Clark Freeport authority shuts down Fontana leisure park, casino

CLARK FREEPORT, Philippines – The government-run Clark Development Corporation (CDC) issued a cease and desist order against Fontana Development Corporation (FDC) and Fontana Resort and Country Club Incorporated (FRCCI), halting the operations of the 300-hectare leisure park and casino complex in Pampanga on Monday, January 6.

The CDC said all operations of FDC and FRCCI, including businesses of sub-lessees, are suspended indefinitely.

“Thus, any operations of FDC and FRCCI, including all businesses of sub-lessees, are indefinitely suspended,” read part of a CDC public notice.

The CDC warned that failure to comply with the order could lead to actions such as terminating or enforcing the provisions of their August 31, 2016 consolidated lease agreement.

Based on a document obtained by Rappler, Fontana initially received a similar order from CDC in December 2016 due to a pending investigation by the Department of Justice (DOJ) into alleged unlicensed gaming operations and the employment of foreigners without legal permits. However, CDC notified Fontana that it could resume operations of all its facilities in the same month.

Another cease and desist order, dated May 20, 2020, was issued by CDC for the alleged illegal operation of a makeshift medical facility for Chinese patients in one of the Fontana villas. The suspension was then lifted less than two weeks later. 

On December 17, 2024, the power lines to the complex were cut off due to unpaid electricity bills. However, the bill was settled and power was restored two days later, according to Allan Resma, safety officer and chair of the family welfare program for Fontana employees.

Resma said some tenants, who are on long-term leases, remained in the complex despite the order. 

Rappler has been reaching out to CDC regarding Fontana’s status since December 17, and while it has acknowledged this, no statement or response to the queries has been provided. Rappler will update this story once we receive their response.

The closure of Fontana affects over 500 employees, including 346 from the resort and 229 from the casino.

Casino employees are managed separately by the Clark Resort Travel and Amusement Corporation (CRTAC), according to Joseph Manalili, casino internal security supervisor.

Manalili said salary delays for casino employees began in 2023, and they have since reached out to CDC and Department of Labor and Employment (DOLE) in Pampanga for assistance.

Despite the delays, the casino remained operational with a skeleton workforce until the latest cease and desist order was served. Maintenance and security staff were required to work to maintain equipment and secure the premises.

Manalili said that while there is only one owner, the resort employees work for different companies. He said the resort operates under three entities: FDC, FRCCI, and CRTAC.

The workers also do not have a union, he said.

“The salary is often delayed. Sometimes, we receive it first, other times the resort employees do. There are times when we only get part of our salary for the month. Whatever happens with the resort employees also happens to us. Our Chinese bosses tried to catch up, but our 13th-month pay was only given in February the following year, in two installments,” Manalili said in Kapampangan.

Resma said Fontana has only paid the November 15 salary, with the remaining November 30 and December salaries, along with the 13th month pay, still unpaid to both the resort and casino employees.

Casino employees are scheduled for a hearing at the National Labor Relations Commission (NLRC) on February 3.

Resort employees are set to file a case on Wednesday, January 8. This follows the failure of Fontana’s human resource manager, Dennis David, to attend Monday’s conference after Resma’s formal report to DOLE-Pampanga in December 2024. – Rappler.com