Arrest of POGO “Kingpin” Could Lead to More Crime Bosses
On Oct. 10, Philippine police and immigration officials arrested Lyu Dong, aka Lin Xunhan, who allegedly helped grow a network of bogus Philippine Offshore Gaming Operations (POGOs).
The licensed entities, while ostensibly offering online games to players outside the Philippines, served as fronts for illegal scams, money laundering, human trafficking and other crimes.
The Chinese national has been described as a criminal “kingpin” who may lead authorities to others involved in the industry.
Winston Casio, spokesman for the Presidential Anti-Organized Crime Commission (PAOCC), called Dong one of the industry’s “major financiers and pioneers. … This guy is a big fish.”
In July, President Ferdinand Marcos Jr. banned the industry and ordered the deportation of tens of thousands of foreign workers. Since then, some POGOs have gone underground. A recent raid in Pasay City revealed an illegal facility in the shadow of the Senate office building, where hearings into POGO crimes continue.
Macau Criminalizes Illegal Money Exchanges
As expected this week, Macau’s Legislative Assembly (AL) enacted a law making it a crime to run an unlicensed currency exchange. The amended Law on Combating Gambling Crimes includes prison terms of up to five years for offenders. They could also be banned from entering city casinos for two to 10 years.
Illicit exchange gangs frequent Macau gaming halls and help Chinese gamblers sidestep government controls on capital flight. They have been linked to fraud, money laundering and loan sharking, and violent crimes such as kidnapping and murder.
The new law also increases the penalties for illegal gambling and gives law enforcement the right to search suspected gambling dens.
Melco Opens City of Dreams Sri Lanka
On Oct. 15, Macau gaming concessionaire Melco Resorts & Entertainment debuted its new 687-room luxury hotel, Cinnamon Life at City of Dreams Sri Lanka. The Colombo hotel constitutes Phase 1 of a larger $1.2 billion resort complex, developed in association with the John Keells Group.
The entertainment complex will cultivate meeting and event planners with the largest conference center in Colombo. Phase 2 of the project, including a shopping mall, casino, and high-end Nuwa-branded hotel, are scheduled to open in mid-2025.
Melco projects that the casino will generate gross gaming revenue (GGR) of $250 million per year when it’s fully operational. Melco Chairman and CEO Lawrence Ho says the facility could expand as the need dictates.
Will CNMI Roll the Dice on Rota Casino?
The Seoul-based IH Group plans to develop a casino resort at the long-shuttered Rota Resort and Country Club on the Pacific island of Rota. The Commonwealth of the Northern Mariana Islands (CNMI) has already granted the company a provisional casino license, which comes with a $200,000 annual fee.
But officials with the Department of Public Lands (DPL) say the resort property is still up for grabs. A request-for-proposals (RFP) period began in August with an initial end date in September. IH has submitted a proposal, but the RFP has been extended to Nov. 10.
The golf resort closed in 2022, during the Covid-19 pandemic. In 2023, the DPL terminated the land lease, claiming Rota Resorts LLC had simply walked away. It also failed to pay $640,000 in lease fees. Owner Hee Kyun Cho appealed the termination, claiming Covid-19 was a “force majeure” event that caused the closure and payment delays. In December, the appeal was denied, making the property available to bidders.
