MANILA — Following President Ferdinand Marcos Jr.’s announcement of a ban on Philippine Offshore Gaming Operators (POGOs) during his third State of the Nation Address, questions arise on how the government will enforce this directive. The ban, aimed at curbing illegal activities and improving regulatory oversight, will involve several key steps and agencies.
Senate President Francis “Chiz” Escudero, a legal expert, clarified that the implementation of this ban primarily involves the Philippine Amusement and Gaming Corporation (PAGCOR) revoking existing POGO licenses. Escudero noted that since no executive order, administrative order, or law explicitly legalizes POGOs, there is no need for any legislative repeal. “A license issued by PAGCOR is what made POGOs legal, so, banning them will just need the revocation by PAGCOR of that license,” Escudero stated.
Republic Act No. 11590, enacted in 2021, amends the National Internal Revenue Code to establish tax rates for Offshore Gaming Licensees and their service providers but does not address the legality of their operations. The law explicitly states that the recognition of legal forms of gambling, including offshore gaming, should not be construed as an endorsement of such activities.
Escudero further explained that the transition period for winding down POGO operations only applies to the 43 licensed Internet Gaming Licensees accredited by PAGCOR. Those operating without a license or whose licenses were previously revoked are already considered illegal. “The illegal ones — there are more than 100 — they were already illegal since last year. There is no transition period for them,” he emphasized.
Solicitor General Menardo Guevarra, a former justice secretary, indicated that an executive order from the President would suffice to formalize the ban. “Because the President’s announcement was a policy statement, I suppose the appropriate administrative issuance will be made by the Office of the President to implement this policy,” Guevarra said. He mentioned that similar policy statements by former President Rodrigo Duterte were promptly enforced without written orders.
The announced ban will prevent new POGO applications from being approved, and existing operators will need to begin winding down their operations. The implementation will involve several government agencies, including PAGCOR, the Securities and Exchange Commission, and local government units responsible for issuing business permits.
Escudero expressed caution about legislating a specific ban on POGOs, fearing operators might shift to other forms of gambling. He suggested that a comprehensive ban on gambling might be more effective to prevent operators from finding loopholes. “The people in that field are very clever. They will just come up with new schemes,” he remarked.
He also voiced support for the ongoing investigation by the Senate Committee on Women, Children, Family Relations, and Gender Equality into the irregularities and abuses associated with POGOs.
