NATIONAL Security Adviser Eduardo Año yesterday said the National Security Council (NSC) does not view Philippine Gaming Offshore Gaming Operators (POGOs) as a national security threat that warrants the intervention of the Armed Forces.
Año’s statement came after Defense Secretary Gilberto Teodoro said illegal POGOs are a national security concern as these weaken the country’s political, economic, social and peace and order fabric.
Teodoro also said China may be behind these illegal POGOs to weaken an enemy. China and Philippines are at odds over territorial claims at the West Philippine Sea in the South China Sea.
On Tuesday, the Armed Forces said it was conducting a probe to determine if illegal POGO operations are a threat to national security.
Authorities have raided a number of illegal POGOs in the past years due to their involvement in human trafficking, kidnapping, illegal detention and other criminal activities. They seized Chinese military uniforms at a POGO hub in Porac, Pampanga that was raided last week. High-powered firearms have been found in past raids at POGO hubs.
Año said the NSC is “watching closely” the Senate investigation into POGO operations in the country, and the agency is conducting its own assessment to determine its implications on national security.
“Currently, we do not view POGOs per se as a national security threat at the level that would necessitate the direct involvement of the defense forces,” said Año.
“At the moment, it is a national concern that law enforcement and regulatory agencies can address. Our lawmakers may also need to look into the pros and cons of allowing its continued operations,” said Año.
He noted there are POGOs that are duly licensed and regulated by the Philippine Amusement and Gaming Corporation (PAGCOR) and other government agencies.
As to the POGOs involved in illegal activities, Año said these can be addressed by government regulations and law enforcement mechanisms.
He said current efforts against these illegal POGOs “do not warrant the intervention of the Armed Forces of the Philippines as in the case of going after declared national security threats such as the Abu Sayyaf or the CPP-NPA-NDF (Communist Party of the Philippines-New People’s Army-National Democratic Front),” he said.
Año said the NSC will “work closely” with concerned government agencies and stakeholders “to gather comprehensive data and insights, providing a balanced and informed perspective.”
“This approach will help ensure that any policy regarding the future of POGOs and other related operations in the Philippines are made with a clear understanding of their implications on national security,” he said.
Año said the NSC appreciates the “vigilance and dedication” of public officials and stakeholders for bringing up the issue “as it brings awareness to our people and promotes a security mindset.”
RESOURCES
The Presidential Anti-Organized Crime Commission (PAOCC) cited several issues hampering its fight against illegal POGOs.
One of the issues, said spokesman Winston John Casio, is the lack of PAOCC personnel. At present, he said the commission only has 47 personnel, including cooks and drivers.
“We are merely a coordinating agency. We have to ask the assistance of the PNP, NBI, DOJ, (bureau of) Immigration and the like, and they’ve got their own priorities as well,” he said.
Casio said PAOCC has to prioritize in conducting such raids by focusing on cases where lives are at stake.
He also said launching an operation against a POGO hub requires at least P35 million. They also have to spend for gasoline, food, water for personnel involved in these raids, and rent facilities for those apprehended and rescued.
“Raiding rogue POGOs, raiding scam farms is draining our financial resources so that’s why we have to prioritize. By prioritizing, the commission, the PAOCC has to focus on cases where there is clear and present danger to lives of people,” he said.
He also talked about a leak problem. In one instance, he said, a lawyer of an illegal POGO firm was already waiting for the arrival of the raiding team. “Obviously, there is a leak somewhere,” he said.
Casio said they were expecting to find about a thousand workers from the Porac POGO hub. When they arrived at the site, the hub was closed, the lights were turned off, and some 200 POGO personnel were already outside the building.
He said PAOCC is determining who leaked the operation.
Around 250 to 300 offshore gambling firms are operating without a license, or around six times more than the 46 legitimate gaming operators in the country, PAGCOR chief Alejandro Tengco said.
“Together with the police, we search for these illegal operators, conduct raids, and shut them down,” he said.
The online gaming industry emerged in the Philippines in 2016 and grew exponentially as operators capitalized on the country’s liberal gaming laws to target customers in China, where gambling is banned.
At their peak, POGOs totaled 300 and employed more than 300,000 Chinese workers. But the pandemic and tighter tax rules have forced many to relocate or go underground, Tengco said.
The government is expected to generate P24.5 billion this year in POGO fees and taxes from 46 licensed POGOs, half of which are Chinese firms, Tengco said.
ILLEGAL POGOS
Senate President Francis Escudero said he agrees with Teodoro that illegal POGOs should be closed down, but the plight of legal ones should be discussed with PAGCOR.
“I agree with Secretary Teodoro who seems to be referring to illegal POGO operations because he said that ‘do not operate as intended.’ In fact, all illegal POGOs should be closed whether they are close to our military bases or not, and their perpetrators arrested,” Escudero said in a message to reporters.
“If, on the other hand, his is also referring to ‘legal POGOs,’ then I suggest that he discuss this matter of ‘national concern’ with PAGCOR as it may involve national security,” he added.
Escudero has been vocal in saying that the government should not stop the POGO industry, as he said that all forms of gambling, even those run by local corporations, should instead be stopped, if it wants to rid the country of gambling.
He said criminal activities like money laundering, human trafficking, prostitution, and illegal drugs, among others, also happen in locally-run casinos, thus POGOs should not be singled out.
Senate president pro tempore Jinggoy Estrada said that aside from national security concerns, the government should also act on the reported 250 POGOs which are operating without licenses.
He said if PAGCOR has information on these unlicensed POGOs operating, it should waste no time in shutting them down.
Senate deputy minority leader Risa Hontiveros said Teodoro’s statement confirms her stand that POGO’s are a national security threat.
She said that the Committee on Women, which she chairs, has so far revealed that the POGO hub in Tarlac is allegedly used a site for conducting surveillance and hacking activities.
Sen. Sherwin Gatchalian reiterated his call for a total ban on POGOs.
‘WHOLE-OF-GOVT APPROACH’
Justice Undersecretary Raul Vasquez said a whole-of-government approach is the best way to handle the POGO industry, considering its positive and negative effects which impact not only certain communities, but the country as a whole.
“It’s now high time for government to really take a serious look at the pros and cons of the POGO industry itself. The social cost, public safety, national security even, because many are suspecting that many of these Chinese who are there may have national security issues,” Vasquez said in a television interview.
Vasquez said the DOJ is doing everything it could to get to the bottom of the problem of alleged illegal activities of POGOs.
He also reminded foreigners engaged in POGOs that their stay in the country is merely a “privilege” and they are expected at all times to strictly follow the laws of our country.
Earlier, Justice Secretary Jesus Crispin Remulla warned of “severe legal consequences” for foreigners who engage in nefarious activities in the country, including those working in illegal offshore gaming hubs. — With Raymond Africa, Ashzel Hachero and Reuters
