Olongapo SubicBay BatangGapo Newscenter

Monday, May 15, 2006


The Legend International Resorts Limited (LIRL), a hotel and casino operator in Subic, has deplored the mobster-like take-over of its facility, charging that the Philippine Gaming and Amusement Corporation (Pagcor) had used these strong-arm measures to get rid of “uncooperative” foreign investors in the free port.

“They are again scaring away investors who have seen the potential of the Philippine as tourist haven in Asia, ”Khoo Boo Boon, LIRL chief executive officer, said.

Khoo said Pagcor men, together with some policemen brandishing high- powered firearms, barged into the casino facility and served a supposed order that canceled the casino’s license. The order came from the Pagcor board.

“The Pagcor men were very rude and they forcibly entered the casino, and harassed our security staff, casino personnel and other hotel guests, “Khoo said.

“The manner with which these Pagcor men enforced the closure order was barbaric and without due regard to Philippine laws and its court of justice,”Khoo added.

Khoo said the order revoking LIRL casino license had no legal basis and was highly irregular. He said the order violated two court orders issued by the Olongapo Regional Trial Court.

One decision, issued December 28, 2004, enjoyed Pagcor from taking any adverse action that will suspend, limit or modify LIRL’s license to operate a casino in the Subic free port. In effect, Pagcor cannot cancel LIRL’s license without violating this order.

The second decision, issued November 9,2004, ordered a stay in the enforcement of any claims against LIRL,’’whether for money or otherwise and whether such enforcement is by court action or otherwise.’’

It should be noted that Pagcor used threat and intimidation to amend the Original contract and force LIRL to cough out an additional P5 million a month on top of the 15% of sales in the agreement. Obviously, the Pagcor board order to revoke LIRL license and close its casino is illegal. Pagcor completely ignored these two court orders which were immediately executory, Khoo said.

Since LIRL hasn’t done anything wrong, much less breach any agreement or contract with Pagcor, we can only surmise that the state gaming agency wants us out of Subic to make way for another casino operator, Khoo said.

Subic insiders disclosed that some Pagcor officials have been discretely moving to get a second casino operator in the free port. This is already violative of the Pagcor agreement with LIRL which enjoys exclusive rights to operate the casino in Subic.

Khoo said LIRL lawyers are now preparing criminal charges against the erring Pagcor officials.


  • Yes indeed, the forced closure is intended to favor the 2nd casino operator inside SBMA which is located just in front of Legend Hotel. Foreign investors are captive once they already infused their funds.

    By Anonymous Anonymous, at 5/16/2006 11:29 AM  

  • GMA should intercede in this situation, this is not the time to loose investors and jobs. Its enrollment time and employees's children maybe put in jeopardy because of PAGCOR's action

    By Anonymous Anonymous, at 5/16/2006 2:02 PM  

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