Philippine Senator: Forget ‘POGO Mayor,’ Go After the Syndicates
In an Oct. 7 news release, Philippine Senator JV Ejercito said hearings on Philippine Offshore Gaming Operations (POGOs) have turned into the equivalent of “a talk show.”
He urged lawmakers to conclude the proceedings and pursue the “real goal, identifying the international crime syndicate (that is) really behind this.”
On July 22, President Ferdinand Marcos Jr. banned Philippine Offshore Gaming Operations following allegations of rampant crime. Since then, much of the attention has been focused on Alice Guo, the disgraced former mayor of Bamban, Tarlac Province.
Guo reportedly helped fund a sprawling POGO that, in fact, was a boiler room for online scams. After a March raid, workers there claimed to be victims of human trafficking who routinely faced threats of abuse and torture.
But Ejercito says Guo is “a mere front” for a larger organized crime operation. Meanwhile, POGOs have continued to operate in the country. On Sept. 4, an illegal POGO hub was uncovered in Subic. On Oct. 4, another was raided in Pasay City, in the shadow of the Senate building, where the hearings are being held. Senator Win Gatchalian said the fight against POGOs is “far from over.”
UN Report: Southeast Asia a Hub of Cyber-Crime
A new United Nations report says cyber-crime in Southeast Asia generated a staggering $37 billion in 2023. “Transnational criminal groups … have emerged as global market leaders,” according to the UN Office of Drugs and Crime (UNODC). The report pointed to Singapore as the possible “tip of the iceberg.”
The gaming industry is one source of the ill-gotten gains, which are funneled into real estate, luxury goods and precious stones and metals.
Last year, Singapore’s reputation as a secure financial center took a punch following a money laundering scandal in which S$3 billion (US$2.3 billion) in assets were seized. Twenty-seven foreign nationals were implicated in the case, including several linked to illegal online gaming in the
Philippines. In July, Philippine President Ferdinand Marcos Jr. banned the so-called POGO industry, a hotbed of alleged crimes including human trafficking and murder.
Singapore’s Interministerial Committee (IMC) has recommended greater access to suspicious transaction reports from banks, casinos, real estate agencies and other “industry gatekeepers.” A proposed data-sharing platform would alert law enforcement, regulators and the government to potential financial crimes, so they could act more quickly.
MGM Boss Bullish on Macau, Despite Stimulus Stumble
Bill Hornbuckle, president and CEO of MGM Resorts International, has “great hope” for Macau heading into 2025, despite China’s struggling economy and a stimulus plan that failed to restore consumer confidence.
Speaking at the Global Gaming Expo (G2E) trade show in Las Vegas Oct. 8, Hornbuckle said record tourism during the October Golden Week holiday is reason for optimism. “We’ve all had an amazing week. It speaks to the general economy and the activity case in Macau,” Hornbuckle told CNBC. “And we remain pretty excited by it all.”
According to government data, gross gaming revenue (GGR) in the world’s dominant casino market grew 31.3 percent year-on-year. It hit MOP169.36 billion (US$21.14 billion) through September, or 76.9 percent of pre-Covid levels.
MGM Resorts is the parent of MGM China, which operates MGM Macau and MGM Cotai in the Chinese special administrative region (SAR).
JP Morgan: Bangkok Casinos Could Produce $3 Billion in Revenue
Two proposed integrated resorts (IRs) in Bangkok, Thailand, could reap up to $3 billion in annual revenues once they are established, according to an estimate from JP Morgan.
IRs—or “entertainment complexes,” in the Thai parlance—are multi-faceted complexes with hotels, entertainment, theme parks, restaurants and other attractions, anchored by casinos.
The Buddhist kingdom now prohibits gambling with the exception of state-run lotteries and horse race wagers. To prop up the sagging economy, lawmakers are now considering up to five IRs with two possible in Bangkok. Investors must spend $2.8 billion for a license, which will be valid for up to 30 years.
South Korea’s Kangwon Land Looks to IR Model for Growth
The Kangwon Land casino in South Korea has announced plans to beef up non-gaming, following the integrated resort (IR) model successfully employed in Singapore, Las Vegas and elsewhere.
Kangwon Land, in the mountains of Gangwon Province, is home of the only gaming hall in the country that is open to South Korean nationals. The operator believes an expansion of non-gaming amenities would attract more international visitors. This year, some 25,000 foreigners visited Kangwon Land’s High1 Resort, up 476 percent over 2023.
The company’s KRW2.5 trillion ($1.85 billion) integrated tourism project would also expand the casino floor by 30 percent.
Macau CE Candidate Supports Superstar Residencies
Sam Hou Fai, the former appeals court judge running unopposed for Macau chief executive, says casinos in the city should step up their entertainment game to draw more tourists at an Oct. 5 town hall meeting.
“We are lagging behind,” said Sam Hou Fai, who is expected to succeed CE Ho Iat-Seng on Oct. 13.
“We must enhance our competitiveness,” said Sam. “Our unique advantages have not yet been fully utilized.” Sam said the Big 6 casino operators should introduce superstar residencies like those in Las Vegas.
“A famous UK singer, who once performed in a residency in Las Vegas, was offered around $200 million by a gaming firm in Macau to perform for maybe half a year,” Sam said, in an apparent reference to Adele. “While she turned down the offer, could we not continue to promote something like this to make it a long-term operation?”
