Philippines: Senate committee to hold hearings on online gambling

Philippine Senator Erwin Tulfo will lead Senate hearings next week on online gambling, aiming to push for a total ban despite opposition from government agencies.

Tulfo, chair of the Senate Games and Amusements Committee, announced the hearings during a press briefing on July 30, the Philippine Star reported. He said the sessions will gather data from key stakeholders, including the Philippine Amusement and Gaming Corporation (PAGCOR), the Department of Finance (DOF), and the executive branch.

The hearings will focus on the harmful effects of online gambling, especially on minors. Tulfo said he plans to convince other committee members to support a full ban. “I can convince the vice chairs and other members," he said. "Our stand will be no to online gambling."

PAGCOR and DOF opposed a total ban, favoring tighter regulation and higher taxes. They argue that online gambling is a growing source of government revenue. 

Tulfo, however, disagreed, saying regulation will only drive illegal operations "underground", as seen with offshore gambling operators (POGOs). He also questioned law enforcement’s ability to shut down illegal sites effectively. “Our law enforcement is not effective. The police arrest them, but in a day or two, they’re back again," the senator said.

Tulfo insisted that gambling should be limited to physical casinos where ID checks are stricter. PAGCOR has clarified that legitimate online platforms also verify IDs and restrict access to players 21 and older. The problem, the regulatory body said, comes from unlicensed foreign operators targeting Filipinos.

The senator plans to invite youth, school, church, and parent groups to the hearings. While open to further study if a total ban is deemed unrealistic due to lost revenue, Tulfo said his personal stance remains firm.

“If I can have it my way, if you ask me personally, I want this online gambling to stop,” he said. Tulfo stressed that online gambling is destroying families, pushing kids out of school, and burying people in debt.

In an earlier interview with Business Mirror, Finance Secretary Ralph G. Recto also said he opposes a total ban on online gambling, warning it would drive all operations underground.

“Today, my understanding is 60% is illegal and 40% is legal. If you ban it, 100% will become illegal,” Recto said. He wants tighter regulation and higher taxes instead. PAGCOR, he said, can enforce stricter rules and help raise government revenue.

Gambling taxes could hit P200 billion ($3.4 billion) this year, officials estimate, half from online platforms. Recto said an extra P20 billion could come from properly taxing online operators.

Recto also said the government should increase its share of gross gaming revenues from licensed operators to boost funds and tighten oversight.

Amid the ongoing debate, senators have filed bills either regulating or banning online gambling. Senate Bill No. 47, filed by Senator Joel Villanueva, seeks a full ban and is now among the Senate’s top 10 priority measures.

Senators Migz Zubiri, Risa Hontiveros, Pia Cayetano, Robin Padilla, Bato dela Rosa, Kiko Pangilinan, Bam Aquino, and JV Ejercito have expressed support for the ban.