Asian Economic News: Popular Philippine gambling game to be resumed

MANILA, June 17 Kyodo It's jai-alai time again for gambling-crazy Filipinos. The popular ball-and-basket game that attracted heavy betting in the past will be resumed soon, after having been banned in the country. Alice Reyes, the head of the government-run Philippine Amusement and Gaming Corp. (Pagcor) confirmed Thursday that Pagcor has signed an agreement with private firms Belle Jai-alai Corp. and Filipinas Gaming Entertainment Totalizer Corp. to revive jai-alai in the Philippines. She said jai-alai -- a Spanish Basque ball game with rules similar to handball -- will be resumed at no cost to the government, but proceeds will be split among Pagcor and its two private partners. The contract breaks a three-year deadlock that stalled the return of the popular game, which was shut down by then-President Corazon Aquino in 1986 as part of her government's antigambling campaign. In 1994, jai-alai was resumed by another private firm, Associated Development Corp., using a franchise issued by the Manila City government in the 1970s. Congress, however, ruled later that the firm needed a new legislative franchise and ordered the closure of the fronton (court) on Feb. 17, 1995. Under the joint-venture agreement, Pagcor will operate the arena and supply the personnel. Retail tycoon Henry Sy's Filipinas Gaming owns the fronton, while Belle will provide the capital and will run as many as 300 off-site betting stations throughout the country. Executive Secretary Ronaldo Zamora was quoted by local newspapers as saying the government stands to gain as much as 200 million pesos (5.3 million dollars) in "goodwill money" alone with the signing of the contract and a substantial amount in non-tax revenues for the pro-poor projects of the cash-strapped administration. "Basically, it's a good deal that we could not pass up," the Philippine Star quoted Zamora as saying. He said the contract was closely scrutinized by the government and does not violate the constitutional provision that only Congress can grant gambling franchises. Zamora clarified the deal does not vest the private parties with any franchise or license to engage in jai-alai because the operations will be undertaken by Pagcor itself. The date for the relaunching of the game has yet to be set, but Pagcor officials were quoted as saying June 19 is being eyed as a possible date.