MANILA, Philippines (The Adobo Chronicles, Manila Bureau) – President Rodrigo Duterte’s order suspending the gaming schemes of the Philippine Charity Sweepstakes Office (PCSO) due to alleged corruption has sent shockwaves across the nation.
Foremost in the minds of politicians is the potential loss of revenue to help fund the government’s social programs. A percentage of PCSO collections is supposed to be remitted to the government but a recent audit by the Commission on Audit shows that PCSO has failed to remit some P8 billion as of 2016.
To lessen the impact of such potential loss of revenue for government social programs, Opposition Senator Risa Hontiveros has filed a bill to legalize the 5-6 scheme.
”5-6” is a loan practice popular among Filipinos whereby an individual provides short-term loans to others at 20% interest — no paperwork, no collateral needed; just word of honor.
Under Hontiveros’ proposal, 5-6 lenders will now be registered with the Bureau of Internal Revenue as a legal loan business. Ten percent of the earnings of the individual lenders will be remitted to the government to be used as a social program fund.
What a brillint idea, Madam Senator!