PAGCOR lost US$39.6m in receivables from defunct POGO

The regulator was unable to collect PHP2.2bn (US$39.6m) from a POGO that closed down.

The Philippines.- The House Committee on Appropriations’ budget hearing has heard from PAGCOR chairman and CEO Alejandro H. Tengco that the Philippines lost PHP2.2bn (US$39.6m) in receivables from a Philippine offshore gaming operator (POGO) that closed down. 

Tengco acknowledged that the past administration had been unable to recover the sum due to the sudden closure. The company’s eight-month operation concluded during the Covid-19 pandemic, and its foreign national officials departed the country. PAGCOR has requested that the Commission on Audit write off the uncollectible receivables.

Anticipating potential vulnerabilities in the sector, Tengco said PAGCOR will closely monitor all 32 POGO licensees with a maximum of 15 service providers each. The regulator has created a “probationary status” for all overseas gaming licensees, effective August 1. This measure is designed to ensure compliance and prompt reapplication by existing licensees.

According to Philstar, Tengco revealed a shift in approach concerning PAGCOR’s corporate social responsibility endeavours. He said vice president and education secretary Sara Duterte has agreed to receive PAGCOR sponsorship for constructing school buildings. Tengco said a memorandum of agreement between PAGCOR and the Department of Education would formalise the collaboration.

See also: PAGCOR introduces new regulatory framework for offshore gaming operators