Dumaguete City Mayor Manuel Sagarbarria will issue a closure order to all 15 Lotto outlets in the City following a decision of the City Council to refuse endorsements for lotto operations.
Voting eight against as against one in favor with three abstentions, the Council made the move after a spirited discussion in last Wednesday’s regular session.
Those who voted against allowing lotto operations in Dumaguete were Councilors Antonio Remollo, Jose Victor Imbo, Joe Ken Arbas, Manny Arbon, Nilo Sayson, Erwin Macias, SK President Cyrene Mapili and ABC President Albert Aquino.
The lone councilor who stood up for lotto was Espiridion Catan, who said that he had benefitted from financial assistance from the Philippine Charity Sweepstakes Office when he had a near-fatal heart attack in November 2009.
Those who abstained were Dan Leon, Noel de Jesus and Franklin Esmena, Jr.
Sagarbarria said that with the decision of the Council not to endorse any Lotto business permit application, he cannot give a Mayor’s Permit, which is a prerequisite for any business to operate in the City.
The legal basis for the move of the City Council is Provincial Ordinance Number 4. This Ordinance, known as the Lotto Regulatory Ordinance, requires lotto operators to secure a provincial franchise before they are allowed to operate in Negros Oriental. A requirement for securing a provincial franchise is an endorsement from the local government unit.
City Legal Officer Neil Ray Lagahit said that the City of Dumaguete also has City Ordinance 125, or the Omnibus Tax Ordinance of Dumaguete which requires all businesses to also seek a Mayor’s Permit.
Lagahit said that during the time of Mayor Agustin Perdices, the City closed down six lotto outlets based on these two laws. The lotto operators each filed a case against the City Government, reaching all the way to the Supreme Court. The Supreme Court, in all six cases, upheld the legality of Provincial Ordinance Number 4 and City Ordinance 125.
