Former senator Leila de Lima and former Supreme Court justices Antonio Carpio and Conchita Carpio Morales led a group that asked the administration of President Ferdinand Marcos Jr. to cancel the licenses granted to Philippine offshore gaming operators (POGOs) that cater to the mainland Chinese market, in an open letter dated Tuesday, July 161.
The group argued that approving licenses for such operators violates the Philippine Amusement and Gaming Corporation's (Pagcor) own rules, because Pagcor requires every POGO to operate only in a foreign country where gambling is allowed1. The signatories, who also included the groups 1Sambayan, EveryWoman, Women2022 and Intercessors for the Philippines, cited three provisions1:
| Provision | Date | Requirement cited |
|---|---|---|
| Internet Gaming Regulations, Regulation 2, Section 4 (Prohibited Acts) | July 12, 2023 | No allowing the registered website to be accessed within Philippine territory or in territories where online gaming is prohibited |
| Offshore Regulatory Gaming Manual, Regulation 2, Section 3 (Prohibited Acts of Philippine Offshore Gaming Operators) | July 3, 2018 | The operator shall not allow its gaming website to be accessed within Philippine territory or in territories where online gaming is prohibited |
| Offshore Regulatory Gaming Manual, Regulation 4, Section 2 (Additional Documentary Requirements) | July 3, 2018 | License from the foreign jurisdiction where the feed will be streamed to, or license of the recipient operator abroad |
"We, therefore, implore the President to direct Pagcor to cancel immediately all licenses of POGOs that cater to the mainland Chinese market"
The group also said Pagcor has the power to immediately cancel the license of a POGO later found to have made misrepresentations or provided false information1. It argued that no POGO can operate legally in mainland China, which bans all kinds of gambling, and that any license issued to one serving that market is void from the start under Pagcor's own regulations1.
POGOs appeared across the Philippines from 2016 and grew quickly in the following years, as operators took advantage of liberal gaming laws under the administration of Rodrigo Duterte1. Many POGO operators are run by Chinese nationals, since gambling is banned in their home country1. In the past year, Beijing helped Manila shut down five POGO hubs and repatriate a thousand Chinese individuals1. In June, China called on the Philippines to put an end to offshore gambling, which it called a "social ill" that encourages crimes of kidnapping, human trafficking and murder1. In early July, Executive Secretary Lucas Bersamin met with Chinese Ambassador to the Philippines Huang Xilian to "strengthen their partnership" in the fight against organized crime1.
Scrutiny of POGOs has intensified in recent months as the Senate investigates illegal activities linked to offshore gaming operators1. The probe intensified after it was found that Alice Guo, a Tarlac mayor with POGO ties, had fingerprints that matched a Chinese woman who only arrived in the Philippines in 2003, raising suspicions that she entered local politics to sustain POGO operations in her town of Bamban1.
What it means for players
The letter concerns POGO licenses, which cover offshore operators serving customers outside the Philippines, not domestic gambling. Under the rules the group cites, a POGO may not let its website be accessed inside the Philippines or in any territory where online gaming is prohibited1. Mainland China bans all gambling, so a POGO aimed at that market cannot hold a valid license under those rules, according to the signatories1. For players in the Philippines, the practical effect of any cancellation would fall on offshore sites rather than on land-based or locally licensed play. For players in China, the letter restates the position that no operator serving that market can be licensed in the Philippines. No change to the status of any specific operator has been reported.
What happens next
The letter asks Marcos to direct Pagcor to cancel the licenses, and says Pagcor can act immediately where false information or misrepresentations are found1. No response from the President or from Pagcor has been reported. The Senate investigation into illegal activities linked to POGOs continues1.
For background on how gambling law applies across the region, see Online Gambling in Asia: The Law for Players in 12 Jurisdictions, Can I Gamble in China? and Can I Gamble in the Philippines?.
