PAGCOR Chairman and CEO Alejandro Tengco told lawmakers on Tuesday that the regulator would not distinguish between POGOs (Philippine Offshore Gaming Licensees) and IGLs (Internet Gaming Licensees) amid the President’s POGO ban, confirming the licenses of the 43 existing licensees would be cancelled by the end of the year.
His comments during a senate hearing into POGOs follow the announcement by President Ferdinand Marcos Jr during his State of the Nation Address on Monday that he was banning POGOs, with no new licenses to be issued and new licenses to be wound back by end-2024.
PAGCOR had last year withdrawn the licenses of all existing POGO operators and required all to reapply, with those who were successful being licensed instead under the newly branded IGL scheme.
Tengco confirmed during Tuesday’s hearing that the new name had been implemented to remove the negative “stigma” attached to POGOs, adding that no distinction between the two would be made when the industry is shut down.
“No problem in closing down POGOs because I can invoke national security and the President’s order,” he added. “The President’s order was clear. I’ll abide by President Ferdinand Marcos Jr’s order.”
The Presidential Communications Office separately noted that “Internet gaming licenses are included in the ban,” according to PhilStar.
Tengco had previously stated his preference to regulate rather than ban the Philippines’ offshore gaming industry, warning that a ban would not solve the issue of illegal operators indulging in criminal activity and would also drive currently legal operators underground.
On Tuesday he noted that the 43 licensed IGLs employ around 40,000 local and 23,000 foreign workers either directly or indirectly, with the government to lose around Php23 billion in license fees and taxes annually due to the ban.
The POGO industry, launched in 2016 under the Duterte administration, had at its peak employed more than 97,000 foreign nationals before declining significantly during the pandemic.
For its part, the Presidential Anti-Organized Crime Commission (PAOCC) has acknowledged the potential for POGOs and IGLs to go underground, with spokesman Winston Casio stating “that doesn’t mean all of them would leave and pack up their bags. A good number of these would still remain and simply go underground,” he said.
“Now, that is the challenge but the different agencies of government are fairly competent to meet that challenge head-on.”
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