Dear PAO,
Hope you can help shed clarity on the matter. I work as a barangay staff in a municipality in Bacolod. During our annual meeting, we discussed how the barangay can raise funds for its various projects. Someone suggested that we hold a bingo event to raise funds. However, we do not want to violate any gambling laws. Do we need to secure a permit from the Philippine Amusement and Gaming Corp.? We would like to be guided on whether such activities by a barangay are allowed.
-Amor
Dear Amor,
At the onset, Section 391, paragraph 11 of Republic Act 7160, otherwise known as the Local Government Code of the Philippines, provides:
“Section 391 - Powers, Duties, and Functions. - (a) The Sangguniang Barangay, as the legislative body of the Barangay, shall: xxx
“(11) Hold fund-raising activities for Barangay projects without the need of securing permits from any national or local office or agency. The proceeds from such activities shall be tax-exempt and shall accrue to the general fund of the Barangay: Provided, That in the appropriation thereof, the specific purpose for which such fund-raising activity has been held shall be first satisfied: Provided, further, That no fund-raising activities shall be held within a period of sixty (60) days immediately preceding and after a national or local election, recall, referendum, or plebiscite: Provided, finally, That said fund-raising activities shall comply with national policy standards and regulations on morals, health, and safety of the persons participating therein. The Sangguniang Barangay, through the Punong Barangay, shall render a public accounting of the funds raised at the completion of the project for which the fund-raising activity was undertaken;”
Based on the above-cited provision of the Local Government Code of the Philippines, barangay (villages) are vested with authority to conduct fund-raising activities without the need of securing permits from any national or local office or agency.
So, the question now would be, will this constitute illegal gambling even without a permit from the Philippine Amusement and Gaming Corp.?
The answer is based on Section 10, paragraph 3 of Presidential Decree 1869, otherwise known as the Pagcor Charter, as amended by Republic Act 9487, which states that:
“Section 10, Nature and Term of Franchise - xxx
“The authority and power of the PAGCOR to authorize, license and regulate games of chance, games of cards and games of numbers shall not extend to: (1) xxx; (2) xxx; and (3) games of chance, games of cards and games of numbers like cockfighting, authorized, licensed and regulated by local government units.”
Moreover, this was affirmed by the Supreme Court, through Associate Justice Jose Midas Marquez, in the recent case of Republic of the Philippines and the City of Baguio v. The Association of Barangay Councils, represented by its president, Rufino M. Panagan, GR 207118, April 22, 2025:
“As such, while Republic Act No. 9487, which amended PAGCOR’s franchise, explicitly confers to PAGCOR the regulation of bingo games nationwide, the same amendatory act likewise excludes from PAGCOR’s authority and powers ‘games of chance, games of cards and games of numbers ... authorized, licensed and regulated by local government units.’”
Therefore, based on the foregoing, as long as the bingo event to be organized by your barangay is for fund-raising purposes to support its projects, the same is legal, and will not require a permit from the Pagcor.
We hope that we were able to answer your queries. This advice was based solely on the facts you have narrated and our appreciation of the same. Our opinion may vary when other facts are changed or elaborated.
Thank you for your continued trust and support.
Editor’s note: Dear PAO is a daily column of the Public Attorney’s Office. Questions for Chief Acosta may be sent to dearpao@manilatimes.net