To whom POGOs may concern
This anecdotal POGO ‘crime tag’ is likely a cover up for government failure, unless it’s the standard twaddle for inefficiency of otherwise cognizant authorities.
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This anecdotal POGO ‘crime tag’ is likely a cover up for government failure, unless it’s the standard twaddle for inefficiency of otherwise cognizant authorities.
The government cannot haphazardly militate against Philippine Offshore Gaming Operators as to invariably call for closure, stoppage, outlawing, declaring illegal, or shutting down their operations. Absent "clear and present danger," there's no need for bureaucrats and politicians to circle the wagons.
POGOs have flourished during the former president's term. Early data from a "think-tank" of the House of Representatives profiling POGOs show a "projected income for full-year 2019 of P8 billion" — that despite a Philippine Amusement and Gaming Corporation moratorium on new POGO applications in August of that year.
There's no conceivable debate that POGOs — investment-wise — bring in a windfall of "application, processing and license fees." PAGCOR gets P17.85 million for an e-casino alone to secure a license to operate not to say performance/security bond of $300,000 held in trust by PAGCOR in case of drawdowns (i.e., penalties).
Aside from regulatory fees of two percent on the POGOS, there's a bundle more of accreditation fees for various types of service provisions like Customer Relations Service provider ($150,000), Live Studio and Streaming provider ($120,000), Gaming Software/Platform provider ($120,000), IT Support provider ($60,000), among others. All these account for some P700 million that PAGCOR in 2016 collected from POGOs in just four months, an income that increased significantly to P3.9 billion in 2017, following an increase in the number of approved licenses.
Given that POGOs are located within NCR (Makati, Pasay, Manila, Las Piñas, Mandaluyong, Parañaque and Quezon City), Pampanga, Olongapo City, Cavite, and Cebu per 2019 data, local economy in those regions indisputably benefitted. In revenues, some P6.4 billion were generated in 2019 and some P7.2 billion in 2020 that senators contemplate taxing them even more under Senate Bill 2232 filed last year to impose a five percent gaming tax on POGOs and 25 percent final withholding tax on its employees.
Today, the industry is under attack by politicians and bureaucrats quick to use it as a platform to call attention to issues like human trafficking, slavery, or justice. The rescue operations hardly mirror the claim of human trafficking, kidnappings, killings — except they found them as overstaying Chinese nationals.
Who is playing the "indiscretion game" if government would kill its milking cow? Some line agencies and the Senate seem concerned on the "high social cost" of said crimes purportedly traced at the industry's doorstep.
But the issues they are screaming about have all yet to be sliced and diced. The next time Senate investigations are held, they should probe hard or elbow-grease to identify the real prey and real predator behind the trumpeted POGO-related crimes.
When public officials are reacting as a matter of job description, it's when we have a problem. How rational would it be for POGOs to fold tent because the Bureau of Immigration failed to account for the entry of bona fide Chinese or other nationals working in POGOs?
Who are we saving if we have to lose a P7 billion annual revenue stream from POGOs on the mistaken belief that clamping them down will stop the spate of kidnappings, human trafficking, killings or other related crimes? If Beijing does not welcome back their Chinese nationals whom Manila plans to deport, is government locked up in Catch 22?
Consider P7 billion on one end and "high social cost" on the other, then state which brings more advantage. The sound mathematical basis to the economic benefits of a P7 billion annual revenues should eclipse whatever professed "high social cost" in systematically "crime-tagging" POGOs as dens for kidnappers, human traffickers, killers — sans incontrovertible evidence.
With the floated narrative making the rounds that POGOs are the proximate cause for human trafficking, kidnapping, killing, other such crimes, the Senate may well subpoena all documents, reports, or evidence to prove it beyond mere platform for media mileage.
This anecdotal POGO "crime tag" is likely a cover up for government failure, unless it's the standard twaddle for inefficiency of otherwise cognizant authorities.
