The Philippine Amusement and Gaming Corp. or Pagcor has found an unlikely ally in Buhay party-list Rep. Lito Atienza, the House Senior Deputy Minority Leader, who backed the deal entered by the government corporation with a private company regarding the Army Navy Club property in Manila.
Atienza said while the primary objective of allowing private companies to invest in the property was to help restore and preserve the ageing facility, it would be up to the investors to come up with other forms of business ventures to recoup their investments.
Atienza was mayor of Manila when the Army Navy Club property along Roxas Boulevard was opened for private investors.
“I don’t see anything wrong with Pagcor entering into a business agreement with a private corporation to put up a casino within the Army Navy Club property,” the lawmaker said.
The House of Representatives, through the committee on good government and accountability, is probing the contract entered into by Pagcor with Vanderwood Management Corp.
Pagcor, then chaired by Cristino Naguiat, signed a 15-year lease contract with Vanderwood to put up a P1.5-billion casino and gaming facility at the Museo Pambata Complex on Roxas Boulevard.
Naguiat insists the contract with Vanderwood is legal and aboveboard, and will even save the government P187 million a year compared to other gaming facilities it maintains in other hotels.
He also said the government is also expected to earn about P59.17 billion in revenues from the Vanderwood casino in the Army Navy Club property.
In a position paper submitted to the House committee on good government and accountability, the former Pagcor chief said the 15-year lease the government agency signed with Vanderwood went through the proper and legal processes.
The committee, chaired by Surigao del Sur Rep. Johnny Pimentel, started an inquiry into the alleged anomalous P13-million monthly lease of Pagcor of a portion of the Army Navy Club to Vanderwood.
Atienza said the major issue Pagcor needs to answer is whether there is overpricing or overestimating in the contract with Vanderwood.
“Pagcor has to defend itself here,” said the solon. “If there was no overpricing, overestimation or any other illegal act, then there is nothing wrong.”
Atienza clarified the agreement was reached during the time of former President Benigno “Noynoy” Aquino, when he was no longer mayor of Manila. Atienza is a critic of Aquino, who appointed Naguiat to Pagcor.
