ANG BATAS MILITAR NI MARCOS: MALAWAKANG KATIWALIAN, 'CRONY CAPITALISM', MALAWAKANG PAGLABAG SA KARAPATANG PANTAO

Ni Philip M. Lustre Jr. 

(Paunang salita: Isinulat ko ito noong 2011 para sa isang lathalain. Paminsan minsan, nais ko rin magsulat sa wikang Filipino bagaman mas komportable ako sa wikang Ingles. Para sa inyo aking mga mabunying kaibigan, lalo na ang mga kabataan na hindi naranasan at nasilayan ang lupit ng diktadura.)

DEMOKRASYA AT AWTORITARYANISMO – ito ang dalawang tema na umuugit sa karanasang Pilipinas. Mahigpit na magkatunggali ang dalawang kaisipang ito, ngunit kahit demokrasya ang umiiral na sistema sa ngayon, patuloy na humahamon ang pagbabalik ng awtoritaryanismo. Nariyan pa rin ang ilang kilusang lihim at di-lihim kung saan nangangahas ang iba’t ibang puwersang pulitikal na ibalik ang isang sistemang tanging ang diktador lamang ang namumuno.

Unang nabigyang katuparan ang pagkiling sa awtoritaryanismo nang ideklara ng noo’y pangulong Ferdinand Marcos ang batas militar sa buong bansa noong Septiyembre 21, 1972. Sinakmal ni Marcos ang lahat ng kapangyarihang pulitikal sa kadahilanang may sabwatan umano ang puwersang maka-kaliwa at oligarkiya upang ibagsak ang gobyerno ng Pilipinas at patalsikin siya.

Sa ilalim ng batas militar, ipinasara ni Marcos ang Kongreso at ang mass media (mga pahayagan, telebisyon at radio), inaresto at ikinulong ang kaniyang mga kalabang pulitiko at kritiko, ipinagbawal ang mga demonstrasyon at pulong pampubliko, at kinitil ang karapatang sibil. Ginamit ni Marcos ang Sandatahang Lakas ng Pilipinas upang ganap na maisakapuran ang batas militar.

‘POLITICAL GENIE.’ Ayon sa namayapang dating senador Neptali Gonzales, ang ginawang paggamit at pagbibigay poder sa Armed Forces ang naging mitsa kung bakit lumakas ang loob sa ilang paksiyong militar na mag-ambisyon tuwi-tuwina na kunin sa mga puwersang sibilyan ang timon ng pamahalaan. Nilikha ni Marcos ang “political genie” sa katauhan ng ilang puwersang militar, ani Gonzales. Lumabas ito mula sa bote upang mamayagpag at maghari nang ideklara ni Marcos ang martial law, aniya.

Ito rin ang dahilan, ayon sa ilang tagamasid, kung bakit hindi ganap na malusog at matibay ang naibalik na demokrasya. Bagaman nagkaroon na ng apat na halalang pampanguluhan (1992, 1998, 2004, at 2010) mula nang mapatalsik noong 1986 si Marcos sa poder, nananatiling nakaamba ang pagtatangkang kunin ng kung sinong puwersa ang poder at ibalik ang bansa sa isang sistemang diktadura. Hindi lingid ang ilang pagtatangkang kunin ang pamahalaan sa ibat’t ibang kadahilanan na ang puno’t dulo ay iligtas ang bansa mula sa mga di umano’y mapagsamantala.

Sapagkat natikman ng puwersang militar ang kapangyarihang pulitikal - at nasarapan, tuluyan nang minimithi ng ilang puwersa sa militar at mga tradisyunal na pulitiko na kuning muli ang poder at maghari. Naging bahagi na ng ating larangang pulitikal ang mga paulit ulit at walang tigil na usapan at tsismis ng mga napipintong kudeta na parang nag-aanunsiyo sila ng susunod na larong basketball sa Araneta Coliseum, at kung ano-anu pang mukha ng pang-aagaw ng poder.

KILOS PROTESTA. Ibinagsak ni Marcos ang martial law noong 1972 mahigit dalawang taon matapos makaranas ang bansa ng instabilidad na dala ng First Quarter Storm na nagsimula noong Enero 30, 1970. Nagsimula ang instabilidad mula sa mga malalaking demonstrasyon at kilos protesta na isinagawa ng mga estudyanteng may mga radikal at moderatong kakilingan.

Nagsanib ang ilang puwersa upang kastiguhin si Marcos sa mata ng publiliko. Nagsama-sama rin ang pamilya Lopez ng ABS-CBN at diyaryong Manila Chronicle, ang mga Roces ng Associated Broadcasting Corp. (ABC) at diyaryong Manila Times, at ang iginagalang na patnugot ng Philippines Free Press na si Teodoro Locsin Sr. Nariyan rin ang mga pulitikong tulad nina senador Benigno “Ninoy” Aquino at Jose “Pepe” Diokno.

Ayon sa mga iskolar na nagsagawa ng pag-aaral sa batas militar sa panahon ni Marcos, may tatlong pangyayari na nagpasama sa sitwasyon at nagbigay kaganapan sa pinaplanong martial law. Una ang naganap na marahas na demonstrasyon noong Pebrero, 1971 kung saan binarikadahan ng mga makakaliwang organisasyon ng estudyante tulad ng Kabataang Makabayan (KM) at Samahang Demokratiko ng Kabataan (SDK) ang kabuuan ng Universidad ng Pilipinas sa Quezon City at itinayo ang tinawag na “Diliman Commune.”

Tumagal ang Diliman Commune na isang linggo. Naging marahas ang ginawang pagbuwag sa barikada na labis na ikinasama ni Marcos sa mata ng publiko. Ngunit naipakita ng mga estudyante ang kanilang poder kung magkakaisa. Naipakita rin nila ang kakayahang magpropaganda na naging mitsa ng mga susunod pang mas malaki at mapangahas na kilos protesta laban sa gobyernong Marcos.

PAGBOMBA. Sumunod naman ang pagbomba sa rally ng oposisyong Liberal Party sa Plaza Miranda noong Agosto 21, 1971. Hinagisan ng dalawang granada ng di pa nakikilalang mga tao ang entablado ng political rally ng LP kung saan tumayo ang mga kandidato ng lapian para senadorya sa gaganaping halalan sa Nobyembre. Siyam katao ang namatay at marami pang nasugatan. Pinakamatindi ang inabot na pinsala ng mga kandidato ng LP na tulad ni Jovito Salonga, Genaro Magsaysay, Ramon Mitra Jr., Salipada Pendatun, at John Osmena.

Kagyat na sinuspinde ni Marcos ang pribilehiyo ng writ of habeas corpus kung saan hindi basta puewedeng idetine ang isang tao ng mahigit sa anim na oras kung wala ihaharap na sumbong ang pulis o militar sa husgado. Pinaghuhuli ni Marcos ang ilang piling kalaban lalo na ang mga lider estudyante. Ngunit nayanig siya ng opinyon publiko dahil si Marcos ang pinagbintangan na nagpakana ng insidente.

Sa isang pananaw, ito ang ginawang pagtantiya ni Marcos sa mga kalaban. Bagaman hindi agad idineklara ang batas militar, kaniyang inalam kung paano kikilos ang mga kalaban kung sakaling gagawin niya ang pagpataw ng batas militar. Labintatalong buwan matapos ang pagbomba sa Plaza Miranda, idineklara nga niya ang martial law. Handang-handa siya dito.

