Marcos issues EO banning POGOs

President Ferdinand ''Bongbong'' Marcos Jr. has issued an executive order prohibiting Philippine Offshore Gaming, internet gaming, and other offshore gaming operations in the country.

Executive Order No. 74 states that the ban on POGOs and internet gaming licenses shall encompass illegal offshore gaming operations, license applications, license renewals, and cessation of operations.

The EO, signed on November 5, formalized the President's strong remarks during his third State of the Nation Address, banning all Philippine offshore gaming operators in the country.

Marcos had said POGOs had ventured into illicit areas such as scamming, money laundering, prostitution, human trafficking, kidnapping, torture, and murder.

POGOs refer to entities that provide and participate in offshore gaming services while offshore gaming operations/services refer to online games of chance, limited to livestreamed electronic casino games, online random number generator games, and online sports betting, exclusively and directly offered to foreign players, located outside of the country, via the internet or online means.

Under the EO, all POGOs/IGLs and other offshore gaming operators without the necessary license, permit, or authorization from the relevant government licensing authority are classified as illegal gambling entities as defined under Section 2 of EO No. 13 (s.2017), and are covered by the ongoing and intensified crackdown on illegal gambling activities being enforced by law enforcement agencies.

The application for new licenses, permits, or authorizations of POGO/IGL and other offshore gaming applicants shall no longer be allowed.

The EO further indicated that all existing licenses, permits, or authorizations issued to POGO/IGLs shall no longer be renewed or extended.

All POGOs/lGLs and other offshore gaming operations and other offshore gaming-related/auxiliary/ancillary services with issued licenses, permits or authorizations shall completely cease operations, including the winding up of their affairs, on 31 December 2024 or earlier.

Under the EO, the Presidential Anti-Organized Crime Commission, Philippine Drug Enforcement Agency, and other law enforcement agencies, such as the Philippine National Police and the National Bureau of Investigation, are directed to intensify their efforts against illegal POGOs/lGLs and other offshore gaming operations and services.

Further, the Department of Human Settlements and Urban Development shall assist the technical working group on Anti-Illegal Offshore Gaming Operations in securing the cooperation of homeowners associations to ensure the non-proliferation of POGO/IGL and other offshore gaming operations and services in subdivisions, condominiums and other real estate developments, and to immediately report any such operations or activities to the TWG on Anti-Illegal Offshore Gaming Operations.

A TWG on Employment Recovery and Reintegration will also be established, with the aim to address the impact of the foregoing ban on the affected sectors of the economy, and ensure the reintegration of displaced Filipino workers and the provision of assistance and safety nets.

This will include upskilling and reskilling programs to ensure that these displaced Filipino workers can have replacement jobs at the soonest possible time.

POGO contribution

Earlier, National Economic and Development Authority (NEDA) Secretary Arsenio Balisacan said POGOs contributed less than half of 1.0% of the Philippine GDP as of 2022, which would be the estimated loss from banning the industry.

Citing data from PAGCOR and the Department of Labor and Employment, the Department of Finance found that there were 66,547 POGO employees in the country as of 2023.

The majority of these employees or 41,347 were foreign nationals, while the remaining 25,200 were Filipinos.

In September, the government started profiling workers of POGOs who will be rendered jobless after Marcos ordered the stop of all their operations by the end of the year.

The President earlier cited instances of involvement in scamming, money laundering, prostitution, human trafficking, kidnapping, torture, and murder, as part of his decision to put a halt to the industry.

There had been raids conducted by authorities against several POGO companies in Bamban, Tarlac and in Porac, Pampanga due to the criminal activities being linked to them.

It was during Marcos' third State of the Nation Address (SONA) that he announced the banning of all POGOs in the country effective July 22, 2024 after raids against illegal POGOs revealed equipment used for torture, love scams, and other crimes.

Marcos instructed the Philippine Amusements and Gaming Corp. (PAGCOR) to ensure that all POGO operations cease by the end of the year. — RSJ, GMA Integrated News