SolGen to check assets of closed hubs

The administration will intensify its efforts to hunt down and dismantle residual POGO activities following the nationwide ban that took effect on December 31, 2024.

“We are observing indicators that some operators are downsizing to evade detection… These small-scale POGO setups often choose densely populated areas frequented by foreign nationals to avoid detection,” Presidential Anti-Organized Crime Commission Executive Director Gilbert Cruz said.

“Our enforcement agencies are actively monitoring these developments to ensure full compliance with the ban,” he added.

State lawyers will likewise initiate a thorough inventory of assets of shuttered POGO hubs as the total ban on the industry took effect Tuesday.

“The OSG’s massive post-POGO tasks will consist of cancelling all certificates of birth fraudulently acquired by aliens/foreign nationals and forfeiting their illegally acquired real properties and other assets in the Philippines,” Solicitor General Menardo Guevarra said.

“At this time, we have no definite figures on the aggregate value of these assets. The first order of the day is to take possession of and control over them,” Guevarra added.

The ban, implemented through Executive Order No. 74 signed by President Marcos Jr. on November 5, 2024, was in response to escalating concerns over criminal activities linked to POGOs.

Despite the official prohibition, authorities have noted attempts by some POGOs to continue their activities on a reduced scale.

“We will not tolerate any form of illegal gambling operations. Our agencies are equipped and ready to take decisive action against violators,” Cruz said.

Cruz earlier said the Philippine National Police and PAGCOR would mount inspections of special class business process outsourcing (BPO) facilities to ensure there are no concealed POGO operations.

“We will be utilizing the barangays because most likely, they are the ones that can spot these. There are a lot of indicators. For instance, if a house’s lights are open 24 hours a day, even at night, and then there is a presence of foreign nationals. They also frequently order food via delivery services and then you would see huge piles of trash there. They also frequently avail of additional internet connections. These are some red flags to watch out for,” he said.

Cruz also noted that nearly 8,000 foreign workers previously employed by POGOs have remained in the Philippines.

He said many of these workers, who work visas were downgraded to tourist category, are suspected to be involved in underground POGO activities.

The Department of the Interior and Local Government and PAOCC warned that without robust enforcement, as many as 100 illegal or “rogue” POGO operations could persist into 2025.

To assist with the transition, Mr. Marcos ordered the establishment of two Technical Working Groups (TWGs) – one will focus on employment recovery and reintegration, providing support, upskilling, and reskilling programs to help displaced Filipino workers find alternative jobs; while the other will target illegal offshore gaming operations, intensifying efforts to eliminate unlicensed POGO activities in coordination with law enforcement.

PAGCOR chairman and CEO Alejandro Tengco said the government stands to lose P20 billion to 25 billion with the POGO closures.

Interior and Local Government Sec. Jonvic Remulla, however, said the revenue loss should not be a cause for concern.

“As per NEDA, only 0.25 of 1% of total GDP will be affected. We don’t see a significant dent on our economy,” Remulla said.

The Remulla family sold the resort to a real estate developer in 2017. The facility then started operations as a POGO hub in 2019.

The POGO facility on the 33-hectare property was the biggest in the country with 30,000 employees, half of whom were Filipinos.

The compound consisted of 57 buildings, including employee dormitories, gaming hubs, cafés, groceries, clinic, restaurants, spas and beauty salons.