Kilosbayan v.

Guingona
Ponente: Chico-Nazario, J.

Facts:
1. PCSO decided to establish an on-line lottery system
2. Berjaya Group Berhad, Sports Toto Malaysia (subsidiary), International
Totalizor Systems Inc. (US) plus Filipino investors created in March 1993 the
Philippine Gaming Management Corporation (PGMC). It was intended to provide
technical and management services that would be offered and delivered to
PCSO. PCSO issued in August 1993 a Request for Proposal (RFP) for the lease
contract
3. Berjaya reduced its equity to 40%. PGMC submitted its bid and was evaluated
by SPBAC. The bid was forwarded to the Office of the President. The President
gave its initial go signal to operate and required the submission of the
implementing contract.
4. KILOSBAYAN submitted a letter opposing the on-line lottery system. But
Malacanang decided to push through with the project reiterating that PCSO will
operate and PGMC is merely a lessor. KILOSBAYAN requested copies of all
documents. But on the day of request, the Contract of Lease was executed
between PCSO and PGMC.

Issue/Held/Ratio:
WON the petitioners have a legal standing? (7-6: yes-no)
1. Procedural technicality may be brushed or set aside by the Court if the issue is
of transcendental importance to the public. It is the Courts duty to settle promptly
and definitely these cases, to determine whether the officials acted without or in
excess of their jurisdiction, given its wide discretion.
2. The case is of transcendental importance. The legal standing of the petitioners
deserves recognition and it the exercise of the Courts sound discretion, it
brushes aside the procedural barrier.
i. Paramount public interest

ii. Ramification of the issues affect the social, economic, and moral well-being of
the people
iii. Counter-productive and retrogressive effects of the envisioned on-line lottery
system