Philippine Senator Risa Hontiveros warned that President Ferdinand Marcos Jr.'s recent order to shut down Philippine Offshore Gaming Operators (POGO) might have significant loopholes.
Hontiveros pointed out that the Executive Order (EO) did not explicitly include all institutions, especially those not supervised by the Philippine Amusement and Gaming Corporation (PAGCOR), such as those operating in the Cagayan and Aurora Freeports.
Although Malacañang has clarified that it directed the Cagayan Economic Zone Authority (CEZA) to comply with the shutdown order, Hontiveros remains concerned.
Executive Order No. 74 was announced by President Marcos during his State of the Nation Address (SONA) in July, where he pledged to phase out POGOs and end their operations by December 31.
Hontiveros expressed support for the goals of the EO and welcomed the reintegration programs for displaced workers.
Senator Risa Hontiveros highlighted the lack of clarity in Executive Order No. 74, particularly regarding the operation of POGOs in economic zones. She noted that section 1b of the order states that the ban does not apply to online chance games conducted in casinos, licensed gaming establishments, or integrated resorts with junket agreements operated by PAGCOR. This suggests that casinos operated and licensed by PAGCOR might be exempt from the ban on offshore online gaming.
Hontiveros questioned whether this exemption means that POGOs could continue to operate in casinos or resorts with casinos such as City of Dreams Manila or Fontana Leisure Parks.
As the leader of two separate Senate investigations into crimes related to POGOs, Hontiveros also emphasized that there was no mention of the authority of economic zones like the Cagayan Special Economic Zone and Freeport to issue licenses to offshore gambling operators.
Katrina Ponce Enrile, the Chief Executive Officer of CEZA and daughter of Chief Presidential Legal Counsel Juan Ponce Enrile, had previously denied reports that CEZA allowed POGOs to operate in Sta. Ana, Cagayan Freeport. Hontiveros clarified that "other offshore gaming licensees" refers to those authorized under their respective charters and supervised or governed by PAGCOR. However, CEZA and the Aurora Pacific Economic Zone and Freeport Authority (APEC) are not under the jurisdiction of PAGCOR.
In response, Malacañang issued a memorandum from Executive Secretary Lucas Bersamin, instructing CEZA to comply with the President's order. Bersamin emphasized that CEZA should immediately comply with the President's directive issued during the SONA in July, according to applicable laws.
In late July, a week after the SONA, Enrile and her father testified at a House hearing on crimes related to POGOs. They argued that the POGO ban should not impair CEZA's operations, especially its offshore gaming licensees. Enrile defended CEZA's authority, stating that foreign iGaming operators operating within its jurisdiction comply with the law and prohibit accepting bets from the Philippines or other countries where gambling is illegal. She explained that CEZA's charter, primarily authored by her father, grants it the power to register offshore iGaming operators.
