Philippine Senate Minority Deputy Leader Hong Zhiwei Luos revealed that some offshore gaming companies (POGOs) are evading the presidential ban by registering as Business Process Outsourcing (BPO) companies, a strategy that may have been covertly supported by some government officials.
Hong Zhiwei Luos pointed out that despite President Marcos issuing an executive order in July demanding a comprehensive ban on POGOs due to allegations of cyber fraud and human trafficking, these enterprises continue to operate using "creative" methods. "They use the identity of BPOs to cover their activities, and there are even reports that some government officials directly assist and guide them on how to exploit legal loopholes," she said in a speech at the Senate office.
However, she also emphasized that these reports did not disclose the specific names of the involved officials.
When asked whether the executive order was biased towards a specific political party, Hong Zhiwei Luos expressed her hope that this was not the case. However, she also mentioned that there are indeed loopholes in the policy that need attention, such as the exception of the Cagayan Economic Zone Authority (CEZA).
Although the Chief of Staff Yugash Burshamin has clarified that CEZA will be included in the ban, the government still needs to issue a separate executive order for the area.
It is noteworthy that CEZA is legally authorized to issue interactive gaming (iGaming) licenses and allows its licensed foreign operators to operate legally. Previously, CEZA CEO Katrina Ponce Enrile and her father—Presidential Chief Legal Counsel Juan Ponce Enrile—stated that the POGO ban should not affect CEZA's business development.
Hong Zhiwei Luos stated that the current executive order has policy gaps that allow POGOs to continue operating through various means. She called on the government to take measures to improve the policy, plug all possible loopholes, and ensure the comprehensive implementation of the POGO closure deadline of December 31.
As the final deadline approaches, the effectiveness of the POGO ban is under close scrutiny. Hong Zhiwei Luos's allegations have raised further public concerns about policy loopholes and internal government corruption.
