PRESIDENT Rodrigo R. Duterte has lifted the ban on small-town lottery, with conditions, the presidential palace said on Thursday night.

Compliant franchise holders must make a three-month deposit while noncompliant ones must pay arrears, presidential spokesman Salvador S. Panelo said in a statement. Franchise holders cannot sue.

Mr. Duterte on July 26 ordered the closure of all gaming operations under the Philippine Charity Sweepstakes Office for corruption. He lifted the suspension on lotto games on July 30.

The president on has said he might create an agency under his office that will award STL franchises to prevent corruption.

He cited allegations that some retired police generals own STL franchises and have not paid the government’s revenue share. — Arjay L. Balinbin