GGRAsia – Pagcor warns POGOs against involvement in criminal acts

Pagcor warns POGOs against involvement in criminal acts

May 18, 2023 Newsdesk Latest News, Philippines, Top of the deck

The Philippine Amusement and Gaming Corp (Pagcor) issued on Thursday what it called a “stern warning” to Philippine Offshore Gaming Operators (POGOs) against involvement in criminal activities.

The warning followed a suspension order issued to CGC Technologies (CGC), an accredited offshore gaming customer relations service provider, suspected of involvement in credit card fraud, serious illegal detention, and human trafficking activities. The firm’s facilities were raided by the Philippine authorities earlier this month.

The Philippine gaming regulator said in a press release that its chairman and chief executive, Alejandro Tengco (pictured in a file photo), had stressed that POGO involvement in any criminal activity would be dealt with “severely”. That included possible suspension and cancellation of operating licences or accreditations of any party involved.

Mr Tengco added that the operation against CGC was the result of “intensified coordination” between a number of government agencies, to combat illegal activities linked to POGOs. In its release, Pagcor expressed “full support” to a decision by the country’s authorities “to order the immediate repatriation of the foreign nationals rescued” during the CGC operations.

“We will continuously subject our offshore gaming licensees and service providers to stricter monitoring,” he said.

“Pagcor will continue to work hand in hand with law enforcement agencies to ensure a safe and responsible gaming environment not only for Filipinos but also for other nationalities. Only through regulated and responsible gaming can we minimise, if not totally eradicate all crimes that are being linked to gaming activities,” Mr Tengco added.

A report from the Philippine National Police, discussed in late January at a Senate hearing into POGOs, indicated the police agency had recorded circa four times more POGO-related crimes in 2022 than in 2019, namely 40, versus nine. Members of a Philippine Senate committee had previously criticised Pagcor for what they said was a lack of oversight regarding the operations of POGOs.

Senator Sherwin Gatchalian, in particular, has urged the prompt closure of POGOs. He has cited lack of benefit to the wider domestic economy, outstanding tax liabilities of some operators, and concerns about social harm from “criminal influence” associated with the trade.

The online gaming segment in the Philippines grew rapidly under the leadership of former Pagcor chairman Andrea Domingo.

In March, Pagcor stated it had terminated the contract of a third-party auditor that had been responsible for auditing POGOs. It said the service provider was found to be “in default of its obligations” and to “have committed unlawful acts”.