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The conversation around illegal online gambling in the Philippines has intensified, with new voices stressing that the country’s regulator, Pagcor, is being misunderstood. While many in the public assume Pagcor has police-like powers, industry experts say the agency’s authority lies elsewhere — and that’s where the real battle can be fought.
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According to Marie Antonette Quiogue, chief executive of Arden Consult and a noted gaming law expert, Pagcor can still make a big impact. She explains in a recently released paper that “through its rule-making and accreditation of providers,” the agency “can cut off the very supply chain that illegal operators depend on.”
Quiogue adds:
“Properly enforced, this authority can be game-changing – making the difference between an unregulated free-for-all and a market where operators, suppliers, and platforms are forced to choose between compliance and exclusion.”
The scale of the issue is clear. Alejandro Tengco, Pagcor’s chairman and CEO, recently revealed that 60 percent of the online gambling industry in the Philippines is now made up of illegal operators, most of which are based overseas. Pagcor’s monitoring has identified about 12,000 offshore sites, while only 77 operators remain legally licensed within the country.
Quiogue notes that illegal platforms “continue to siphon off untaxed revenue while exposing Filipinos to unregulated play.” She warns that placing blame solely on Pagcor misses the bigger picture:
“The power to investigate, prosecute, and shut down illegal operators lies with law enforcement and other agencies.”
The debate comes as lawmakers in the Senate weigh new bills that could reshape the industry. Three proposals aim to ban online gambling altogether, while two suggest stricter oversight.
At the same time, the Philippines’ central bank has ordered e-wallet providers and digital payment platforms to cut links to gambling sites. Since that order, Pagcor has reported a 50 percent drop in transactions for licensed operators—but also a surge in activity on unlicensed platforms.
Even without police powers, Pagcor can act against its own licensees. Its Compliance Monitoring and Enforcement Department (CMED) audits and investigates to ensure that platforms follow the rules. Violations can lead to fines, suspensions, or even loss of license.
Quiogue believes this role is critical:
“Strengthening Pagcor’s compliance monitoring could mean more resources for detecting illicit gambling and faster referrals to authorities, thereby plugging some of the enforcement gaps without giving Pagcor direct police power.”
She adds that Pagcor should also focus on providers. By refusing accreditation to service partners, payment firms, and content studios that support illegal sites, the regulator can “deny illegal websites access to the games, platforms, and services that make them attractive to players.”