A Cebu City Gambling Ad Ban Faces Online Enforcement Issues

An ordinance to prohibit gambling advertisements in the city of Cebu remains to be answered legally and enforceably. At the public hearing held on Aug. 11, the councilors talked about the exceptions from promotions approved by the national government or the Philippine Amusement and Gaming Corp., as well as how the city can enforce online ads outside the city.

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The measure was proposed by Councilor Joel Garganera. The Business Permit and Licensing Office supported its aim of protecting minors and vulnerable sectors, but acknowledged that enforcing the ban against digital platforms could be difficult.

Online Platforms Raise Jurisdiction Issues

BPLO Legal Officer Atty. Cherry Cutillar told the council that the office could enforce restrictions involving physical advertisements. Online platforms, however, would present a different challenge because some are not based in Cebu City.

She said the BPLO would need assistance from agencies with broader enforcement powers, including the Department of Information and Communications Technology and the Philippine National Police. The City Legal Office had earlier recommended limiting digital restrictions to paid commercial gambling promotions on platforms operated by entities based in Cebu City or otherwise subject to the city’s direct regulatory authority.

PAGCOR Seeks National Exemption

PAGCOR asked the City Council to limit the proposed ban to gambling advertisements physically displayed, published, conducted, or situated within Cebu City. In a position paper presented by Ingrid Victoria Espiritu of Casino Filipino Cebu, the regulator said online gambling advertisements could raise jurisdictional concerns because they operate across territorial boundaries.

PAGCOR also supported a clause exempting advertisements expressly authorized by national law or regulatory agencies such as PAGCOR. The agency said this would allow the city to exercise its police power while avoiding conflict with a national regulatory authority.

The position raised questions about Small Town Lottery advertisements. Garganera asked whether PAGCOR-authorized promotions could still be removed. Espiritu said she could not give a final answer because she represented the Casino Filipino Cebu branch, not PAGCOR’s Gaming Licensing and Development Department.

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Proposed Fines And Permit Sanctions

The BPLO proposed that advertising agencies, outdoor sign operators, and event organizers secure a clearance or submit an undertaking during business permit registration or renewal. It would certify that they would not host gambling advertisements in Cebu City.

The office also proposed a 30- to 60-day transition period to remove existing physical billboards and outdoor promotions. The BPLO or a joint inspection team would monitor premises and billboards, while the Cebu City Transportation Office would check advertisements placed on public utility vehicles.

A first offense could bring a notice of violation, removal within 24 hours, and a P1,000 fine. A second offense could lead to removal, a P3,000 fine, and temporary suspension of an advertising permit. A third offense could result in removal, a P5,000 fine, permit revocation, and permanent closure of the affected advertising structure or facility.

Council Reviews Definition Of Gambling

The hearing also left the definition of gambling unresolved. Vice Mayor Tomas Osmeña asked whether Bingo, including Bingo Plus, would be covered when cash prizes are involved. Garganera said the council still needed to settle the definition, while Councilor Philip Zafra said Bingo could fall under gambling because its outcome depends on chance.

Councilor Sisinio Andales raised a separate question about Bingo organized for charitable purposes. Osmeña called for a clearer legal interpretation to prevent the ordinance from being used against legitimate charitable activities.

Ordinance Needs Clearer Boundaries

The council still needs to clarify the city’s authority over online advertisements, the treatment of nationally authorized promotions, and the meaning of gambling advertisements before the measure can become enforceable. It must also determine how local offices would coordinate with national agencies when alleged violations involve platforms or operators outside Cebu City.

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Source: Cebu Daily News