Philippine President Bans POGOs and IGLs Amid Public Concern

Philippine President Ferdinand R. Marcos Jr. signed Executive Order (EO) 74 on November 5, effectively banning all offshore gambling activities in the country, with a focus on Philippine Offshore Gaming Operators (POGOs) and internet gaming licensees (IGLs). 

The executive order mandates an immediate end to all offshore gaming operations, responding to public concerns about crime, social issues, and exploitation tied to these activities.

The Risks Far Outweigh the Economic Perks

The order targets both licensed and illegal operators, citing risks to national security and public welfare. 

According to the Department of Finance, the negative impacts, including the rising number of crimes and social instability, far outweigh the economic contributions from offshore gaming.

President Marcos emphasized the State’s “paramount duty to safeguard national security, maintain public order, uphold the rule of law, protect the safety of its citizens, and ensure the integrity of the social fabric of the nation.”

Two Working Groups for EO 74

EO 74 establishes two working groups to manage both the enforcement of the ban and its economic repercussions. 

The first, the Technical Working Group (TWG) on Employment Recovery and Reintegration, will focus on supporting displaced Filipino workers. 

Chaired by the Philippine Amusement and Gaming Corporation (PAGCOR) and co-chaired by the Department of Labor and Employment, this group’s role will be to assist workers through reskilling and upskilling opportunities to ease their transition into alternative industries.

The Department of Finance, Department of Trade and Industry, Department of Social Welfare, and other agencies will offer comprehensive support.

The second group, the TWG on Anti-Illegal Offshore Gaming Operations, will be busy shutting down both licensed and illegal gaming operators. 

Led by the Presidential Anti-Organised Crime Commission with the Department of Justice as co-chair, this group will pursue investigations, prosecute violators, and deport foreign workers involved in illegal gaming activities. 

In addition, the second group will also closely work with local authorities and community organizations to monitor ongoing operations.

Determined to Dismantle all Remaining Offshore Networks

The crackdown will coordinate the efforts of a large number of agencies, including the Philippine National Police, the Bureau of Immigration, the National Bureau of Investigation, and the Anti-Money Laundering Council. 

These agencies will focus on dismantling any remaining offshore gaming networks and preventing new ones from forming. 

The Department of Human Settlements and Urban Development is also working with homeowners’ associations to keep gaming operations out of residential areas, while the Department of Tourism will monitor establishments to ensure they comply with the ban.

The Senate Backs the Offshore Gambling Ban 

The Philippine Senate has shown strong support for EO 74. Senators Joel Villanueva and Sherwin Gatchalian, who have consistently criticized the POGO industry, praised the president’s decision, highlighting the role of POGOs in fostering crime and instability.

Villanueva stated that EO 74 aligns with legislative efforts aimed at a permanent ban on offshore gaming. 

Proposed bills such as the Anti-POGO Act (Senate Bill No. 2752) and the Anti-Online Gambling Act (Senate Bill No. 1281) are currently under review to expand the legal framework against e-gambling.

EO 74 took effect after it was published in the Official Gazette. Next up, PAGCOR and the Bureau of Internal Revenue will expedite the collection of outstanding fees and taxes to effectively close the books on offshore gaming. 

The government anticipates swift compliance and hopes this ban will lead to enhanced public safety, fewer cases of organized crimes, and more protection for vulnerable populations.

The Philippines, which is getting ready to overtake Singapore and become the second-largest destination for gambling tourism in Asia after Macau, had conducted 41,000 arrests tied to illegal gambling in the first half of 2023.

Last month, the Philippine authorities reported the arrest of the so-called Godfather of the POGO sector, Lyu Dong.