In Philippines, Officials Look to Ban iGaming

Two online gaming operators in the Philippines have closed due to the alleged human trafficking of foreign workers. In response, Senate Majority Leader Joel Villanueva (l.) has filed a bill to ban all types of online gambling.

In Philippines, Officials Look to Ban iGaming

In the Philippines, Senate Majority Leader Joel Villanueva is behind new legislation that would ban all forms of online gambling in the country. The bill followed the discovery that some Philippine Offshore Gaming Operators (POGOs) may have engaged in human trafficking to create a workforce.

According to local media outlet ABS-CBN, authorities recently rescued 70 foreigners allegedly detained inside a POGO site in Rizal. About 40 other POGO workers who may have been victims of human trafficking were also rescued in Angeles City, police said.

The Philippine Amusement and Gaming Corp. (PAGCOR) ordered the closure of two POGOs and revoked the license of one.

Villanueva’s proposed legislation calls for jail terms of up to six months and fines of up to PHP 500,000 (US$8,711) for online gaming operators.

Villanueva said the bill would prevent “further deterioration of morals and values, encourage people to work instead of relying on a game of chance, stop addiction and save lives.”

Senate Minority Leader Aquilino “Koko” Pimentel III supports the ban. “Given what we’re seeing now as numerous ill effects, the congress has the moral duty to ban POGOs,” he said. “We should act now. It will be a bipartisan measure. We can’t afford to dilly-dally on banning POGOs when the nation’s moral fiber and peace and order are on the line.”

He said President Ferdinand Marcos Jr. should join the effort to ban POGOs. “The continued operation of POGOs in the country is dangerous,” Pimentel continued. “It is akin to harboring would-be criminals and gangsters that can eventually cause massive disruptions of peace and order in the country. as we are beginning to see now with the spate of kidnapping incidence and other violent activities.”

Senator Grace Poe called for a “full-on probe on the social costs of POGOs” and said she “would be filing a resolution on this immediately so that the chamber and the public can explore together its stance on POGOs once and for all.”

According to Inside Asian Gaming, the rescues came days after multiple government agencies announced a collaborative plan to end “illegal POGO-related crimes” following reports of kidnappings linked to iGaming operators. The Bureau of Immigration (BI) is now checking the documentation and working permits of freed workers, who remain in the bureau’s custody.

PAGCOR acknowledged that the POGO industry, first regulated in 2016, has been an economic benefit to the country, particularly during the Covid-19 pandemic. But newly appointed PAGCOR head Alejandro Tengco, who replaced Andrea Domingo in the top role, said incidents of kidnapping and human trafficking taint the whole industry, and could cause its downfall.

“If these kidnapping incidents and other illegal activities persist, it is clear that not only will we cancel the licenses of POGO operators, but the entire industry may be affected by whatever decision will emanate from the national government. So let us help each other solve these issues the soonest,” Tengco said.

BI spokesperson Dana Sandoval said the workers “are facing deportation because, apart from the criminal aspect of what they did, there is a criminal aspect that they did here, (and) there is also an immigration aspect to that. During the inspection, it was evident that many of them are undocumented—either overstaying or having work visas that are not compatible with what they are currently working on.”

In addition, China’s Ambassador to the Philippines, Huang Xilian, has warned that the crime linked to POGOs could damage relations between the two nations.

“According to the Chinese laws and regulations, gambling in whatever form by Chinese citizens, be it online gambling or gambling overseas, is illegal,” he said. “Crimes induced by and associated with online gambling not only harm China’s interests and China-Philippines relations, but also hurt the interests of the Philippines.”

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