It took eight years. He hardly had any backing. But Yeng Guiao finally got his victory at the Supreme Court for Philippine sports.
The high court on Thursday unanimously decided in favor of Guiao, ordering the Philippine Amusement and Gaming Corporation (PAGCOR) and Philippine Charity Sweepstakes Office (PCSO) to remit a portion of their income to the Philippine Sports Commission (PSC).
Guiao, who was then a representative of Pampanga and the chairperson of the House Committee on Youth and Sports Development, filed a petition for mandamus back in 2016 to remit the funds in accordance with Republic Act No. 6847, the law creating the PSC.
The decision was promulgated last May 2024 but only uploaded and announced this August.
"Walong taon kong hinintay 'to. Nagpapasalamat ako kina Justice Marvic Leonen at sa lahat ng justices, kasi unanimous 'tong decision na 'to," Guiao said on One PH's Power & Play with Noli Eala.
"Binigyan nila ng hustisya ang Philippine sports, ang ating grassroots program."
What is the case about?
Under RA 6847, 30% of the charity fund and the proceeds of six sweepstakes of lottery draws per year, along with taxes on horse races during special holidays are to be used for PSC funding.
Five percent of PAGCOR's gross income, the proceeds from sale of stamps, and three percent of taxes collected from imported athletic equipment would also be sent to the PSC.
Guiao raised the issue that PAGCOR and PCSO failed to comply with the remittances in full for years.
PAGCOR argued the PSC is not entitled to the full five percent of their gross income, claiming the Commission's share is down to 2.1375%.
They explained PSC's share is subject to the deductions of the five percent franchise tax, 50% share of the national government, and 10% subsidy to the National Power Corporation.
PAGCOR based its argument on memoranda starting from 1993 under then-President Fidel V. Ramos, which slashed PSC's share from 4.75% to 4.51%, and further down to 2.1375%.
Meanwhile, PSCO claimed PSC's 30% allocation is sourced from sweepstakes draws, not from lotto games.
The Supreme Court's decision
The high court ruled in Guiao's favor, stating that the law does not state the allocation to the PSC is subject to deductions.
The Supreme Court pointed out that PAGCOR's five percent allocation for the PSC is "unqualified" and without deductions, adding that Congress intended for the remittance to be based on gross income.
That means PAGCOR is mandated to remit five percent of its gross income per year--after deduction of its five percent franchise tax--from 1993 to the present to the PSC.
"Surely, mere memoranda approved by the President cannot find supremacy over a statute," Leonen wrote as ponente.
As for the PCSO, the Court ruled that "lottery" has three elements: consideration, prize, and chance. Based on this definition, lottery as stated in the law covers the lotto draws conducted by the PCSO.
That means PCSO is then mandated to remit 30% of the charity funds proceeds of six sweepstakes or lotto per year--including lotto draws--from 2006 to the present.
Guiao: 'Naglakas-loob lang tayo'
Guiao, a former Pampanga vice governor before successfully running for Congress in 2013, admitted he didn't have much backing when he tried to push his case.
"Sa [Office of the President] pumapasok 'yung pondo na 'yun na dapat sa PSC, walang gustong kumontra," the current coach for the Rain or Shine Elasto Painters said. "'Pag kumontra, [baka] magtampo si Malacañang."
"Naglakas loob lang tayo. 'Coach, pati na naman Malacañang, lalabanan mo dyan?' Tama naman ginagawa natin, eto 'yung nasa batas," he recounted. "Walang gustong sumama sa'kin, ako lang nag-file."
The only person by his side was Atty. Avelino Guzman Jr., who helped him with the filing and other legal processes.
"Wala akong pambayad ng abogado, pinaglaban lang namin 'to," Guiao added.
What the funds could be used for
Guiao estimates that the remittances owed to the PSC--dating as far back as 1993 and 2006--could reach 25 billion pesos. B, for billions, he emphasized.
Eala, who is the former PSC commissioner, discussed how their monthly budget was around 120 to 150 million pesos a month. That is under the 2.1375% allocation from PAGCOR.
They pointed how this would then become more than double should PAGCOR remit the full five percent--plus the 30% from PCSO.
Guiao noted the amount would be enough to build a sports complex per region--featuring a basketball court, a volleyball court, a swimming pool, a track oval, and a football field. Perfect for riding the momentum of the Philippines' recent victory in the Olympic Games Paris 2024.
"Andaming mahihilig sa sports," he said. "At kung 'di mahilig sa sports, eh 'yung ma-e-entertain ka, manonood ka, maglalakad ka, just for general health."
He also noted how athletes could then be paid well, along with their coaches. There would also be sufficient funding for their training abroad, as well as their equipment.
There would also be funds for the National Training Center and the National Sports Academy.
"May pondo na tayo para dyan," Guiao said, "May pondo na."
In the Supreme Court decision, Leonen recognized that the PSC has been underfunded for years.
"It has now come to the attention of this Court that the Commission has been neglected for decades," he wrote.
"In the end, it is not the Commission which stands to be adversely affected by the lack of remittance of other governmental agencies. Instead, it is the Filipino athletes and youth that lose the most," Leoned added.
"Salamat kina Justice Marvic Leonen at sa lahat ng justices, nakita na talagang etong pondong 'to, dapat makinabang mga atleta, mga sports programs ng Pilipinas for generations to come," Guiao said.