Senator Win Gatchalian is calling for a comprehensive strategy to implement the President’s directive to ban all Philippine Offshore Gaming Operators (POGOs) by the end of the year.
“The approach should be holistic and cover all facets of the President’s declaration. The end goal is for the country to have a smooth winding down of POGO operations,” Gatchalian stated.
The senator underscored the need to address not only licensed operators under the Philippine Amusement and Games Corporation (PAGCOR) but also the estimated 200 illegal POGO operations currently active in the country, as identified by the Presidential Anti-Organized Crime Commission (PAOCC).
“Even if we shut down licensed POGOs but fail to crack down on illegal ones, POGO operations will continue. The closure will be ineffective if scams persist,” Gatchalian warned.
He also emphasized the importance of collaboration between the Bureau of Internal Revenue (BIR) and PAGCOR to accurately assess the gross gaming revenue (GGR) generated by each Internet Gaming Licensee (IGL), the new designation for POGOs.
Previous hearings revealed a significant revenue gap, with deficiencies estimated between P2 billion and P5 billion.
This discrepancy refers to the differences between GGR reported by POGOs to PAGCOR and those submitted to the BIR for tax purposes.
“The GGR is the basis for payments to both PAGCOR and BIR, but declarations to the BIR are often undervalued,” Gatchalian noted.
“If they owe money and leave, how can we recover those debts?” he asked.
Additionally, Gatchalian highlighted inconsistencies between the number of alien employment certificates (AEP) issued by the Bureau of Immigration (BI) and the work permits provided to foreign workers in the POGO sector by the Department of Labor and Employment (DOLE).
As of July 2024, PAGCOR reported 26,431 foreign workers in the POGO industry, while DOLE recorded only 15,819 AEPs issued in 2024.
Gatchalian’s call for a holistic approach aims to ensure a thorough and effective implementation of the POGO ban, addressing both legal and illegal operations in the industry. (JCO/PIA-NCR)
