Philippine offshore gaming companies have been notified to exit the country by December 31. However, illegal activities continue, and government officials warn that new offshore gaming companies may emerge.
Philippine online gaming companies are about to collapse, nearly bankrupt.
In July, President Ferdinand Marcos Jr announced a ban on offshore gaming activities due to their association with human trafficking, prostitution, and murder. He ordered an immediate halt to these activities and a complete phase-out by December 31.
Alejandro Tengco, head of the Philippine Amusement and Gaming Corporation (Pagcor), stated that the evacuation efforts are proving effective.
The Manila Times reported today (December 10) that Tengco commented there are only 17 online gaming companies left, a significant reduction from nearly 300 in 2019. He is confident that "by the end of this year, there will no longer be any licensed online gaming companies operating."
He could not make the same statement about unlicensed operations. Interior and Local Government Secretary Jonvic Remulla warned that local operations might emerge as Filipinos resort to setting up underground shops.
Remulla stated: "We are conducting guerrilla operations" to stop this trend.
POGOs reflect the "governance failure" of the Philippines
A Senate investigation into the industry concluded in November. The investigation found that illegal online gaming companies were infiltrated and supported by Chinese interest groups. Some senators described this as a "Trojan horse" strategy, aimed at placing Chinese supporters in positions of local power in the Philippines.
A typical case is Alice Guo, also known as Guo Huaping. This Chinese citizen, disguised as a Filipino, ran for public office in Banban City, Tarlac Province in 2022. Guo was elected mayor and is reportedly a key figure in a rural POGO operation. She faces multiple charges, including money laundering and human trafficking.
An editorial in the Philippine Inquiry stated that Guo embodies the "governance failure that led to the rise of offshore gaming companies."
The editorial continued: "The proximity of offshore gaming companies to military bases, and reports of People's Liberation Army uniforms within the compounds of offshore gaming companies, have raised concerns about espionage activities, exacerbating concerns about national security vulnerabilities that could jeopardize the country's defense capabilities."
"This poses a serious threat to the peace, order, and national security of the Philippines."
Arrests and deportations continue
Meanwhile, law enforcement continues to crack down on suspected POGO personnel. The National Bureau of Investigation (NBI) will prosecute 60 individuals arrested in a suspected POGO in Davao del Norte.
According to the Philippine Star, this Philippine offshore gaming company was originally located on Luzon Island. Apparently, after nearby offshore gaming companies were raided, it relocated to North Davao. NBI Director Archie Albao stated that local officials might have helped cover up the operation.
Last week, officials from the Philippine Anti-Organized Crime Commission (PAOCC) escorted 187 foreign POGO workers to Ninoy Aquino Airport, deporting them back to Shanghai.
Government officials under close scrutiny
In related news: Deputy Justice Minister Nicholas Felix Ty told GMA News that former President Rodrigo Duterte was not involved with illegal POGOs. The offshore industry was established and flourished during Duterte's presidency (2016 to 2022).
However, Duterte's former spokesperson and lawyer, Harry Roque, was accused of being the "legal representative" for a POGO in Porac, Pampanga. Roque has fled the country and is currently in Abu Dhabi. He has denied these allegations.
Finally, today's Philippine Star reported that legislators will recommend charges against 10 former and current government officials for alleged involvement in POGOs, extrajudicial killings, and illegal drug trade.
"We must finalize our recommendations by Thursday," said Robert Ace Barbers, representative of North Surigao. "At that time, we will submit the recommendations to the full session for approval by the entire House of Representatives."