SUSPENSIYON. Dahil sa suspensiyon ng pribilehiyo ng writ of habeas corpus, lalong umigting ang galit ng mga organisadong puwersa at mas lalo pa nilang pinalawak ang kilos protesta. Nabuo rin ang Movement of Concerned Citizens for Civil Liberties, ang alyansang nagtataguyod na laban sa pagkitil sa kalayaang sibil ng mga tao. Naglunsad ito ng mas malalaking kilos protesta at demonstrasyon.

Tuwang tuwa si Marcos sa paglaki ng puwersang kaliwa sapagkat ginamit niya itong sangkalan upang ideklara ang batas militar. Nagsabwatan daw ang puwersang makakaliwa at makakanan. Kumilos daw ang oligarkiya upang pabagsakin ang gobyerno. Kailangan daw iligtas ang bansa sa sabwatan ng dalawang puwersa at ilunsad ang kaniyang tinawag na “demokratikong himagsikan” na ang puno at huli ay ang pananatili niya sa poder kahit walang malinaw na mandando mula sa sambayanan.

Ayon sa mga iskolar, hindi naman napakalaki ng puwersang kaliwa upang ideklara ang batas militar. Katatag lang ng bagong Communist Party of the Philippines na pinamunuan ni Jose Ma. Sison, at ng New People’s Army, ang armadong sangay nito. Wala ring totohanang sabwatan sa pagitan ng mga puwersang makakanan o oligarkiya at makakaliwa.

Nagkataong matindi ang galit ng taongbayan kay Marcos dahil sa sunod-sunod na krises na humarap sa bansa. At nagsama-sama sa isang ago sang lahat ng mga tumututol. Ngunit tuso si Marcos at ginamit niya ang ginawang pagkilos ng kaniyang mga kalaban upang ideklara ang batas militar, anila.

Mukhang sa batas militar rin mauuwi ang gobyernong Marcos, ayon sa mga iskolar. Pinakamatindi ang teorya na dumating na sa kasukdulan ang elitistang pamahalaang demokratiko at hindi nakaya nitong suportahan ang buong sistema na tuluyang bumabagsak dahil na rin sa tunggalian ng mga uri, anila. Sa ayaw o sa gusto ni Marcos at ng sambayanang Pilipino, sasabog at sasabog ang lipunang Pilipino dahil sa tindi na tunggalian ng mga uri na madaling nauwi sa malawakang kahirapan ng sambayanang Pilipino. Unahan na lang sa poder, anila.

Gabi ng Septiyembre 21, 1972 nang lagdaan ni Marcos ang Presidential Proclamation No. 1081 na nagdedeklara na batas militar sa buong bansa. Ngunit hindi ito agad ipinahayag. Ipinahuli muna ang mga kalaban at isinara ang mga kalabang mass media outfits. Sa kinagabihan ng Septiyembre 23, opisyal niyang ipinahayag ang pagpataw ng batas militar.

KAHIRAPAN. Isa ang malawakang kahirapan ng sambayang Pilipino sa mga manipestasyon ng pabagsak na sistema na dala ng pamahalaang sibil na itinatag ng Saligang Batas ng 1935. Hindi agresibo ang anim na administrasyong naghalinhinan upang patatagin ang kabuhayan ng bansa. Mas lalong sumidhi ang kahirapan dahil sa kabiguang ipatupad ang isang makabayang pagsasaindustriya. Bagkus, nanatili sa bansa ang mga katangiang iniwan ng mga Kastila.

Sa gitna ng paglobo ng populasyon at kawalan ng oportunidad pangkabuhayan, patuloy na naiwan ang Pilipinas sa mga lumalagong bansa sa Asya. Naging dahilan ito upang magsalita ang mga tao at pilitin ang administrayong Marcos na kumilos upang patatagin ang kabuhayan at mabawasan ang kahirapan. Naging madali sa mga ibang Pilipino ang sumapi sa armadong pakikibaka. Sa ganang kanila, mas mabilis ang pagbabago kung ito ang daang tataluntunin.

Naging mabilis ang ginawang pagpapatahimik ni Marcos sa mga pagbatikos sa batas militar. Sapagkat mabisa niyang nasupil ang anumang pagtuligsa sa mass media, kagyat niyang ipinalabas na kailangan ang batas militar hindi lamang upang isalba ang gobyerno kundi upang maumpisahan ang isang “demokratikong rebolusyon” na tatapos sa oligarkiyang kaniyang kinamumuhian at magpapantay sa mga uri sa lipunang Pilipino. Nais rin niyang itatag ang kaniyang tinawag na “Bagong Lipunan” na naging tampulan ng maaanghang na biro at katatawanan kahit palihim.

Matamis ang dila ni Marcos. Madali niyang nabola ang maraming bilang ng Pilipinong umasa nga sa simulain ng kaniyang “demokratikong himagsikan” at sa kaniyang “Bagong Lipunan.”Ngunit nakalipas ang ilang taon, hindi ang pagkakapantay-pantay ng mga uri ang nangyari. Pinalitan ang oligarkiya ng kaniyang mga sariling kroni at nagsimula ang isinusukang “crony capitalism.”

Tanging ang mga pinapaborang negosyante ang nakapangutang ng mga nakakalulang halaga sa mga bangkong pag-aari ng estado. Hindi nabayaran kahit kailan ang malaking bahagi ng kanilang inutang. Kasama sa kaniyang mga kroni sina Roberto Benedicto, Eduardo “Danding Cojuangco Jr., Jose Yao Campos, Herminio Disini, Rodolfo Cuenca, Ricardo Silverio, at iba pa na nawala na sa eksena mula ng mapatalsik si Marcos sa poder.

OPORTUNISTA. Ginamit niya ang mga piling kroni sapagkat umasa si Marcos na sila ang magdadala ng isang makabago at makabuluhang industrialisasyon. Ngunit sa huli, si Marcos ang ginamit ng mga kroni na pawing nangawala ng makuha nila ang minimithing salapi. Hindi sila naging mabisang sandigan ng isang makabuluhang industrialisasyon. Sa salita ni Jaime Ongpin, isang kritiko na naging kalihim sa pananalapi ng administrasyong Aquino, lumalabas ng isang dakot na mga oportunista ang mga kroni ni Marcos.

Naging malaganap rin ang ginawang pagyurak ng batas militar ni Marcos sa karapatang pantao. Libu-libong aktibista, estudyante, magsasaka, obrero at propesyonal ang mga inaresto, ikinulong, dinukot at nangawala, o tuluyang pinaslang ng mga nakatagong militar, pulis, at iba pang grupo ng diktadurya. Hanggang sa ngayon, humigit-kumulang sa sampung libong katao, kasama na ang mga aktibista, ang sinasabing nangawala, o "desaparecidos" sa salitang Kastila.

Isa ang karapatang pantao sa mga usaping nagbunsod upang itayo ang Reform the Armed Forces Movement (RAM) na nagtaguyod ng EDSA Revolution noong 1986. Mismong ang ilang opisyal ng Sandatahang Lakas ang hindi masikmura sa naging kalakaran ng batas militar ni Marcos. Sila mismo ang nagpatotoo sa mga ginawang pang-aabuso at paglabag sa karapatang pantao ng mga kritiko ni Marcos.

