President Rodrigo Duterte has given the go-signal for small town lottery (STL) authorized agent corporations to operate provided they meet certain requirements.

Presidential Spokesperson Salvador Panelo, in a text message to reporters Thursday night, said franchise holders have to give three months deposit, while those non-compliant would have to pay their arrears.

"There will be a waiver from suits. Franchise holders can not sue," he said.

He said the lifting of the suspension order on STL operations would be effective after the publication of the implementing rules and regulations.

"Any violation of any of the conditions contained in the implementing rules and regulations will mean revocation of the licence to operate the STL," said Panelo, also chief presidential legal counsel.

In a separate statement, Philippine Charity Sweepstakes Office general manager Royina Garma said their office recommended to Duterte the lifting of the suspension of STL operations.

She said the cash bond equivalent to three months of the PCSO’s share in the guaranteed monthly retail receipts is on top of authorized agent corporations' existing cash bonds.

She added that upon failure to timely and fully remit their guaranteed minimum monthly retail receipts (GMMRR) during the duration of operations, the authorized agent corporations cash bond equivalent to three months of the PCSO’s share in the GMMRR shall be automatically forfeited in favor of PCSO, without prejudice to the other remedies that may be exercised by the government.

Garma said the STL agency agreement shall automatically be terminated upon violation of the conditions set by the PCSO.

Duterte ordered the suspension of all PCSO gaming operations, including lotto and STL, in July due to alleged corruption. But after a few days, he ordered the lifting of the suspension on lotto operations after it was found out there was no corruption here. Celerina Monte/DMS