Businesses will have to brace themselves as Cebu City prepares to inspect establishments for activities related to Philippine offshore gaming operators (POGO).
Businesses will have to brace themselves as Cebu City plans to thoroughly inspect establishments for activities related to the now-illegal Philippine offshore gaming operators (POGO) industry. It can be recalled that the Philippine government set a deadline for cities, provinces, and municipalities to certify that they are “POGO-free.”
Mayor Raymond Alvin Garcia announced on January 6, 2025 that the city will conduct thorough inspections of all 40,000+ registered businesses, extending beyond the Business Process Outsourcing (BPO) sector, which was previously the primary focus of POGO monitoring. This widespread scrutiny underscores the potential economic impact of the ban, as it requires significant resources for enforcement and could potentially affect legitimate businesses through increased regulatory oversight.
“As of now, there are none, even if you review our BPLO records. This process has been ongoing since last year,” Garcia said in an interview with reporters.
While initial findings indicate no active POGO operations in Cebu City, the city remains vigilant against POGO-like activities operating under the guise of legitimate businesses. This vigilance is crucial, as the economic impact of POGOs is multifaceted. While they initially contributed revenue through licensing fees and taxes, their association with criminal activities, such as money laundering and human trafficking, has created significant social and economic costs. The ban aims to mitigate these negative externalities.
While Cebu City officially reported no active or legal POGO operators in 2024, there have been activities in nearby cities and provinces.
Last October 2024, authorities arrested around 40 undocumented Chinese nationals at a resort in Moalboal (a municipality in Cebu province), suspected of operating a POGO hub. This incident highlighted the potential for POGO operations to exist outside of Cebu City proper but still within the broader region.
The Department of the Interior and Local Government (DILG) earlier issued a directive to submit “No POGO Certificates,” -showing the economic ramifications of the POGO ban and the city's commitment to maintaining a transparent and regulated business environment.
The DILG's mandate empowers local government units (LGUs) and local enforcement agencies to conduct these inspections, reflecting a nationwide effort to eliminate POGO operations. Cebu City's response involves convening a coordination meeting with key agencies, including the Cebu City Police Office, the National Bureau of Investigation, and the Business Permit and Licensing Office (BPLO), to strategize and execute the inspections effectively.
Cebu City's proactive measures, including reviewing BPLO records and conducting on-site inspections since the President's announcement of the POGO ban in July 2024, demonstrate a commitment to compliance and transparency. The city’s efforts to issue a “No POGO Certificate” to the DILG based on these inspections reinforces this commitment.
Cebu City aims to mitigate the negative economic consequences of the POGO ban while fostering a more sustainable and reputable business environment.
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