At kung naririyan ang crony capitalism at paglabag sa karapatang pantao, hindi naman palalayo ang malawakang katiwalian na tuluyang gumutay sa kabuhayan ng bansa. Sa pamamagitan ng batas militar, ginawang sentralisado ni Marcos ang katiwalian. Naging panuntunan ni Marcos ang kumuha ng daan-daang milyong dolyares bilang komisyon sa mga dambuhalang proyektong pambayan na kaniyang inaaprubahan at nilalagdaan. Wala siyang pinapatawad kahit iniwan niya ang mga barya-baryang katiwalian tulad ng komisyon sa huweteng sa mga ilang piling opisyal ng militar at pulis at lokal opisyal.

NAITAGO. Ngunit sadyang magaling si Marcos. Mahusay niyang naitago ang lahat. Ginamit niya ang mga batikang propesyonal sa larangan ng pananalapi na tulad ni Rolando Gapud at Generoso Tanseco sa pagtatago ng mga ninakaw na yaman. Ginamit rin niya ang ilang di masyadong kilalang tao na tulad nina Baltazar Aquino, Andres Genito, at Oscar Rodriguez na nagsisilbing kaniyang mga bagmen. Kundi dumating ang EDSA Revolution noong 1986, hindi sana sila mabibisto.

Parang asong bahag ang buntot na tumalilis ang pamilya Marcos upang maiwasan ang matinding galit ng sambayanang Pilipino noong rebolusyon sa EDSA. Ngunit nakalimutan ang maraming dokumento sa Malacanang na naging paraan upang mahawi ang paper trail ng malawakang katiwalian ng kinasasangkutan ng dating diktador at ng kaniyang pamilya at kaibigan.

Sa tantiya ni Salonga na naging puno ng Presidential Commission on Good Government na naghahabol sa mga itinago ngunit illegal na yaman ng mga Marcos, maaaring umabot sa humigit- kumulang na walong bilyong dolyares ang nakulimbat ng pamilya Marcos mula sa kaban ng bayan. Itinago ang mga ito sa kung saan-saan at kasama rito ang Switzerland, Cayman Islands, at maging sa ilang maliliit na bansa sa Caribbean.

Sa madaling salita, nauuwi ang kabuuan ng awtoritaryanismo ni Marcos sa tatlong bagay lamang: ang malawakan at sentralisadong katiwalian at korapsiyon sa kaniyang pamahalaan, ang malaganap na paglabag at pagyurak sa karapatang pantao, at ang walang patumanggang crony capitalism na pumabor sa ilang piling negosyante at kaibigan.

Kahit nagkagulo-gulo ang eksperimento ni Marcos sa awtoritaryanismo, isang malaking palaisipan kung bakit tila ito pa rin ang kinagigiliwang direksyon ng ilang sektor ng lipunan. Sa hindi maiintindihang kadahilanan, tila hindi natuto ang ilang sektor na naging isang malaking kabiguan ang ginawang balangkas at pagpapatupad sa batas militar ni Marcos.

Tila ninanais ng ilang sektor na hawiing muli at taluntunin ang awtoritaryanismo na parang bang ito na lamang ang tanging daan upang maisaayos ang napakagulo at walang direksiyong demokrasya na naibalik ng himagsikan sa EDSA. Sa hindi maaiwasang konklusyon, mukhang ang mga tema nga ng awtoritaryanismo at demokrasya ang nag-uumpugang bato sa kasasayan ng Pilipinas.

POST-TRUTH CULTURE ENGULFS PHL

By Philip M. Lustre Jr.

Those lies and deception, fake news, hoax sites and trolls, and bellyaching, rants, curses and expletives are things we have to live with and endure. They constitute the new normal.

The explanation is simple. What has been described as post-truth culture has reached our shores and engulfed the Philippines These negative issues have become a way of life.

The post-truth culture refers to the spate of sociocultural phenomena, which are largely based on emotions and falsification of truths, making those half-truths and untruths as the new normal

Scholars said the emergence of this new culture is largely a function of the 24-hour news cycle, distortion of journalistic tenets, of which truth, balance and neutrality are sacrificed, and the ubiquitous presence of social media dwelt largely by empowered but largely uninformed or even illiterate netizens.

In post-truth cultural setting, facts are sacrificed in the name of personal biases and presumptions.  Ordinary citizens hardly know the difference between facts and opinions.

Between a verified or verifiable fact and an unconfirmed presumption, preconception, or opinion, the latter takes precedence.

Public debates are characterized by emotions and not arguments based on solid facts. Major political players hardly present solid facts that have become part of history, but lies containing facts distorted to the highest contemptible level.

What is taking place is a paradox of extreme annoyance.

The emergence of the Internet, or the information superhighway that has triggered the ongoing Information Revolution and social media has given the entire world an oversupply of facts.

Yet, what it has is a crisis of facts, as people of the world could hardly discern and embrace the truths among those facts.

Hence, those rants, expletives, and curses are but expressions of the citizens’ feelings of powerlessness, helplessness, and inferiority amid the dizzying pace of information dissemination.

This post-truth culture is expected to be a temporary issue, a transitory madness.

It would not linger, as the better informed among the citizenry take the center stage to counter its disastrous and debilitating effects. The counter-reactions could be devastating too.

In social media, the trend is for informed citizens to separate the chaff from the grain. It is a growing reality for these citizens to delete posts based on half-truths, lies, and deceptions, and block those trolls.

Fakes news and hoax sites are being exposed left and right. They are no longer taken seriously.

It’s just a matter of time when the ship corrects its course. It will certainly.

MY RECOLLECTIONS OF RONNIE NATHANIELZ

By Philip M. Lustre Jr.

Although I saw him on television during the Marcos dictatorial rule, I only came to personally know Ronnie Nathanielz after the 1986 EDSA Revolution. That was when he joined in early 1987 the short-lived Observer newspaper, which later became The Independent. I was a political reporter of that daily.

I was typing my news story (we didn’t have computers during those days, but had the pleasure, or displeasure, of using second-hand typewriters), when Ronnie entered the Observer's editorial office in Quezon City and handed to Yen Makabenta, our editor-in-chief, copies of his sports articles. Yen, a Manila Bulletin columnist now, graciously introduced us to the guy.

Ronnie struck me as a cool dude. He was profuse with his smile and did not carry any air. He called every guy "pare" and spoke in a mixture of English and broken Tagalog. He was polite and courteous to guys, who were below the journalistic totem pole. These guys included my humble self, who was required to report daily to the office.

I saw Ronnie almost daily in the office. I could see him bantering with other editors, including Reggie Amigo, our sports editor, and Ronnie’s immediate superior. He engaged them in serious discussions mainly about sports.

But what struck me later was that I never saw Ronnie’s byline in any of his published news stories, feature articles, or commentaries. Weeks later, Yen Makabenta told us that it was mutually agreed that Ronnie’s byline would not appear. It was a no-brainer to discern the reason behind the no-byline mutual accord. Ronnie was pariah during those days; he was down and out.

I felt repulsive at the no-byline agreement. Journalists are men and women of convictions. We stake our reputation, or everything in us, in every copy we submit to the editorial desk. 

Reporters get their highs in chasing stories and see their bylines the following day; desk editors, their fulfillment in turning rough copies into classic gems. Ronnie would have wanted to see his bylines; it was something not given him during those days.

It was difficult times for Ronnie. Because he was closely identified with the Marcoses (Ronnie never denied it; he was even proud of it!), he lost his job at the government TV network. He had to support his growing family. He had encountered the hostility of the outside world and the unofficial ostracism of the journalistic community.

