Poe reso seeks evaluation of POGOs' social costs, economic gains

Senator Grace Poe has filed a resolution asking the Senate to evaluate the social costs and the economic gains of the Philippine Offshore Gaming Operations (POGO).

In proposed Senate Resolution 229, Poe, citing the Philippine Amusement and Gaming Corportaion's (PAGCOR) primer, said POGOs form part of a multi-billion gambling industry contributing revenues to the country but has also been allegedly used for illegal activities such as money laundering, illegal immigration and employment, and kidnappings, among others.

She pointed out that gambing is illegal in China and no other than the Chinese government has signaled the crackdown of cross-border gambling and money laundering as the Chinese nationals working in POGO were recruited illegally.

The lawmaker mentioned the Philippine National Police's data that 17 out of 31 reported kidnappings from January to March 2022 were linked to POGO, with some arrested suspects connected to a syndicate involved in kidnappings and illegal detention.

"With the spate of kidnapping incidents and other violent activities, the continued presence of POGOs in the country has become a threat to peace and order," Poe said.

"The social risks of POGO's operations outweigh its reported financial benefits with recent data showing decline in revenue contribution of POGOs to government," she added.

According to Finance Secretary Benjamin Diokno, there is a 46% drop in revenue collection from the industry at P3.9 billion in 2021 compared to P7.18 billion in 2020.

Moreover, Poe said PAGCOR reports that income generated from offshore gaming operations has decreased steadily due to the pandemic from P6 billion in 2018, P5 billion in 2019, P2 billion in 2021, and P1 billion in the first half of 2022.

Its operations also provide "very little" employment to the Philippines with only 30,521 of the 120,976 workers are Filipinos, the senator said.

"There is an urgent need to evaluate the continued existence of POGOs in the country considering the deleterious effects to public safety and order in contrast with the supposed economic gains from their operations in the country," she said.

"There is also a need to strengthen the current legal regime on gambling activities in line with the government's pursuit of the common good and national development," she added.

In a statement, Senator Nancy Binay supported the evaluation of the economic benefits of POGO vis-a-vis its social costs.

“Is it worth it? Kung hindi sulit ang kinikita mula sa POGO lalo pa’t dumarami ang krimen na konektado dito handa kami magpasa ng batas para sa total ban ng POGO,” she said.

“Dapat pag-aralan ang pros and cons ng operasyon ng POGO at tignan kung kung may silbi ba ito sa bansa,” she added.

Apart from Poe and Binay, several senators also expressed concern on the social costs of POGO in the country.

The Senate ways and means committee will hold a hearing to measure the economic benefits and social cost of POGO in the country.

Last week, Diokno said he is in favor of discontinuing the program because of its social cost.

Senator Ronald "Bato" dela Rosa and Iloilo Representative Janette Garin also supported the call to ban POGO amid the controversies hounding the industry, including the series of abductions and other illegal activities.—AOL, GMA News