STL firm in Albay owes gov’t P250M, says PCSO

The company operating the state-sanctioned Small Town Lottery (STL) in Albay province ran up a P250-million debt to the government for failing to remit its monthly sales quota, an official of the Philippine Charity Sweepstakes Office (PCSO) said.

Alexander Balutan, PCSO general manager, confirmed the ongoing corporate dispute involving members of the board of Lucky V Prime Enterprises Inc.

Alex German Alemania, Lucky V chair, died on Monday, five days after he and a female companion were shot in Legazpi City.

Police arrested suspected gunman Michael Malveda but killed the other suspect, Marlon Magsino, during pursuit.

Investigators traced Malveda’s address to Lipa City while Magsino to Malvar town, both in Batangas province.

Sources in Batangas who know about STL operations said Alemania was being financed by an official in Lipa City.

PCSO said Lucky V was awarded the franchise to operate in Albay last year after settling a government bond worth P15 million.

Police reports said that before he died, Alemania executed an affidavit naming two Lucky V board members as possible suspects in the attack.

According to Balutan, the PCSO allows outside financiers, as long as the company settles its obligations to the government, among these the monthly Presumptive Monthly Retail Receipts (PMRR).

The PMRR is the presumed monthly sales set by the government to ensure that it is not dealing with “fly by night” corporations, he said.

“How to control (the financiers and the operations) was up to the chair (Alemania). Outside na kami doon (We’re not part of that),” Balutan said in a telephone interview on Wednesday.

In the case of Lucky V, its PMRR is set at P77,640,000.

“Accordingly, to our assessment, Lucky V is earning P4 million daily or P120 million monthly. This is where greed comes in, the reason for not remitting correct PMRR to the PCSO and internal dispute,” Balutan said.

“They’ve (Lucky V) been warned. We told them to settle their issue lest they end up the same as the operator in Pangasinan (province),” he added.

The PCSO this month revoked the authority of Golden Go Rapid Gaming Corp. in Pangasinan for its failure to remit its sales shortfall.   —WITH REPORTS FROM JODEE AGONCILLO