FROM BAMBAN TO MALACAÑANG
POGO probe reveals government collusion on human rights abuses
by Bryle Ong and Aianna Goyena
New evidence appalled the Senate and the public linking high-profile government officials to the now-banned companies under Philippine Offshore Gaming Operators (POGO) last Nov. 26, which were reportedly responsible for human rights abuses and other crimes.
The said ‘matrix’ evidence associated these gaming operators with illegal drug undertakings in the country, including former president Rodrigo Duterte who has been notorious for his war against drugs and other officials present under his administration.
Prior to their closure, raids had been launched exposing POGO establishments for trafficking and torturing their workers, both Filipinos and foreign nationals.
The beginning
POGO hubs were formally welcomed in the country during the Duterte administration, after his issuance of Executive Order (EO) 13 in 2017 licensing local operations of online gambling. This was later criticized as such facilities were not legally covered by the Philippine Amusement and Gaming Corporation (PAGCOR).
In 2020, POGOs had been denounced for purportedly contributing to the rise in money laundering, prostitution, kidnapping, and other crimes in the country. Despite this, former president Duterte insisted that these establishments should not be suspended but rather be legalized as they could provide substantial funds to be used in response to the COVID-19 pandemic.
This agenda was further strengthened as the former president signed into law in 2021 the Republic Act 11590, “An Act Taxing Philippine Offshore Gaming Operations,” intended to place POGOs under PAGCOR. In the same year, Senate Bill №2232 was passed to streamline tax collection from these companies.
Duterte has since pointed out the economic benefits of adopting POGOs in the Philippines. However, the newly released matrix associating these gaming hubs with illegal drug syndicates contradicts his signature principle of eradicating drugs in the country.
The involved
The Senate Committee on Women, Children, Family Relations, and Gender Equality held its last hearing on November 26, where Senator Risa Hontiveros presented a chart linking individuals, including high-profile government officials, to POGO scandals.
The chart includes dismissed Bamban, Tarlac mayor Alice Guo, an accused Chinese spy tied to POGO Hongsheng co-incorporator Yuzheng Can who has a joint account with Hongjiang Yang, brother of Tony Yang and former president Rodrigo Duterte’s economic advisor Michael Yang.
Tony Yang owns Sanjia Steel, a company contracted by the Philippine Veterans Investment Development Corporation (Phividec) under the Duterte Administration. Sanjia was later reported to have been engaged in torture.
Meanwhile, Michael Yang is connected to Lin Weixiong through Paili Holdings. Lin was implicated in drugs and the kidnapping of Chinese gamblers. However, the drug case was dismissed in 2015. Additionally, he is the husband of POGO Xionwei Technology owner Rose Nono Lin.
According to a Philippine Drug Enforcement Agency (PDEA) informant, Lin is a close friend of Senator Bong Go who was included in the agency’s matrix linking POGOs to the drug syndicate.
The matrix also included Empire 999 Realty after P3.6 billion worth of illegal drugs were seized in the company’s warehouse. Its co-incorporator Cai Qimeng was reportedly assisted by dismissed Pampanga Mayor Teddy Tumang in acquiring the warehouse land.
Meanwhile, former presidential spokesperson Harry Roque was allegedly tied to POGO Lucky South 99 and human trafficking. Roque was held in contempt after refusing to oblige with the House Quad Committee’s subpoena. He later escaped the country, with Immigration commissioner Joel Viado admitting the likelihood of “unscrupulous individuals” aiding him.
In his attempt to push Congress to pass a law that would supervise POGOs, Duterte assured that POGOs would be “corruption-free.” However, local and national officials were subsequently found to have been involved in POGO operations.
The scene
President Marcos Jr. announced the immediate ban on POGOs during his State of the Nation Address on July 22. The ban was formally issued through EO №74 last November 5. This only came two years after Marcos assumed office, despite existing evidence of human rights abuses and exploitation involving POGOs.
Consequently, the Bureau of Immigration (BI) ordered all foreign POGO workers to leave the country before the year-end deadline. Meanwhile, the Presidential Anti-Organized Crime Commission (PAOCC), through the help of other government bodies, arrested POGO “godfather” Lyu Dong on October 10.
An Anti-POGO Bill or Senate Bill №2868 that seeks to revoke all POGO licenses and amend the Anti-Money Laundering Act to regard POGO operations and financing as “illegal activities,” was also filed and has reached the Senate plenary last December 9.
If any indication, these POGO scandals reveal that the public officials who should be protecting the people from fraud and abuse make up the reasons why corruption and human rights abuses permeate in the private sector, leaving the culture of impunity in the country unresolved.
