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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

2491

HOUSE BILL NO.

Introduced by Rep. Precious Hipolito Castelo

EXPLANATORY NOTE

There are cases when lotto prizes, on both jackpot or consolation prizes, remain unclaimed
even after the lapse of 365 days or one year after the draws and the monies revert back to
the charity fund of the agency to finance charity-related programs (i.e. requests for
medicines from PCSO) and the like.

For instance in 2011, two major prizes for solo winners went unclaimed: P23.7 million
jackpot for the 6/42 Regular Lotto draw (March 15, 2011) for the winning ticket sold by a lotto
outlet in Binondo, Manila; and the P4.5 million jackpot of the 6/45 Mega Lotto draw on March
25, 2011 for the winning ticket sold in Harrison Plaza, Manila.

In fact, a total of P3.35 billion worth of lottery prizes, accumulated from 2006 to 2013, were
unclaimed from the Philippine Charity Sweepstakes Office (PCSO) as revealed during a
House Committee on Games and Amusement hearing.

However, PCSO executives argue that in accordance with the agency's rules, the prizes
went to the charity fund when they remained unclaimed for 365 days. The charity fund is
used to provide medical assistance to qualified patients who seek help from the PCSO.

It is the contemplation of this instant measure that henceforth, sums of money representing
unclaimed prizes from lotto draws be effectively channelled to another agency, in this case,
the Department of Social Welfare and Development to administer them and to beef up its
social welfare programs. The rationale of this proposal is based on the fact that DSWD runs
a highly reliable targeting system on most of its welfare programs that is able to target the
legitimate and rightful beneficiaries of such goods and services.

With such funds transferred from PCSO directly to DSWD, the effective disposition of
significant financial resources to benefit rightful beneficiaries and families will further boost
the mandate of DSWD. After all, these accumulated unclaimed prizes are deemed already
incurred after the one year expiry.

The urgent passage of this measure is humbly sought.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL no? 491

Introduced by Rep. Precious Hipolito Castelo

AN ACT
AUTHORIZING THE UTILIZATION OF PCSO FUNDS FROM UNCLAIMED LOTTO
PRIZES FOR DISPOSITION AND ADMINISTRATION BY DSWD FOR ITS SOCIAL
WELFARE PROGRAMS AND FOR OTHER PURPOSES:

Be it enacted in the Senate and the House of Representatives of the Republic of the
Philippines in Congress assembled:

SECTION 1. This Act shall be known as the ‘DSWD Enhanced Social Welfare
Program Act.”

SEC. 2. The DSWD shall hereby be authorized the effective and efficient utilization
of funds from PCSO representing unclaimed lotto prizes for the enhancement and greater
distribution of social welfare programs and benefits to targeted beneficiaries.

SEC. 3. Under this Act, the PCSO shall henceforth cause the transfer to DSWD of
all funds from unclaimed lotto prizes for the purpose of augmenting the financial resources of
DSWD in carrying out an increasing demand of its social welfare programs.

SEC. 4. In coordination with the PCSO, the DSWD shall issue appropriate rules,
regulations, and guidelines to effectively implement the intent of this Act.

SEC. 5. This Act shall take effect upon its publication in the Official Gazette and in at
least three (3) newspapers of general circulation thirty (30) days upon its approval

Approved,