Porac, Pampanga — A group of former Porac, Pampanga officials, including a mayoral candidate, have been suspended for their involvement in the controversial establishment of the Lucky South 99 online gaming operation.

The suspension stems from a complaint filed by the Department of the Interior and Local Government (DILG) Undersecretary Juan Victor R. Llamas with the Ombudsman. The complaint alleges that the officials, including former councilors, signed a Letter of No Objection (LONO) for the project, which paved the way for its operations in 2019.

Those suspended include former councilors Maynard T. Lapid, Francis Laurence Tamayo, Roman Paul C. David, Remberto M. Lapid, Rito S. Buan, Michelle C. Bengco, Princess L. Buan, Edwin L. Abuque and Jin Mikhaela M. Canlas.

Mayoral candidate Mike Tapang and former vice mayor Charlie O. Santos, as well as former councilors Rafael M. Canlapan, Adrian R. Carreon, Essel Joy C. David, Hilario D. Dimalanta, Michelle B. Santos, John Nuevy L. Venzon, Rohner L. Buan and Regin B. Clarete (deceased) were also implicated.

The Ombudsman found the officials guilty of “Gross Neglect of Duty” for their role in approving the LONO, which allowed Lucky South 99 to obtain necessary permits from the Philippine Amusement and Gaming Corporation (PAGCOR).

The LONO, a resolution passed by the Porac Sangguniang Bayan in November 2019, expressed support for Lucky South 99’s application for a business permit and other licenses. The resolution stated that the company would contribute to the local economy and create jobs.

“The Lucky South 99 Outsourcing Inc. pursuant to the company’s Articles of Incorporation, shall engage in the export of services by the way of business process outsourcing, serving as an independent contractor performing and offering front and back office services including but not limited to the establishment of contract centers, handling information technology-based business functions and processes, inbound and outbound calling, sales facilitation, logistics, economic management, customers service, technical support and the provision of promotional, maintenance, training, communication, testing, market research, web design and development, content writing and other administrative services outsourced buy foreign business entities, particularly but not exclusively to those in the casino and hotel resort industry without being engaged as an Internet Service Provider,” said the municipal resolution.

“As a prelude to their (Lucky South 99) applications to various government offices, for franchise, license and other permits, is requesting for a Sanggunian’s Resolution of No Objection,” it added.

However, the Ombudsman’s investigation revealed that Lucky South 99’s operations were not in compliance with local regulations and posed risks to the community. The officials’ failure to properly vet the project and ensure its compliance with the law led to their suspension.

The Porac local government did not issue a business permit to Lucky South 99 for 2024.