MikeLigalig.com

To the Point
by Emil Jurado

I read the Wall Street Journal, Asia Edition, dated February 22, 2012. I was shocked to read that Wynn Resorts Ltd. accused Japanese billionaire Kazuo Okada of Universal Entertainment of putting up Philippine Amusement and Gaming Corp. Chairman/CEO Cristino Naguiat Jr. in the most expensive room at Wynn Resorts Macau, known as Villa 81. This covered 7,000 square feet and cost $6,000—P258,000—per day.

Santa Banana, the 47-page Wynn report even detailed the September 2010 Macau visit of Naguiat with his wife, three children, a nanny and other Pagcor officials to Wynn Resorts Macau!

The report said that Naguiat was registered as “incognito” —“an attempt to hide the payment of extremely costly expenses by a corporation connected with a registered entity.”

Okada was given a license to operate casinos and entertainment facilities at the Entertainment City being put up by Pagcor at the 71-hectare reclaimed area along Roxas Boulevard.

The Japanese billionaire was also accused of improperly giving more than $110,000 in payments and gifts to two gambling regulators in the Philippines and their families. Okada, his associates and companies reportedly made three dozen improper payments, including the four-day stay by Naguiat and family.

Okada and Wynn Reports Ltd. of Las Vegas, with casinos in Macau and Sentosa Island in Singapore, are now locked in an intra-corporate dispute resulting in the takeover by Wynn Resorts of Okada’s interests at Wynn and his forcible dismissal as its director.

On February 20, 2012, Okada visited Naguiat and explained. He denied making cash gifts, according to a press release of Naguiat.

Okada reportedly told Naguiat that the $110,000 in gifts detailed in the report were “complimentary accommodations” granted to Okada’s business associates from the Philippines and other countries from 2008 to 2011, according to Pagcor’s statement. Okada had reportedly apologized to Naguiat and other officials.

I wrote in my column yesterday that I found Pagcor’s explanations reasonable. I know for a fact that there is a reciprocity agreement among gaming and casino establishments worldwide.

But I did not have all the details then, as I do now.

Malacañang has also since defended Pagcor and Naguiat. I wonder whether the President has read the Wynn Report.

The report said that Okada’s associates in Macau obtained $20,000 from the resort’s cash as advances for Naguiat and his family. Okada also reportedly hosted a dinner at Wynn Macau for Naguiat and about 13 others, charging the US$1,673 dinner to Okada’s room.

The Wynn report disclosed what transpired during a Wynn Resorts board meeting in February 2011, when Okada said that “in Asia, it’s okay to give gifts to government officials” and “I wouldn’t bribe someone but would have someone else bribe that person”—or something to that effect.

Okada, of course, denied everything. But, Wynn Resorts Macau has the records to show it. The US Securities and Exchange Commission has since stepped into the picture between Okada and Executive Officer Stephen Wynn.

The Wynn report also detailed 30 charges, between 2008 and June 2011 when Okada, his associates and companies made payments that directly benefited senior Pagcor officials, including two chairmen and their family members. One payment for $4,642 reportedly benefited former first gentleman Mike Arroyo. I don’t know how Mr. Arroyo can explain this.

In any case, the Wynn report is detailed enough, especially about the four-day stay of Naguiat and family at the P268,000-a day room.

I wonder how President Benigno Aquino III would react to this. Or, will he do what he has always done for his close associates who have committed wrongdoing?

It is sad the President’s own friends are making a mockery of the administration’s drive against graft and corruption!

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