"These are difficult times for us and we find ourselves losing our means of livelihood," the workers said in a manifesto they presented to Zambales Rep. Mitos Magsaysay to ask her to bring their problem to the President’s attention.
Magsaysay took up the cudgels for the workers and promised to personally bring their plight to the attention of Mrs. Arroyo.
The casino workers said Pagcor’s action against the casino was largely whimsical and disregarded a court order that stayed all actions detrimental to the interest of the casino and its workers.
Pagcor officials brandished a board resolution ordering the casino’s closure due to its failure to remit about P375 million to Pagcor. The supposed amount represented Pagcor’s share of Legenda’s earnings.
But that is not actually the whole truth, the workers claimed.
An original agreement indicated that Pagcor was supposed to get 15 percent of the casino earnings. When Legenda experienced financial difficulties as a result of the Asian financial crisis, it faced extreme difficulty in keeping up with its payments to Pagcor.
Pagcor officials later came up with an idea supposedly to solve Legenda’s problem: in lieu of the 15 percent share of the casino’s earnings, it would instead pay Pagcor a flat rate of P5 million a month.
But that did not sit well with Legenda owners. Eventually, Legenda filed a case with the Olongapo City regional trial court, seeking relief from the new arrangement.
Consequently, the Olongapo RTC ruled in December 2004 that the new agreement was untenable and ordered Pagcor not to enforce it.
The court also asked Pagcor not to take actions that would be detrimental to the operations of the hotel and the casino.
Despite this, Pagcor persisted in canceling Legenda’s licenses and closing the casino. Pagcor has since appealed the ruling.
After the casino’s closure, when it was reminded that the court’s prohibition was still in effect, Pagcor officials gave a different reason: Legenda violated the conditions of its franchise when it staged a cockfight derby in the casino premises in 2004.
Legenda argued that there was nothing in its license that prohibited it from staging cockfights.
Besides, it said the derby was held as a one-time event, a tourism gimmick to entice more tourists to the Subic Freeport.
Aside from this, Legenda said it secured the necessary permits for the sporting event from concerned government agencies.