But Ronnie had a big heart to endure those things, including the indignity of the no-byline policy. He patiently endured the collective brickbat, bigotry, and bashing of people who differed and disagreed with him. He had to live with their hostility and ostracism.

From our discussions, I came to know that the Observer’s management had to give Ronnie a job because he was among the very few in the Marcos dictatorial rule, who did not enrich themselves. Unlike other apologists, who badgered Marcos for favors and milked him, Ronnie kept distance from Marcos when it came to those issues. He lived modestly; his colleagues in the sportswriting business would attest to that.

Perhaps, Ronnie did not have that business acumen. Perhaps, he never liked living big and mighty with the favors he could amass from Marcos. Perhaps, he was too proud. Or perhaps, he was not smart enough to do it. The point is he did not curry favors from the dictator..

Ronnie was happy with his Filipino citizenship, which Marcos gave him on a silver through a presidential decree. It was enough. To his credit, Ronnie felt loyal for that single act of generosity. He never hid it; he was even proud of it. Anybody could disagree with Ronnie, but he was bullheaded when it came to this issue and his politics.

Ronnie did not brood over the sudden reversal of fortunes after EDSA. He could have left the Philippines and settled elsewhere. He could return to Sri Lanka, his place of birth, or go to the United States or Canada. But he chose to stay here. He once said he loved his adopted country and he intended to stay here for good.

But he knew what to do after EDSA. Hence, Ronnie revived and rebuilt his journalistic career by concentrating in sports. No more politics for Ronnie after EDSA. He did some reinvention and reengineering. Soon, the forgiving Filipino people had accepted him.

I once saw Ronnie in the late 1980s when I went to Ultra to watch a PBA game. He smiled and greeted me. We shook hands. 

After the game, I did not say goodbye as customary among colleagues. Instead, I saw him exchanging harsh words with basketball coach Norman Black, with whom he had an altercation, Well, that was the Ronnie we knew.

We had reconnected through Facebook and told him that I did remember him. He told me he did remember me too. We had some bitter exchanges of views. At one point, I thought out loud through my FB post that he was indeed an unrepentant Marcos loyalist. 

Ronnie never bothered to answer my post. He knew he had to receive as much as he gave. Despite our differences, I could say in all candor and humility that I have silent admiration for Ronnie. I admire his infinite capacity to endure and his capacity to reinvent himself. 

I like his perseverance and dedication to sports. I admire his sense of loyalty to people, who were kind to him.

I like the way he had stuck to the Marcoses, although I personally dislike the Marcoses because of the pillaging ways and refusal to offer a public apology. While most of the Marcos allies were jumping like rats out of a sinking ship when EDSA came, Ronnie had displayed an unwavering loyalty. Between those rats and Ronnie, I would choose the latter.

Ronnie was firm in his convictions no matter how we disliked him. But he was never mean to his critics. The fact was he had no mean bone in his body. He was a guy anyone would like to be on his side.

Rest in peace, Ronnie.    

BPO FIRMS TO LEAVE PHL BECAUSE OF OFFICIAL POLICY ON HUMAN RIGHTS

By Philip M. Lustre Jr.

Last night, I had dinner with two great friends and we could not help but discuss the burning issues of national and global significance. As I always say whenever I am with great friends, the three of us had attempted to solve the problems of the world in three hours.

Of course, we discussed the U.S elections; we agreed that Hillary Clinton would win to become the first woman president in U.S political history. We agreed that Donald Trump’s last minute attempt to capture the White House has gone for naught as the FBI chief has cleared Hillary of any criminal complicity on the issue of her emails.

But the biggest issue that we discussed pertained to what we foresee the country’s economic situation, particularly in the coming months. Amid those rants, curses, and expletives coming out from the mouth of the unpredictable big mouth from the South, we had come to agree that the economic future did not appear rosy.

One of my two friends does business, while the other friend is an educator, who does consulting works on the side. They are accomplished professionals. We have been friends for the past 25 years.

My friend broke the ice to discuss the outcome of his meeting yesterday, where he met a top ranking official of the BPO sector. The BPO top official confirmed to him reports that many BPO firms, particularly the American-owned, were concerned and anxious about the president’s antics, which they felt could only aggravate what they have already perceived as the dwindling business confidence in the Philippines.

My friend said that from his talks with the BPO executive, he had come to learn that American-owned BPO firms were already planning to pack up and withdraw their businesses here. They were looking into the possibility of relocating to Vietnam, or even Cambodia.

Those foreign BPO firms that have earlier plans to relocate and expand their business here have deferred their plans, as they have adopted a wait-and-see attitude to see the actual intentions of the current president. There was no immediate word whether they would continue to do business here, although my friend said the BPO executive had told him that their relocation and expansion plans were set in motion under the previous administration.

My friend said that the BPO official had told him that several infrastructures have already being laid down for future expansion of the BPO sector here, as the latter mentioned those buildings to house the expanded BPO sector. They include those buildings under construction in the MoA area.

“If they leave, those buildings and other infrastructures would become white elephants and we would be the loser,” my friend said quoting the BPO official.

My other friend jokingly said that those currently employed BPO workers could become the next wave of overseas contract workers, as they chase those BPO firms in their new relocation sites. It was a reply that drew laughter from us, but my businessman friend could not help but turn serious as he said that it was not a far-fetched possibility.

“Those Cambodians and Vietnamese do not speak English well. Where would they get the warm bodies to man those BPO booths? The Philippines is still a good source of manpower,” my friend said.

My businessman friend dropped the bombshell that the concern of those BPO firms could not be addressed and contained easily because of official state policies, which have become the basis of doing overseas business. “The international community has changed,” he said. “And it has changed drastically.”

The BPO official, whom he had met in the afternoon, told him that it has been an official policy on the U.S. and even Economic Union countries to do business with countries, which subscribe to the democratic principles and traditions, particularly the rule of law, and the international accords on child labor, the environment, and human rights.

“They would not want to deal with countries that violate any of those parameters. The Philippines, perceived a human rights violator, could become a pariah from their standpoint. Its inability to follow the rule of law could exacerbate the situation,” he said.

My businessman friend said that judging from his conversation with the BPO executive, American BPO firms based here would be hard pressed to leave the country if the current administration would not mend its ways.

“It’s a matter of official policy,” he said. “The situation has become untenable though.”

WHAT HAS HAPPENED TO DIGONG’S SUPPORTERS?

By Philip M. Lustre Jr.

It’s not true that the over 16 million voters, who have catapulted the current president to the presidency, have remained solid after four months in power. 

On the contrary, it could be perceived that the political support he enjoys from this block of voters is being eroded by his misdoings – those rants and curses, whimsical tendencies, careless remarks, undecipherable foreign policy statements, unpredictable temperament, and his global image of an unrepentant thug.

After four months, his political constituency is being divided and their political support being eroded, leading to an untenable situation where he could no longer depend on them when the political dynamics start to unfold and enter into a heightened phase. He is perceived as the "pambansang kahihiyan," or the "national embarrassment."

The 16 million voters could now be divided into the following categories:

The Fanatics – These people perceive him as the president, who does no wrong. Everything he does and says is correct. A questionable move or statement could be part of a grand strategy or conspiracy, which is equally nebulous as their thought processes. They are strong believers of conspiracy theories against their idol.

They are the idolaters, who persist in their belief he would bring the country to progress, but they could not explain how and why. They are relentless in their defense of him. They are the apologists, or the defenders of the faith. 

People, who don’t share their beliefs, call them “dutertards,” and like automatons, which hardly have a mind of their own, they would gladly carry that unpalatable tag without a thorough understanding of its connotation and implications. They would brand the other side as "yellow."

The “Doubting Thomases” – These are the people who have started to doubt the president. They know and feel that he is taking the country to nowhere, but they could not decide if they would take a more decisive attitude towards him. 

For them, he is no longer the knight in shining armor; his Teflon of invincibility has lost its luster. But they are still lost. They have yet to cross the Rubicon, as they cling to the foolish belief that he should be given a chance to prove his worth or redeem himself.

The “Denying Peters” – These are the people who voted him to power, but they would deny they have voted him and, ergo, support him. They know and understand that they have made a big mistake in their choice of president, but they are not prepared to admit what they feel was a mistake in the last presidential elections. 

They would claim they voted somebody else to reflect efforts to save face. Like the biblical Peter, these people would have their realization later, but at the moment, they have remained on a crossroad. 

Somewhere, sometime, and somehow, they would admit their mistake, but we have to wait for this thing to happen. Patience and perseverance is required in dealing with them.

The “Brave Hearts” - These are his voters yet they would immediately admit their mistake without fanfare. They are people gifted with a rare kind of discernment and richness of heart. They would call a spade a spade. 

They are not afraid to face the consequences of their choice, but are humble to articulate their mistake. These are people, who are willing to repent and rectify their error. 

They could be counted when the political dynamics turn for the some defining and decisive phase.

The Indifferent or Uncaring - These voters hardly care; in fact, they are the uncaring ones. They could probably include the fence sitters, who would only participate on the last minute. 

They are probably the overwhelming majority. They would not make their sentiment manifest publicly. At the moment, they just do not want to participate.

THE TRAGEDY OF A CRAZY PRESIDENT

By Philip M. Lustre Jr.

On February 6, 1997, or nearly twenty years ago, the unthinkable happened in Ecuador, a relatively small South American republic of 14 million people.

The Ecuadorean Congress, in an unprecedented move in Latin American politics, declared Abdala Bucaram Ortiz, its president, as “mentally unfit,” replaced him with a congressional leader, and forced him to seek political asylum in Panama.

The congressional initiative was swift and decisive as Bucaram, a scion of Lebanese immigrants, was president for only seven months. Besides, he was popularly elected, as he won 21 of Ecuador’s 22 provinces.

Although the economic problems that cropped out when he became president on August 10, 1996 were factors that forced congressional leaders to take the juggernaut, it was largely his series of comedic actuation that had led to his dismissal.

Bucaram was perceived a mad man; he branded himself as “el loco” (crazy guy). 

When the Ecuadorean economy plummeted as a result of policy changes he earlier initiated, Bucaram took efforts to divert the Ecuadoreans’ attention away from those issues and did what he thought was best – be himself.

He did not just cultivate his public image of an iconoclast, who challenged authorities and traditions, but overplayed it to become the comic, who sought to entertain the Ecuadoreans, who, at that time, felt the economic pressures and were becoming dismayed by his lack of leadership.

Amid the scandals and corruption charges, Bucaram released CD copies of his music entitled “A Crazy Man Who Loves” (“El Loco Que Ama” in Spanish). He shaved off his trademark moustache on live TV and later adopted the clipped moustache of Nazi Germany dictator Adolf Hitler.

Bucaram invited for lunch the Ecuadorian American Lorena Bobbitt, who gained international notoriety for castrating her husband. He attended the World Banana Queen contest in Quito, grabbed the microphone, and crooned to the winner, as he was surrounded by scantily clad contestants.

These were not all. Bucaram insulted a former president by comparing him to a “burro,” or donkey. When asked to issue a public apology, Bucaram obliged but he did it not to the political leader, but to the donkeys.

When he became president, Bucaram named his business associates in top government positions, appointed certain family members to his Cabinet, and put his 18-year-old son in charge of the Ecuadorian customs office.

He offered $1 million for globally known Diego Maradona to play one soccer game with him and also gave CD copies of  his song “A Madman in Love” to other heads of government to an Ibero-American conference in Chile.

The air of negativity and hatred that characterized Bucaram’s presidency culminated when the Ecuadorean Congress dismissed him on ground of “mental incapacity,” triggering a political precedent that has become a new model for the rest of the world.

Despite his tragic political fate, Bucaram managed to give the quote of all time: “They call me ‘Crazy Abdalá’, but madmen speak from the heart and see with their soul.”

‘THE AMERICAN EXPERIENCE’

By Philip M. Lustre Jr.

In the summer of 1975, I had the rare opportunity to represent the University of the East in the week-long annual student leadership conference in Tagaytay City. Sponsored by the U.S. Embassy in the Manila through the U.S. Information Service (USIS), the conference gathered 50 students from various universities and colleges nationwide to discuss the burning issues of international, regional, and national significance.

Because it was the height of martial law, the organizers, led by then U.S. Embassy Cultural Attache James Hoyt, chose a conference theme, which we considered not controversial, but largely insignificant. Since the U.S. was then celebrating the second centennial of its independence from British colonial rule, the theme was “The American Experience.” It was a sharp departure from earlier conferences, where the topics largely revolved on the Philippine experience.

Incidentally, the conference coincided with the fall of Saigon, where the communist-backed Hanoi government finally won over the American and South Vietnamese forces. We were at the conference when a U.S. Embassy functionary told us the final defeat of the Americans in Vietnam.

We discussed everything American to the point of suffocation during the week-long conference held at the posh Tagaytay Vista Lodge. Almost everything about American politics, philosophy, arts and literature, science and technology, among other topics were laid on the table. A string of Filipino and American experts took turns to speak before us. Ateneo University’s Fr. Vitaliano Gorospe, or Fr. George, a Jesuit, was the conference director.

During those days, campus organizations were banned. Except for some state-sponsored organizations and initiatives like “Love Bank,” of which its purpose was highly suspicious, dictator Ferdinand Marcos did not see any reason for student organizations to exist. I was a returning student activist during those days. My teacher in a political science elective subject was probably impressed by my performance in her subject, prompting her to recommend me to represent UE in the conference.

I myself did not see any raison d’etre for attending the conference; I could not relate to the conference theme. But since it offered a new experience, my attitude was more of openness. Who would know that it could satisfy my inquisitive nature?

As far as I remember, and this is after 41 years, the conference was most outstanding in inculcating two basic things in my young mind:

First, the American experience could be summed up in a continuing battle of two conflicting themes: internationalism and isolationism.

At the one end, American internationalist leaders want to spread the gospel of democracy to the entire world. This explains American presence in many parts of the world. The U.S. wants to show its influence to the point of acting as sort of policeman of the world.

On the other end, the isolationist leaders want to keep the U.S. away from the conflicts of many countries. Stop pontificating, attend first to its troubles before the troubles of the other countries, and strengthen its domestic institutions – these are the frequent admonitions of isolationists.

Second, there is no substitute for effective and straightforward communications. This American value system, in fact, centers on this imperative.

Hence, Americans hardly speak in metaphors, similes, or any other form of communications. It’s being precise to the point of being blunt. It’s being bloody frank. It’s their virtue too.

Towards the end of conference, many students spoke bluntly against the conference theme, saying the discussions were largely irrelevant. Who cares about the Americans? During those days, the issue of Marcos dictatorship was already being raised and questioned, as Marcos himself showed tendencies to prolong his stay in power.

The conference ended uneventfully. Conference organizers however made a great pitch. Those students, who wanted to get postgraduate studies in the U.S. could get in touch with the U.E. Embassy through the office of the Cultural Attache. I made new friends in the conference and we went back to our schools to complete our college education.

In hindsight, which is always 20/20, the conference was an outstanding experience because it has given me a sufficient background to understand the U.S., its people, its culture, and its history and traditions. It has become a great use when I later entered the journalism career.

I have chosen to mention my experience in the wake of current political developments. I am sure that American leaders are having a difficult time deciphering the intentions of the current Philippine political leadership because of what the confusing statements issued by the president, who is being labelled a “serial killer” in in world press.

It is not easy for them to hear a president, who says one thing today but only to backtrack by tomorrow. It’s not effective communications for them.

They do not see any significance for a political leader to keep on talking on a daily basis without understanding the repercussions of his words.

They look down on a leader, who keeps on flip-flopping. In their view, he is more of a flip.

THE AFTERMATH OF THE AUG.21, 1983 ASSASSINATION OF NINOY AQUINO

By Philip M. Lustre Jr. 

Dictator Ferdinand Marcos hardly anticipated the costly and prolonged public outrage over the Aug. 21, 1983 assassination of top opposition leader Benigno Aquino Jr. 

Despite his reputed erudite and wily political ways, Marcos could not stop the escalation of the Aquino’s brutal murder into crisis proportions, threatening his dictatorship for the first time in a decade.

Ensconced in Malacanang after his kidney transplant surgery, Marcos watched helplessly as the Filipino people responded swiftly, overwhelmingly, and decisively on the brazen way Ninoy Aquino was killed while he was with his military escorts at the airport tarmac.

Despite the dictatorship’s tight control over the local media, news about Aquino’s murder spread like wildfire, triggering what could be regarded the start of the downfall of the Marcos dictatorial regime. 

It pricked the national conscience, so to speak, as ordinary citizens could not contain their utter shock, disbelief, and disgust over his murder, which was committed in broad daylight. 

For them, Marcos had to explain a lot since the opposition leader was killed while in military custody. Moreover, the circumstances of his brutal murder showed a direct military conspiracy.

Hours after his murder, Filipinos from all walks of life – rich and poor, young, old, and the not-so-old - formed long queues to pay their last respect to Aquino, whose body was put for public viewing at the Aquinos’ residence on Times Street in Quezon City. 

The Aquinos neither changed the clothes he wore upon arrival in Manila nor cleaned his wound and dirtied face, enabling the world to see what they did to Ninoy. Only when he was about to be buried ten days later did they dress him up and clean his face.

Two days after his murder, wife Cory Aquino and their kids arrived from Boston and decided to transfer his remains to a bigger and spacious venue to accommodate the increasing number of people, who paid daily homage to him – the iconic Santo Domingo Church along Quezon Avenue in Quezon City, which is about two kilometers away from their residence. 

The crowd got bigger and the lines, longer, as more Filipinos started to perceive Ninoy Aquino as a martyr of Philippine democracy.

Despite the public anger and polarizing effects of the brutal murder, known supporters of the dictatorship attempted to go to the wake to show some degree of sympathy and condole with the family. 

But because of the tense situation, some visitors were shunned. Their rebuff revealed the deep political wounds his murder had caused. 

Gen. Carlos P. Romulo, the former foreign affairs minister of the Marcos dictatorship was among them. Burial marshals politely told him to leave, hurting his pride. 

Later, that was when he was about to die in 1985, Romulo showed a change of heart by quietly denouncing the dictatorship, claiming that Marcos used his “international stature” to get what he wanted from the Americans.

Ten days later, or on August 31, 1983, the longest funeral procession in Philippine history took place. An estimated two million people participated to bring Ninoy’s remains to the Manila Memorial Park in suburban Paranaque City. 

Almost overnight, an alphabet soup of organizations mushroomed to lead the protest demonstrations against the perceived complicity of the Marcos regime in Aquino’s murder.

Younger brother Agapito, or Butz, led in the creation of the August Twenty One Movement (ATOM), to press for the prosecution of the people behind Ninoy’s murder and signal the rise of the middle class and professionals in the protest movement against the Marcos authoritarian rule. 

The Justice for Aquino, Justice for All (JAJA), became the broad coalition of opposition forces against the Marcos dictatorship

The Aug. 21, 1983 assassination of Ninoy Aquino drastically altered the political equation. It galvanized the political resolve of the democratic opposition, as they went to the extent of pressing for the resignation of Marcos, whom the opposition leaders thought had blood in his hands. 

They demanded an end for one-man rule and a transition to democracy. It served as the single spark to enhance communist insurgency in the country, as rebels recruited more adherents, staged more ambushes against government troopers, and intensified armed struggle.

The assassination also provided the impetus for the middle class to join the protest movement against Marcos dictatorial rule. Business executives and their staff went out of their offices to join protest demonstrations. 

The usually placid business district of Makati, or the Ayala district, became the hotbed of activism and protest demonstrations against Marcos. It weakened the ruling Kilusang Bagong Lipunan coalition, as its members began to doubt Marcos. 

Overall, Marcos never had it so bad until the Ninoy Aquino murder took place.

Even the U.S. State Department and the U.S. Embassy in Manila, as represented by intrepid Ambassador Michael Armacost, were so surprised by the public outrage, prompting them to start distancing from Marcos. 

Seeing the magnitude and depth of the collective public anger over Aquino’s murder, Armacost avoided getting cozy and warm again with the dictatorship, as he treated them at arm's length and with ultimate formality. 

Where before Armacost was photographed dancing with Imelda, the ambassador avoided her except on formal occasions. It was a sharp contrast to the friendship which the Marcoses enjoyed with U.S. President Ronald Reagan and wife Nancy.

Marcos’s response for the crisis was fatally short of any brinkmanship. He failed to convince the people that Rolando Galman was indeed a communist hit man responsible for Ninoy’s death. 

The dictator formed a commission led by his loyal supporter in the Supreme Court, Chief Justice Enrique Fernando, to conduct an independent probe of Aquino’s murder, but the people repudiated the commission, raising the public perception that they were appointed to rig the investigation.

Marcos replaced the Enrique Fernando commission with a five man commission led by retired appellate justice Corazon Agrava. The other commission members were Amado Dizon, Dante Santos, Luciano Salazar, and Ernesto Herrera, who rose to national prominence to become a senator. 

The commission held daily hearings for almost a year and confirmed the public view that his murder was indeed a military conspiracy that involved Gen. Fabian Ver, the Armed Forces chief of staff and an infamous Marcos lackey.

The protest demonstrations continued. Perfumed elites from Makati and corporate executives like Jaime Ongpin and Ramon del Rosario Jr. joined hands with the great unwashed to press for Marcos resignation and a transition to democracy. 

Marcos was forced to call elections for members of the regular Batasang Pambansa, where the political opposition won a quarter of the seats in 1984. In late 1985, Marcos called for “snap” presidential elections, which culminated in the EDSA People Power Revolution.

The ultimate question: Who gave the order for Ninoy Aquino’s assassination?

The late Cory Aquino had put the blame squarely on dictator Ferdinand Marcos, but in the absence of direct evidence and corroborative statements, it was difficult for her to pin down Marcos as the one who gave the order for her husband's assassination. 

