Philippine National Police intensify crackdown on foreign-run offshore gambling operations

How a quiet office tower became a flash point

Authorities say the latest sweep against foreign-run offshore gambling in Metro Manila did not begin as a gaming case. It started with an arrest warrant for a Chinese national wanted for fraud. When investigators served that warrant on Dec. 1 in Taguig’s Bonifacio Global City, they say they uncovered an operation posing as a business process outsourcing firm — a familiar cover for offshore gambling outfits driven deeper underground since the government outlawed POGOs in October.

Police later detailed how the suspected hub used a bare-bones corporate façade to mask a live online casino tied to a platform with no regulator approval. The backdrop is a fast-moving policy shift that shut the door on one set of operators and, officials now argue, encouraged criminal groups to relabel and regroup. The raid’s timing — barely weeks after the ban took effect — underscores how quickly syndicates can retool and how determined law enforcement is to keep up.

The Taguig raid and what it revealed

Investigators say the office’s tenth floor looked like a standard IT outfit until they checked screens and devices. They reported finding more than 100 computers, smartphones linked to suspected scam activity and an illegal URL running an offshore casino. In all, police made over 100 arrests at the suspected offshore gambling hub in Taguig, including 17 foreigners and 95 local workers. Some Filipinos detained at the scene denied involvement in scams, highlighting how recruitment pitched as “tech” roles can pull in unsuspecting applicants.

Officials said the business had no license from the Philippine Amusement and Gaming Corp., adding that the foreign suspects’ immigration status was under review. The operation dovetailed with a separate development earlier that week, when an arrest warrant was issued for Porac Mayor Jaime Capil over graft charges tied to a POGO hub — a reminder that offshore gambling’s footprint in the Philippines extends beyond office towers to local politics and real estate. After the Taguig raid, police said charges would follow pending documentation and verification.

Policy whiplash and the POGO-to-PIGO shift

The political calculus behind the crackdown has evolved. The state banned POGOs after a steady drip of extortion, human trafficking and cyber fraud cases linked to offshore groups. Yet the pivot raised a new question: what happens inside the domestic online market. Senate President Francis Escudero recently urged a broad review of Philippine Inland Gaming Operators, or PIGOs, arguing that the social harms previously blamed on POGOs could just as easily take root in products targeted at Filipinos.

Escudero’s point was blunt. With the offshore sector banned and a legislative push to codify the prohibition, the risk is that former POGO actors reappear under local-facing labels. The Presidential Anti-Organized Crime Commission said in February it aims to eliminate POGOs by the end of 2025. That timetable gives regulators and police a defined window to choke off residual activity while they assess whether the legal online segment is adequately ring-fenced against fraud, money laundering and predatory marketing.

The Taguig case fits that concern. Police said the operation ran without PAGCOR approval and used fronts to hire staff, suggesting a playbook designed to skirt both licensing and labor rules. It also hints at the gray zone between illegal operators and suppliers that can serve legal and illegal markets alike, from tech stacks and payment rails to marketing channels on social media.

Data protection and the regulator’s compliance push

Against that backdrop, the regulator has moved to tighten governance. In late October, PAGCOR signed a memorandum with the National Privacy Commission to bolster data protection across the legal market. The deal sets up joint programs to address privacy risks and improve cooperation with stakeholders, aiming for a safer and more trusted ecosystem. The agency framed the accord as an effort to align with an evolving privacy landscape while keeping operations transparent and compliant. Details are in PAGCOR’s data privacy partnership with the National Privacy Commission, which the regulator says complements its broader integrity push.

The privacy lens matters because illegal platforms thrive on stolen identities, mule accounts and anonymized payments. Better data stewardship within the regulated market can make it harder for criminals to blend illicit flows with legitimate gaming transactions and payroll. It may also help protect workers recruited under false pretenses by making corporate due diligence, onboarding and reporting more robust.

A regional problem with local consequences

The Philippines is not alone in grappling with the risks of online gambling networks. In neighboring Myanmar, authorities have stepped up actions against websites and social media pages that promote casino games, slot machines and locally popular card titles. Police said operators use multiple currencies and cryptocurrencies and lure users with VIP rewards and free spins. Officials are working with the telecoms ministry and central bank to cut off payment channels and publicize legal and financial risks. The enforcement drive is detailed in Myanmar Police’s intensified crackdown on illegal gambling.

South Korea has also seen organized rings convert everyday venues into illicit hubs. Jeju police dismantled networks that used PC bangs and a villa to run sites catering to teenagers and seafarers, generating about KRW22 billion in wagers. They reported loan sharking to students at punishing rates and moved to recover illicit profits. The case, described in South Korean police bust $15 million illegal gambling rings run from converted internet cafés, highlights two risks that travel across borders: youth exposure through ubiquitous devices and financial predation that feeds addiction.

These regional patterns reinforce the stakes in the Philippines. Even with domain blocks and SIM registration laws, operators can switch URLs, tap crypto rails and recruit through encrypted chats. Cross-border links — from payment processors to call center scripts — make coordination with immigration, financial regulators and foreign counterparts essential. The Taguig raid shows the playbook: disguise, distribute and relocate. The policy response must be equally nimble.

What to watch next

The open questions now center on enforcement tempo and regulatory clarity. Police say they have increased coordination with the Bureau of Immigration, the National Bureau of Investigation and the Department of Foreign Affairs to track foreign nationals tied to criminal groups. Expect more workplace inspections of “IT” and “solutions” firms, plus follow-on cases targeting money flows and recruiters.

On the regulatory side, Escudero’s call for a cost-benefit review of PIGOs could define how the domestic online market evolves. If lawmakers tighten marketing, payment and identity checks for local-facing products, the legal channel may better withstand attempts by former POGOs to rebrand. PAGCOR’s privacy partnership adds a compliance layer that can deter misuse of personal data and complicate mule-account schemes.

The Taguig arrests — and the possibility of wider network links to fraud and cybercrime — suggest that the transition from an offshore-heavy market to a domestically regulated one will be bumpy. The outcome will turn on whether authorities can keep illegal operators off balance without pushing vulnerable workers and players further into the shadows.