GGRAsia – Pagcor to halt POGO hubs amidst crackdown on illegal ops

Pagcor to halt POGO hubs amidst crackdown on illegal ops

Jul 11, 2024 Newsdesk Latest News, Philippines, Top of the deck

The Philippine Amusement and Gaming Corp (Pagcor) has announced that it will no longer permit the establishment of Philippine Offshore Gaming Operator (POGO) ‘hubs’. The new policy was revealed on Wednesday by Pagcor chairman and chief executive Alejandro Tengco during a Senate inquiry into illegal POGO activities.

In July last year, Pagcor introduced new regulations for POGOs, now referred officially to as “Internet Gaming Licensees” (IGLs).

Mr Tengco (pictured in a file photo) underscored that the regulatory body would rigorously monitor the remaining 43 licensed POGO firms in the country, deploying “24/7 teams” to oversee their operations.

“Hopefully that can deter [illegal activities], hopefully if we notice anything, we can immediately report it to the police,” he stated, as quoted by local media outlet the Philippine Daily Inquirer.

The ban on new POGO hubs was described by Mr Tengco as part of ongoing “enhancements” to regulatory oversight. “We’re coming out with certain guidelines. We’re already banning hubs,” he said.

According to available media reports, Mr Tengco did not clarify what was meant by POGO hubs.

The declared ban on POGO hubs follows growing calls from various political factions to ban POGOs altogether. Mr Tengco noted that Pagcor would not oppose any decision by Congress and President Ferdinand Marcos Jr to implement such a ban.

The sector has faced criticism due to issues including tax avoidance, illegal employment, and failure to pay proper fees, which have tarnished its reputation, according to previous statements by Pagcor.

The idea of banning POGO licences has yet to be formally discussed among cabinet officials, according to comments on Tuesday by Arsenio Balisacan, Secretary of the National Economic and Development Authority (NEDA).

During the Senate hearing, Mr Tengco said former presidential spokesperson Harry Roque had lobbied for the POGO firm Lucky South 99 Inc in July 2023. The firm, which recently faced a raid over alleged human trafficking and other illegal activities, owed US$500,000 in “arrears”.

Mr Tengco clarified that Mr Roque did not pressure Pagcor to resolve Lucky South 99′s issues, but his name was included in a reapplication for its licence, which was set to expire last October.

The Pagcor official earlier had said a former government official lobbied for the granting of a licence to unidentified illegal POGO operations.

In response, Mr Roque issued a statement denying any advocacy for illegal POGOs or involvement with Lucky South 99. “I clarify that I did not consent to nor was I informed of my name’s inclusion in any submission by Lucky South Pagcor concerning licence renewal,” he asserted.