An area in the Porac, Pampanga POGO hub after it was raided by authorities. Office of Sen. Sherwin Gatchalian

MANILA — The House of Representatives will launch an investigation into the reported criminal activities involving Philippine Offshore Gaming Operations (POGO).

House Speaker Martin Romualdez has ordered the probe to determine and hold accountable the “masterminds” and “protectors” behind the illegal activities. He said the inquiry will also seek to identify the gaps in the existing regulations which allow operators to evade the law.

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“We cannot allow these rogue POGO operators to persist in their illicit actions. It is imperative that we identify and unmask the masterminds and protectors behind these operations so they can be prosecuted to the fullest extent of the law,” Romualdez said.

“Establishing the identities of those responsible for protecting and facilitating these illegal operations and ensuring they are held accountable is a priority,” he added.

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The congressional probe will look into reports of money laundering, human trafficking, and other offenses allegedly committed by illegitimate POGOs.

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Stakeholders including law enforcement agencies, regulatory bodies, and community representatives will be invited to the House hearings.

STRINGENT MEASURES VS POGOS

Romualdez said the findings of the investigation would be used to craft “stringent measures and reforms aimed at eradicating illegitimate POGO operations in the Philippines."

The House Leader had said that he favors strict enforcement of laws on POGOs, instead of a total ban, which he noted may only drive them underground.

House Committee on Ways and Means chairperson and Albay Second District Rep. Joey Salceda supports Romualdez’s position.

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“The government should not introduce a POGO ban. Period. It will kill any inducement to good behavior in that sector. It will also completely wipe out the incentive for legally compliant licensees to tip off illegal operations of non-compliant competitors,” Salceda said in a statement.

“In the tobacco sector, a lot of the tips on smuggling and illicit trade come from the tax-compliant companies. The same is true for POGOs. It's a bad idea to even contemplate a total ban,” he added.

Salceda wants to retain the POGO Tax Law and funnel some of the revenues towards law enforcement capabilities.

Data obtained by Salceda's panel showed that 2023 Pagcor collections from licensed POGOs improved to P5.1 billion from just 87 licensees, compared to P2.99 billion from 158 licensees the year prior.

This level is only exceeded by 2019 collections, the first full year of legalized POGO operations, when PAGCOR collected some P7.96 billion from 298 licensees.

CALL TO BAN POGOS

An area in the Porac, Pampanga POGO hub after it was raided by authorities. Office of Sen. Sherwin Gatchalian

But for opposition lawmakers, regulating POGOs is not enough to put an end to illegal activities being linked to gambling hubs.

ACT Teachers Rep. France Castro and Gabriela Rep. Arlene Brosas reiterated their call for a total.

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“Maliit lang ang nakukuha nating tax sa POGO, hindi siya makasasapat para doon sa social cost na inaabot natin, katulad ng prostitusyon, trafficking, sex trafficking, and other criminal activities na nangyayari dito sa ating bansa. Baka mas mahal pa ang ating popondohin para i-repatriate ‘yung mga gumagawa ng criminal activities na ‘yan dito sa ating bansa,” Brosas said.

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Castro said she hoped President Ferdinand Marcos Jr. would state his position on the matter in his State of the Nation Address on July 22.

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“Mariringgan ba natin siya na iba-ban na niya ang POGO?” she asked.

“Nagawa na ‘yan before na ma-legalize ang mga POGO. Pero kita naman kahit na-legalize ito mas marami ang sumulpot na mga illegal... Palalim nang palalim ‘yung nagiging issue dito. Kahit mga opisyal ng gobyerno ay sangkot na rito o may kinalaman na,” Castro added.

Even some lawmakers from the House majority support the call to ban POGO operations in the country.

“Maganda rin talaga na ma-ban na ‘yung POGO kasi nate-taint ‘yung mga morals and values ng ating mga kababayan,” House Deputy Majority Leader and Iloilo First District Rep. Janette Garin said in an online media conference.

She was among the lawmakers who previously supported legalizing POGOs in the Philippines due to the perceived economic gains for the country. But following a spate of crimes being linked to illegal POGOs, Garin believes the risks from the sector outweigh the benefits.

“The previous Congress, we were supportive of it on the issue of economics, kasi hindi naman Pilipino ‘yung nagsusugal eh, mga Chinese naman ‘yung nagsusugal. So, bahala ‘yung bansa nilang harapin ‘yung problemang ‘yun,” she said. 

“But if we're going to weigh the impact, ang problema kasi ‘yung mga legal naging front nu’ng mga illegal, and they have penetrated our country so much… nagiging melting pot tayo ng mga illegalista ng ibang bansa. So, better get rid of them and let us allow the foreign nationals, who are real businessmen to come into our country, rather than the POGO sector,” Garin added.

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Last February, a House panel approved a bill seeking to ban POGOs in the country, but it has yet to be tackled at the plenary.

Last month, the Makabayan bloc filed a separate bill seeking to prohibit and criminalize offshore gaming operations in the Philippines. The measure also proposes to revoke the licenses granted to POGOs.

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