise of police powers, the operators cannot, consequently, say that an EO directing the revocation of existing licenses violates the non-impairment clause under the Constitution,” they said.