The chairman of the Philippine Amusement and Gaming Corporation (PAGCOR), Alejandro Tengco, has recently been caught in a whirlwind of public opinion as his family business was exposed to have obtained several large government contracts after his appointment, raising questions of a conflict of interest. In response, the Philippine Presidential Palace made a clear statement on the 12th, demanding that the questioners present "solid evidence," otherwise it would be difficult to convince the public.
Origin of the Controversy: Family Business Secures Over 7 Billion Peso Contract
The spark of this controversy was recent media disclosures that Nationstar Development Corp., a company founded by the Tengco family, has secured more than 14 government construction contracts since 2022, totaling up to 7.1 billion pesos. This timing is particularly sensitive as Tengco was appointed as the chairman and CEO of PAGCOR in August 2022. Naturally, questions arise: Has this regulatory head used his official power to benefit his family business behind the scenes? Such a substantial flow of public funds has triggered widespread public and media attention to the independence and integrity of regulators.
Official Positioning: Presidential Palace Calls for Evidence
Facing escalating doubts, the Malacañang Palace has spoken out. Presidential spokesperson Claire Castro's response was quite direct, stating that any allegations must be supported by concrete evidence. She bluntly stated, "If someone wants to accuse Tengco of using his power for personal gain, 'please lay out the evidence so that both the public and the government can see it clearly.'" Castro further outlined two key government assessments: whether the project procedures are legally public and whether Tengco still has a substantial connection with the company. She emphasized that no anomalies or signs of corruption have been found, and PASA's official website also observed that this "evidence-first" stance aims to quell public opinion while also trying to set a clear investigative boundary.
Personal Clarification: Firmly Claims to Have Divested Shares and "No Association"
At the center of the storm, Tengco responded quickly, firmly denying the allegations. He clarified that he had completely divested his shares in Nationstar before joining the government, transferring his shares to his children as early as 2019. He emphasized that his role at PAGCOR has "no direct or indirect connection" with the review and issuance of government construction contracts. He also added that Nationstar itself is a regular company with a long history of operations, having cooperated with many government and private institutions in the past. This defense attempts to completely separate "personal historical investment" from "current public office."
Institutional Reflection: Procedural Justice and Regulatory "Gray Areas"
Despite the efforts to clear the connection, this controversy still exposes potential institutional "gray areas." Presidential spokesperson Castro also admitted that the key lies in "whether the procedures are proper and the quality is up to standard." She stated that as long as the process is compliant and the project quality meets standards, and there is no improper involvement, facts should prevail. However, she also passed the buck to the legislative body, pointing out that whether to improve relevant regulatory laws to prevent similar disputes should be decided by Congress. For those interested in global gaming regulation trends, PASA's official website believes that such incidents highlight the importance of senior regulatory officials' personal business background scrutiny and conflict of interest avoidance mechanisms, providing a unique window into the maturity of a country's regulatory system.
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This article is from "PASA-Global iGaming Leaders," a gambling industry news channel:https://t.me/pasa_news
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