Basco v. PAGCOR, G.R. No. 91649, 14 May 1991
Basco v. PAGCOR, G.R. No. 91649, 14 May 1991
91649
PARAS, J.:
FACTS: The petitioners are seeking to annul the Philippine Amusement and Gaming Corporation
(PAGCOR) Charter PD 1869, because they allege that the same is "null and void" for being
"contrary to morals, public policy and public order," monopolistic and tends toward "crony
economy", and is violative of the equal protection clause and local autonomy when it waived
the Manila City government's right to impose taxes and license fees, which is recognized by law.
Petitioners contend that P.D. 1869 constitutes a waiver of the right of the City of Manila to
impose taxes and legal fees; that the exemption clause in P.D. 1869 is violative of the principle
of local autonomy. Section 13 par. (2) of P.D. 1869 which exempts PAGCOR, as the franchise
holder from paying any "tax of any kind or form, income or otherwise, as well as fees, charges
or levies of whatever nature, whether National or Local."
Also, for running counter to the state policies enunciated in Sections 11 (Personal Dignity and
Human Rights), 12 (Family) and 13 (Role of Youth) of Article II, Section 1 (Social Justice) of
Article XIII and Section 2 (Educational Values) of Article XIV of the 1987 Constitution. Hence,
they question the validity of P.D. No. 1869.
The respondents questioned the legal personality of petitioners to file the instant petition.
ISSUE:
1. WON petitioners, as taxpayers and practicing lawyers can question and seek the
annulment of PD 1869 on the alleged grounds mentioned above.
2. WON the exemption clause in P.D. 1869 Section 13 par. (2), is violative of the principle
of local autonomy.
RATIO DECIDENDII: