DFNN eyes settlement of row with PCSO

MANILA, Philippines—Listed information technology solutions provider DFNN Inc. is seeking an amicable settlement with the state-owned Philippine Charity Sweepstakes Office (PCSO) over a wireless lotto betting contract dispute after recently getting a favorable ruling from the Court of Appeals.

“I personally feel and am sure the board of DFNN would support me, that these actions were of the past and we would like to support the current administration in its goals of increasing funds for charity,” DFNN chairman and president Ramon Garcia Jr. told the Inquirer.

“We hope to settle this amicably in the proper manner that is mutually beneficial to both parties. We believe in the vision of this administration and that of the current PCSO board,” Garcia said in a text message on Friday.

DFNN last week disclosed to the Philippine Stock Exchange that it had received a resolution from the CA resolution dated March 21 junking the PCSO’s petition to dismiss its complaint over the equipment lease contract that was scrapped by the state agency during the Macapagal-Arroyo administration.

Under the contract that was aborted by the previous PCSO management, DFNN was supposed to provide the agency with a technology that will enable it to receive lotto bets nationwide via a wireless arrangement.

DFNN battled the PCSO in court after the equipment lease agreement was terminated, initiating arbitration proceedings on the matter.

In 2010, DFNN obtained an injunction from the Regional Trial Court of Quezon City that prevented the PCSO from awarding any contract to any entity for wireless betting while DFNN was undergoing arbitration proceedings. It was this RTC ruling that the PCSO had assailed before the CA which, however, junked its motion.

In its complaint against the PCSO, DFNN had argued that:

— The unilateral cancellation of the agreement was without cause.

— The issuance of the PCSO resolution, approving the revised text betting project, as well as PCSO’s act of negotiating with third parties regarding the implementation of the said project, compounds the violation of the rights of DFNN.

— DFNN will suffer grave and irreparable injury should the above acts of PCSO not be enjoined.—Doris C. Dumlao