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Asia Casino News outlet for Online Gaming and Gambling Industry in Asia.

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Senator Joel Villanueva Warns: “Social Costs of e-Sabong Worse Than POGO Operations”

August 19, 2024 Philippines Crime & LegaliGaming & Gambling

Senator Joel Villanueva strongly cautioned against reviving online cockfighting, known as “e-sabong,” to offset the revenue loss from the recently banned Philippine offshore gaming operators (POGOs). Villanueva emphasized that the move would be detrimental, targeting Filipinos across all walks of life.

“We have just defeated an enemy with the POGO ban, and now some are considering resurrecting e-sabong, which is far worse because it directly targets our kababayans from all walks of life,” Villanueva said in a statement released on August 18, 2024.

President Ferdinand Marcos Jr. ordered a complete ban on POGOs during his State of the Nation Address last July. The Philippine Amusement and Gaming Corporation (PAGCOR) was instructed to wind down POGO operations by the end of the year.

Villanueva acknowledged the need for government revenue but argued that it should come from legitimate, legal, and sustainable sources. “While we badly need revenues, the choice should not be between the devil and the deep blue sea. We want our revenues coming from legitimate, legal, and sustainable sources,” he pointed out.

During a recent House committee hearing on PAGCOR’s proposed 2025 budget, OFW party-list Rep. Marissa Magsino raised the possibility of legalizing e-sabong to help PAGCOR maintain its revenue stream amid the POGO ban.

Former President Rodrigo Duterte banned e-sabong in May 2022 after the disappearance of 30 cockfight enthusiasts, a move formalized by President Marcos in December 2022. Despite the ban, e-sabong operations have persisted. In a Senate hearing in February, PAGCOR Chair Alejandro Tengco admitted that 789 e-sabong operations were still active in defiance of the prohibition. Tengco also revealed that PAGCOR had considered reviving e-sabong with stricter guidelines, but stated that their hands are tied until a new law or presidential order is issued.

Villanueva remains adamant in his opposition to online gambling. He has filed Senate Bill No. 1281, which seeks to ban all forms of online gambling in the country. “No matter how you look at it, the social costs of gambling overshadow the intended benefits,” he said.

Before e-sabong was banned in May 2022, the Bureau of Internal Revenue (BIR) reminded operators to fulfill their tax obligations. A Senate inquiry revealed that operators had been earning billions from online cockfighting apps, yet the BIR and Pagcor failed to withhold the 20-percent tax from winnings since e-sabong began in 2020.

Villanueva also called on law enforcement agencies, including the Presidential Anti-Organized Crime Commission, to apply the same rigorous measures against e-sabong as they did with POGOs to prevent its resurgence. He highlighted the destructive impact of e-sabong on Filipino families, noting that it drives individuals into severe debt and forces some to commit crimes to sustain their gambling habits.

“Similar to POGOs, e-sabong has brought social costs—worse, it destroys Filipino families, plunges individuals into severe debt, and even forces some to commit theft and crimes to fund their gambling habits,” Villanueva warned.

“We cannot simply turn a blind eye to the suffering of our people who have become victims of the pitfalls of gambling. Money should not be our only consideration; the welfare of our people must come first,” he added.

Here is the statement of Senator Joel Villanueva on e-sabong (published as is):

Senator Joel Villanueva firmly rejected proposals to revive online cockfighting, or e-sabong, as a way to make up for the foregone revenues due to the recent ban on Philippine Offshore Gaming Operators (POGOs).

“We have just defeated an enemy with the POGO ban, and now some are considering resurrecting e-sabong, which is far worse because it directly targets our kababayans from all walks of life,” Villanueva said.

“While we badly need revenues, the choice should not be between the devil and the deep blue sea. We want our revenues coming from legitimate, legal, and sustainable sources,” he added.

Villanueva earlier filed Senate Bill No. 1281, seeking to prohibit all forms of online gambling in the country.

“No matter how you look at it, the social costs of gambling overshadow the intended benefits,” he said.

Even during the height of their operations, the senator said POGOs did not prove to be a viable solution to the government’s revenue needs, as collections accounted for only a small portion of taxes.

Similarly, prior to the e-sabong ban in May 2022, the Bureau of Internal Revenue (BIR) reminded operators to pay their tax obligations after a Senate inquiry found them earning billions from online “talpak.”

The BIR and the Philippine Amusement and Gaming Corporation (PAGCOR) also failed to withhold the 20-percent tax from the winnings of online sabong operators since virtual cockfighting began in 2020.

In a separate Senate hearing in February 2024, PAGCOR admitted that e-sabong continues despite the prohibition. It was also found during the hearing that 789 e-sabong operations are still active, defying the ban.

Villanueva also called on law enforcement agencies, including the Presidential Anti-Organized Crime Commission (PAOCC), to apply the same rigorous measures against e-sabong as they have with POGOs to prevent its resurgence.

“Similar to POGOs, e-sabong has brought social costs–worse, it destroys Filipino families, plunges individuals into severe debt, and even forces some to commit theft and crimes to fund their gambling habits,” Villanueva said, stressing the plight of some 30 cockfighting enthusiasts (sabungeros), some of whom hailed from Bulacan, who remain missing to this day.

“We cannot simply turn a blind eye to the suffering of our people who have become victims of the pitfalls of gambling. Money should not be our only consideration; the welfare of our people must come first,” Villanueva said.


Read related article: Lawmakers Reject Revival of E-Sabong Amid POGO Ban Fallout

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