Phillipine Inquirer February 10, 2000

Gambling exec defends 'tele-sabong' By Volt Contreras

AN OFFICER of the gambling company behind a scheme to bring cockfight betting into the country's living rooms has come forward to explain the proposal which, even as he spoke, was already on the desk of President Estrada seeking an executive order so the firm can conduct ''test'' operations nationwide.

''Tele-Sabong,'' touted as a pioneering concept in revenue generation, would allow the public to bet on fighting cocks with the aid of live TV broadcasts and computer linkages.

''It's the first of its kind in the world,'' said Bello Acosta, project coordinator of Inter-Petal Recreational Inc., which is seeking to obtain the franchise to what promises to become the latest revenue-generating gambling scheme of the Estrada administration.

Acosta sought the INQUIRER yesterday after the paper reported on a House bill seeking a congressional franchise for the firm.

According to Acosta, the IPRI board was headed by Fernando Campos, a son-in-law of former President Carlos Garcia who became officer-in-charge of Cavite after the Edsa Revolution from 1986 to 1988. He later served as defense undersecretary in the Ramos administration.

Once granted a franchise, IPRI would be able to realize its ''Tele-Sabong Wagering System.''

Acosta claimed that Tele-Sabong could raise at least P2.67 billion in annual revenues for the government in its first year of nationwide operations, apart from giving cockfight fans the chance to win up to six-digit figures, ''lottery style,'' off a mere P10 wager through various betting combinations.

Gambling country

But IPRI's special type of cockfight already has opponents in the House. Lakas Representatives Robert Ace Barbers (Surigao del Sur) and Federico Sandoval (Malabon-Navotas) have expressed their strong opposition to Tele-Sabong, saying the ''country is already up to its neck on gambling.''

''Gambling is not a crowded industry that should prod us to encourage its further proliferation. We must draw the line somewhere, otherwise what will come next? On line cara y cruz (coin-tossing betting game) and tele-spider fights?'' they said in joint statement.

Aside from a congressional franchise, Acosta said IPRI was initially seeking an ''executive order'' from Mr. Estrada that would allow the firm to initially put up at least 10 frontons nationwide.

Under the Tele-Sabong system, frontons are venues to which cockfights happening in actual cockpits would be broadcast live.

In effect there will be three places where people can place their bets--at the cockpit during the actual cockfight, at the TV-equipped frontons, and at on-line betting stations.

Computers will add up the bets to arrive at the pot per fight. Franchise and withholding taxes can be deducted off the total prize.

'Endorsement papers'

Acosta said IPRI had furnished the Office of the President ''endorsement papers'' from various government agencies led by the Department of Finance, Bureau of Internal Revenue, Games and Amusement Board, and the Senate's Tax Research Center under the committee on ways and means.

The papers were sent through Executive Secretary Ronaldo Zamora about three months ago, Acosta said.

''We need the executive order so we can put up the equipment and test (the concept) in at least 10 strategic points throughout the country,'' he said.

The EO, Acosta explained, would empower the GAB to monitor the cockfight operations and the bet placements, and also give IPRI legal leverage to ensure the passage of municipal or city ordinances allowing Tele-Sabong frontons to be set up in chosen localities.

From such a test run, IPRI can then provide the House of Representatives with ''data'' to convince lawmakers of the feasibility of Tele-Sabong and ultimately grant the franchise to IPRI, he said.

The House bill, authored by Bohol Rep. Erico Aumentado, is still up discussion by the committee legislative franchises.

Acosta said that with an EO from Mr. Estrada, IPRI can easily tap ''Malaysian and Australian partners who are ready to join.''

He said IPRI sees the initial cost of putting up Tele-Sabong nationwide at P200 million.

'Tax ordinance'

But the concept is not really new, he said. A prototype of Tele-Sabong was actually approved for implementation through a ''tax ordinance'' by the municipal government of Dasmariñas, Cavite, as early as 1992. IPRI operates the largest cockpit arena in that town.

Actual operations did not begin until 1996 when the provincial government under then Gov. Epimaco Velasco endorsed the concept as well. Acosta said Tele-Sabong--confined within Dasmariñas--had been held ''on and off'' until operations were suspended last year.

But the system back then was still rather primitive as it did not employ computers and TV screens. Instead, simple ''tickets'' were used in placing and tabulating bets coming from outside the arena proper, he said.

In its project proposal, a copy of which was obtained by the INQUIRER, IPRI justified the legality of Tele-Sabong, saying the Constitution empowers local government units to create sources of local taxes, including cockfighting--provided that it will be regulated.

It read: ''Cockfighting is totally a local government concern after the dissolution of the Philippine Gamefowl Commission. With the powers granted by Section 5, Article X of the 1987 Constitution, authorizing local government to raise new sources of revenues, LGUs can now franchise, by delegation of legislative powers of Congress, the holding of on-line cockfighting within (their) boundaries.''