But pieces of circumstantial evidence showed that it was Marcos, who personally gave the order to Imelda and close confidantes to kill Ninoy if he insisted to come home at the date he was convalescing from his kidney transplant surgery.

In the dictator’s mind during those days, he was only implementing in an extrajudicial manner the death sentence a military commission gave in 1974 on trumped up charges of murder and subversion against him. 

In contrast, Ninoy Aquino felt he had to be here to present opposition alternatives for Marcos.

Imelda’s warning against Ninoy that he would be dead if he were to come home indicated that the Marcoses had plans to liquidate him. 

What took place on Aug. 21, 1983 was premeditated murder as shown by the clock-like precision of the operations. 

It was inconceivable that Marcos did not know it. He not only knew it; he personally gave the order. Hence, his order had emboldened the likes of Avsecom chief Brig. Gen. Luther Custodio, a notorious Imelda loyalist, to kill Ninoy. 

Their cocky confidence was noticeable.

To whom did Marcos give the order to kill Ninoy?

Imelda knew and implemented it along with Ver and, of course, his younger brother, Cocoy Romualdez.

It is a cause for bewilderment that Cocoy did not bother to return to the country for many years, while others took the gamble to return. He returned only when he was ill with cancer only to die in early 2012. 

Nobody could say with certainty his participation, but it has been whispered that he was among those entrusted to carry out that plan to kill Ninoy.

ALL YOU WANT TO KNOW ABOUT THOROUGHBRED HORSERACING IN THE PHILIPPINES

By Philip M. Lustre Jr.

(Author's Notes: I wrote the following three years ago as background material for a feasibility study on a horseracing project. I have decided to post it to provide readers with some ideas on the local horseracing industry. Excerpts:) 

Overview

Horseracing, as an equestrian game, has global status because of its presence in many countries, particularly in North America, Europe and Asia. Most countries allow public betting. It is a wholesome but profitable mode of public recreation and diversion. 

Over the centuries, horseracing has cultivated rich traditions due mainly to the challenge of crossbreeding to produce champion horses for various surfaces and competitive races that have resulted in numerous surprises.

In the Philippines, thoroughbred horseracing has taken a solid foothold, as it has become a principal mode of recreation and relaxation for tens of thousands of stressed Filipinos. The following represents an overview of thoroughbred horseracing in the country.

A.     It is an industry

Thoroughbred horseracing is not just a sports but a multibillion peso industry that involves billions of pesos in investments and infrastructures, includes hundreds of entrepreneurs, employs thousands of trainers, jockeys, and support personnel, and entertains millions of racing aficionados. 

It provides livelihood for about 5,000 persons, who are directly employed by the racing clubs, stables, breeding farms, among others, and tens of thousands of others, who depend or are indirectly connected to the horseracing business.

B.     Horseracing has rich traditions

Horseracing has rich traditions since 1867, when the Manila Jockey Club was founded and held the first horse racing in the country. By the turn of the century, the Manila Jockey Club had its racetrack at the old familiar site of San Lazaro in the Sta. Cruz district. Traditions flourished when US Governor-General William Howard Taft allowed public betting and opened the racetrack for people from all social strata. 

By 1937, the country had two racing clubs with the entry of the Philippine Racing Club, Inc. Since then, the two clubs alternated in holding races every week, until the third racing club has joined in 2013.

C.     Horseracing is part of Philippine culture

Horseracing has evolved to become part of Philippine culture. The horseracing traditions have cultivated a subculture among the people directly involved in the sports and the racing aficionados. 

Horseracing has its own language, value system, and social influence. Outstanding jockeys like Elias Ordiales, Jesus Guce, and Eduardo Domingo Jr. are regarded as sports icons.

D.     Horseracing is a regulated sport

The Philippine Racing Commission, or Philracom, is the state agency that has regulatory powers over the conduct of horseracing in the country. Philracom, a collegial body, ensures the integrity of all races. 

It issues license to a racing club to hold horseracing. It empowers the five-man Board of Stewards to exercise control and supervision over all races. It issues licenses to horse trainers, jockeys, grooms, and helpers. 

Philracom mandates the racing clubs to hire support personnel to include veterinary doctors to look after the fitness of every participating racehorse, doctors to look into the jockeys’ physical fitness, clockers, handicappers, starting gate personnel, and gate helpers, among others. It metes out fines, suspensions, and other forms of punishment to erring persons involved in horseracing.

D.     Horseracing is a heavily taxed sport

According to Philracom, the Manila Jockey Club Inc. (MJCI) and Philippine Racing Club, Inc. (PRCI) had generated combined gross sales of P7.9 billion in 2011 and P7.6 billion in 2012 and paid direct taxes of at least P1.0 billion and an unquantifiable amount in indirect taxes. 

Horseracing is one of the heaviest, if not the heaviest, taxed sports business in the country. Taxes are imposed on bets, winning tickets, and prizes of owners of participating horses, trainers, and jockeys in every race.

E.     Horseracing is for the masses

Horseracing has the support of ordinary people. It is the sports of the hoi polloi, or the masses. Ordinary citizens could place bets as low as two pesos in every race. No other sports have the support of the ordinary citizens.

Important details about horeracing in the Philippines

A.     Seven-day a week horseracing

Horseracing in the Philippines is a seven-day affair. Philracom rules has at least seven races; Monday, Tuesday, Wednesday and Thursday, eight races each; Friday, nine races; and Saturday and Sunday, 12 races each, or an average of 66 races a week. 

Of the over 2,000 Philracom-registered racehorses, 60 to 70 percent can compete at any given time. Off-form and injured racehorses stay in different farms either to mature or recuperate. 

Racehorses compete in regular races or stakes races sponsored by state agencies, private corporations, or private parties. Horse owners decide on the participation of their horses on specific races.

B.     Outstanding bloodlines

Several outstanding thoroughbred bloodlines are present in the country. Progenies of champion horses from the United States, Australia, and New Zealand now participate in local races. In short, thoroughbred horseracing has come of age in the country. 

It has at least 50 stallions representing known thoroughbred bloodlines to serve a number of mares for crossbreeding and provide a steady supply of competitive racehorses. The supply and demand of racehorses is not a problem due to the presence of a competitive racehorse breeding industry. 

Philracom rules allow breeders are allowed to import racehorses to improve further the genetic stock of local racehorses.

C.     Competitive racetracks

The Philippines has three horseracing clubs, with each club possessing a racecourse outside Metro Manila, to conduct daily races. These are: Manila Jockey Club, Inc., which operates the 50-hectare San Lazaro Leisure and Business Park in Carmona Cavite; Philippine Racing Club Inc, which operates the 65-hectare Saddles and Club Leisure Park in Naic Cavite; and the Metro Manila Turf Club Inc, which operates the 45-hectare Metro Turf Park in Malvar, Batangas.  

They are reputed to have competitive racetrack facilities. They hold races on a rotation basis set by Philracom. The PRCI and MJCI are publicly listed corporations. They have been posting modest profits over the past two years.

D.     Corps of Professionals

Horseracing has a sufficient universe of horse owners, who, as the main entrepreneurs, compete in the horseracing business. It has horse breeders, competent veterinarians and medical doctors, horse trainers, jockeys, grooms, helpers, and other personnel, who could provide support services for horseracing in the country. Ownership, professional services, and manpower supply do not constitute a problem in local horseracing.

