Ban or regulate? Senate to hold hearings on online gambling

MANILA, Philippines — Sen. Erwin Tulfo, who oversees gaming issues as chairman of the Senate Games and Amusements Committee, committed to holding public hearings on online gambling next week.

During a press briefing on Wednesday, July 30, Tulfo told reporters that he is determined to schedule hearings to consolidate insights, studies and data from concerned stakeholders. He said he will invite the Philippine Amusement and Gaming Corporation (PAGCOR), the Department of Finance (DOF) and the executive branch.

Tulfo explained that the hearing will investigate the extent of online gambling's harmful effects on Filipinos, including minors. While government agencies favor tighter regulations, Tulfo said he personally wants a complete ban on online gambling and plans to convince the rest of the panel.

"Yes, we will do that (hold hearings). Kailangan unanimous kami (we need to be unanimous), and I believe I can convince all the members," he said. 

"I can convince 'yung two vice chairs and then a couple of members, I can convince them na our stand will be no to online gambling," Tulfo added. 

Both PAGCOR and DOF officials have rejected calls for a complete ban, pushing instead for stricter oversight and increased taxation, especially as online gambling has become a larger source of revenue in the gaming industry.

Tulfo criticized this approach, arguing that regulation rather than prohibition may likely drive more gambling operators "underground." He warned this would prove costly for the government, citing the case of illegal activities by the now-banned offshore gaming operators or POGOs.

Despite favoring a total ban, Tulfo questioned whether law enforcement could effectively enforce a total ban. He said the committee hearings would help clarify the best path forward.  

"Our law enforcement is not effective. Huhulihin ng police, bukas makalawa, andiyan na naman. Huhulihin ng NBI, bukas makalawa, andiyan na naman," Tulfo said. 

(The police arrest them, but in a day or two, they’re back again. The NBI arrests them, and in a day or two, they’re back again.)

Still, Tulfo maintains that online gambling should be prohibited, arguing that gamblers should visit physical casinos where security guards verify identification.

PAGCOR, however, earlier clarified that legitimate online platforms also require ID verification and restrict access to players 21 and older. The problem of underage gambling, the agency said, stems from unlicensed operators run by overseas companies that deliberately target Filipino players, including minors.

Tulfo said he will also invite affected stakeholders, including youth, parent, school and church organizations, to testify. If the hearings reveal that a total ban is unfeasible "because the country needs the money" from taxes and licensing fees, he stood firm that the issue needs to be carefully studied.

"But if I can have it my way, kung akong tatanungin niyo personally, I want this online gambling stop," Tulfo said, stressing how online gambling has torn families apart, driven children to drop out of school, and left many deep in debt.

(But if I can have it my way, if you ask me personally, I want this online gambling to stop.)

Several senators have already filed bills either to regulate online gambling or ban it entirely, including its promotion. Some focused on prohibiting online gambling platforms and applications from linking with e-wallets, a case which prompted discussions on online gambling. 

During Wednesday's plenary session, the Senate held an extensive discussion on the social harms of online gambling.

The debate was prompted by a privilege speech from Sen. Migz Zubiri, who has filed a bill seeking to ban it. Several senators expressed their support for the proposed ban, including Risa Hontiveros, Pia Cayetano, Robin Padilla, Joel Villanueva, Bato dela Rosa, Kiko Pangilinan and Bam Aquino. Sen. JV Ejercito also backed the measure, should it be deemed necessary. 

They raised the question of whether potential government revenue from online gambling is worth the social costs, which many agreed it's not.

Sen. Joel Villanueva said Senate Bill 47, or the Anti-Online Gambling Act, is now among the Senate’s top 10 priority measures.