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In a private, members‑only club called The Lantern Society, members meet in a secluded room to participate in a weekly 'mystery-number lottery.' Each member pays 250 pesos for a ticket; a private draw selects a winning number, and the winner receives 68% of the weekly pot while the organizer takes 32% as an administration fee. The activity is not licensed by PAGCOR or any other authority. A raid interrupts the event and the owner-manager is charged with illegal gambling under P.D. No. 1602, as amended by R.A. No. 9287. Which of the following statements about liability and penalties is correct under Philippine law?

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