E.     Network of OTBs

The three racing clubs have a network of more than 300 off track betting stations, or OTBs, which serve as their virtual marketing arms outside their racetracks. They collect public bets and pay dividends to winning tickets. 

These OTBs are scattered mostly in Metro Manila. Some OTBs are situated in the outlaying provinces outside Metro Manila. The three racing clubs accept telephone bets, but they have not been substantial.

Discussions

Thoroughbred horseracing has enormous potentials in the country. Since thoroughbred horseracing is part of Philippine culture, it should not just be left to deteriorate and die due to indifference and official inaction.

The imperative is for the government and various stakeholders to reinvent thoroughbred horseracing as a wholesome and socially accepted sport and recreation. The reinvention should stress its wholesome character, not its gambling side.

Moreover, thoroughbred horseracing has to be reinvented and presented as a family sport. Attending races could be an occasion or activity for family bonding.

This reinvention requires a three-year reengineering program, which would revolve in the entry of a well-funded dominant player that would pursue aggressively market expansion to population centers in northern, central, and southern Luzon, the Visayas, and Mindanao and use modern technology for nationwide coverage.

Reinvention

The reinvention – and eventual transformation - of thoroughbred horseracing from a form of state-abetted public gambling into a more wholesome family sport and entertainment would require a new dominant player, which would subsequently introduce a business model and reengineering program that would turn horseracing upside down.

It is ideal that the dominant player is a major conglomerate that has an existing nationwide network, which could be used to spread an equally nationwide public betting network, and allied businesses that could be used as platforms to complement the operations of a nationwide thoroughbred horseracing business.

Issues confronting the horseracing business

Despite its rich traditions, horseracing has not been a nationwide sport or form of recreation and diversion. It is mainly based in Metro Manila and some outlaying areas and provinces. It has many issues, which restrict its growth and hamper its expansion and potentials. These issues are multifaceted and overlapping. These issues include the following:

A.     High taxes

The government has imposed taxes on bets, winning tickets, and prizes of owners of participating horses, trainers and jockeys. After all those tax deductions, only 65 percent of the betting pie goes to dividends. 

The remaining 35 percent go to a combination of taxes, operating expenses, and the Club’s commission for holding the races. Because of the taxes and other incidental expenses, the dividend for winning tickets becomes smaller, becoming a disincentive for the betting public.

B.     Stagnant sales

Gross revenues of the two racing clubs have been stagnant, if not on a steady and gradual decline over the years. Philracom said the Manila Jockey Club Inc. (MJCI) and Philippine Racing Club, Inc. (PRCI) had posted combined gross sales of P7.9 billion in 2011, but it went down to P7.6 billion in 2012. 

The average daily sales is around P24 million, which is many times lower compared to gross sales in Hong Kong, and other horseracing cities in Asia. Because of stagnant sales, profitability is adversely affected; the racing clubs could hardly go to any expansion mode. As a result, their betting niche has hardly expanded over the years.

C.     Changing business models

Because of the declining sales, the two major racing clubs have not depended much on horseracing sales. They have cultivated their real estate business, which has been triggered by the sale of their erstwhile racecourses in Metro Manila and their transfer to those racetracks in Cavite province. Their business models appear to have changed drastically as indicated by official data.

According to its website, the PRCI registered net horseracing sales (minus taxes, operational expenses, franchise commissions and other expenses) of P316.9 million in 2011, P324.5 million in 2010, and P321.7 million in 2009. It posted a net profit of P228.1 million in 2011 and net losses of P33.9 million in 2012 and P58.5 million in 2009. 

Its profit turnaround is attributed to the sale of the old Sta. Ana Racetrack, a 21-hectare prime real estate at the heart of Makati City. The PRCI entered into its book a net profit of P284.3 million from its sale to Ayala Land.

According to its website, the MJCI recorded net sales of P749.7 million in 2009, of which P279.9 million came from horseracing, P311.4 million from real estate transactions, and P156.4 million from its rent of horse stables and condominium units. 

It posted net sales of 731.3 million in 2008, of which P273.4 million came from horseracing, P311.8 million from real estate, and P146.2 million from rent, and net sales of P756.9 million in 2007, of which P331.7 million came from horseracing, P296.1 million from real estate, and P129.1 million from rent. 

Its net profit reached P41.2 million in 2009, P21.2 million in 2008, and P47.9 million in 2007. MJCI has been concentrating largely on its real estate and rental businesses, making them part of its core business.

Meanwhile, MJCI’s net assets declined to P3.63 billion in 2009 from P3.68 billion in 2008, while PRCI’s net assets rose to P2.84 billion in 2011 from P1.97 billion in 2010 largely from the sale of its racetrack in Makati City.

D.     Lack of perceptible marketing programs

The two racing clubs have hardly launched aggressive marketing programs to capture a bigger market. Despite the changing technology, horseracing is still confined to Metro Manila and some outlaying areas. Its betting niche is limited to the silver generation, or people, 40 years of age and above, 90 percent of which belong to the C and D market. 

It has neither expanded to the northern, central, or southern Luzon, the Visayas and Mindanao nor enticed people below 40 years of age to try horseracing, or those in the higher income bracket, mainly the A and B market.

E.     Inability to use the digital technology

Modern technology, specifically digital technology, has been consistently and persistently developing to enable racing aficionados to watch – and place bets on – actual races on a nationwide basis. This is also possible overseas. 

The racing clubs have not exploited this technological capability. Thus, the three clubs are limited to its traditional base of operations – Metro Manila with its old core of bettors. They are enmeshed in the traditional ways of betting, as they rely on their off-track betting stations (OTBs) as their marketing arms.

F.     Difficulty in putting up new OTBs

The political environment has been considered generally restrictive to put up new OTBs because of the difficulties to get permits from local officials – from the barangays to the city government governments. The inability to put new OTBs means stagnant sales. 

Moreover, the ridiculously low commission, or 0.75 percent of gross sales, which the three racing clubs give to OTB operators, has been a disincentive for prospective OTB operators. Hence, the three racing clubs have to depend on the 300 OTBs scattered mostly in Metro manila and its outlaying areas.

G.    Public perception of rigged horse races

The public perception that certain horse owners resort to game-fixing to earn a windfall has dampened the bettors’ enthusiasm. This leads to the declining sales in horseracing. This is a lingering issue, which the racing authorities deal squarely by imposing severe punishments on erring horse owners, trainers, and jockeys. But it persists.

H.     Presence of illegal bookie joints

Illegal bookie joints compete with the officially sanctioned off-tracks betting stations (OTBs) of the three racetracks. A one-peso bet is usually given an added value of between 10 to 20 percent. Illegal bookie joints have flourished in many areas, where the three racing clubs hardly have presence. 

They become the convenient substitutes for OTBs. This is a police matter that has not been adequately addressed. Those illegal bookie joints have become part of the underground economy. It has been estimated that they take bets equivalent to the daily sales of the three racing clubs.

I.        Underinvestment

The three racing clubs have hardly invested on modern technology, limiting their presence on their traditional base of operations. They neither possess expansion plans not marketing programs. 

They are essentially timid in pouring new investments in horseracing. Because of the changing business models, the two traditional racing clubs – MJCI and PRCI – are more interested in real estate business. 

J.      Notorious gamblers as horse owners

This issue continues to affect the legitimate horse owners, who feel that other horse owners who are chronic gamblers and part of illegal gambling syndicates destroy the public image of horseracing as a wholesome sport. 

They could not take the presence of these horse owners, who are also perceived to be jueteng lords.