Gatchalian downplays POGO contribution to economy
Published Mar 5, 2020 12:00 am
By Mario Casayuran
Senator Sherwin Gatchalian on Thursday sought the suspension of the operations of the Philippine Offshore Gaming Operators (POGO) in the country since they have not contributed to the nation’s economy.
Sen. Sherwin Gatchalian
(Senate of the Philippines / MANILA BULLETIN) “In my opinion, it’s about time to suspend the operations habang hindi klaro ang mga patakaran at regulasyon dapat ipataw sa POGO, suspendehin na muna… hindi rin naman natin makokolekta yan at wala tayong paraan na makulekta, ay suspendehin at kung talagang hindi natin makukulekta talaga yan ng tama, itigil na rin, dahil wala naman tayong napapala (while there are still no rules and regulations. POGO operations should be suspended… as the taxes are not being collected and there is no way of collecting them. So, we might as well suspend the operations of POGO),” Gatchalian told Senate reporters at the sidelines of the Senate Blue Ribbon Committee hearing on the suspicious entry of tens of millions of dollars by tourists into the country. Gatchalian said that prior to 2016, there was still no POGO and the Philippine economy was one of the fastest in the world. We are growing at about six percent. But the growth rate remains the same even after the entry of POGO.” “What this means is that there were no significant contributions by POGO to the economy,” he added. “Mawala man ang POGO ang medium term na mangyayari dyan, ang mga condominium ay mababakante pero dahil lumalago naman an gating ekonmiya, ibig sabihin may mga bagong negosyo at mga bagong kasal na maghahanap ng condominium, sila naman ang kukuhang mga ito (If POGOs cease to operate, the medium term effect would be many condominiums that they rented would be vacated. But since business is flourishing, t new businesses and newly-wed couple will occupy these vacated condominiums),” he explained. “So, neto, walang impact sa atin (The net result is that POGO has no impact on Philippine economy),” he added. Gatchalian, former chairman of the Senate economic affairs committee, said his study showed that it is only the Philippine Amusement and Gaming Corporation (Pagcor) that is making money to the tune of P6 billion. But the Bureau of Internal Revenue (BIR) and other agencies do not see the country profiting from POGO operations, he added. Gatchalian said the Philippine government spends for the enforcement of laws, particularly on stopping prostitution operations by criminal groups, kidnappings, and killings related to POGO. He said local residents are afraid of the criminal activities related to POGO operations because they just want to live in peace. Gatchalian also said that only less than 10 percent of the POGO workforce are Filipinos while about 90 percent are foreigners. “Local officials should be alert on the modus of POGO-related businesses that do not get local permits and the underlying illegal activities. Since they were able to corrupt the Bureau of Immigration (BI) officials, there is a strong possibility that they could also corrupt the police and local government officials. And if they are able to corrupt the police, then who will enforce the laws?” he asked.
Sen. Sherwin Gatchalian(Senate of the Philippines / MANILA BULLETIN) “In my opinion, it’s about time to suspend the operations habang hindi klaro ang mga patakaran at regulasyon dapat ipataw sa POGO, suspendehin na muna… hindi rin naman natin makokolekta yan at wala tayong paraan na makulekta, ay suspendehin at kung talagang hindi natin makukulekta talaga yan ng tama, itigil na rin, dahil wala naman tayong napapala (while there are still no rules and regulations. POGO operations should be suspended… as the taxes are not being collected and there is no way of collecting them. So, we might as well suspend the operations of POGO),” Gatchalian told Senate reporters at the sidelines of the Senate Blue Ribbon Committee hearing on the suspicious entry of tens of millions of dollars by tourists into the country. Gatchalian said that prior to 2016, there was still no POGO and the Philippine economy was one of the fastest in the world. We are growing at about six percent. But the growth rate remains the same even after the entry of POGO.” “What this means is that there were no significant contributions by POGO to the economy,” he added. “Mawala man ang POGO ang medium term na mangyayari dyan, ang mga condominium ay mababakante pero dahil lumalago naman an gating ekonmiya, ibig sabihin may mga bagong negosyo at mga bagong kasal na maghahanap ng condominium, sila naman ang kukuhang mga ito (If POGOs cease to operate, the medium term effect would be many condominiums that they rented would be vacated. But since business is flourishing, t new businesses and newly-wed couple will occupy these vacated condominiums),” he explained. “So, neto, walang impact sa atin (The net result is that POGO has no impact on Philippine economy),” he added. Gatchalian, former chairman of the Senate economic affairs committee, said his study showed that it is only the Philippine Amusement and Gaming Corporation (Pagcor) that is making money to the tune of P6 billion. But the Bureau of Internal Revenue (BIR) and other agencies do not see the country profiting from POGO operations, he added. Gatchalian said the Philippine government spends for the enforcement of laws, particularly on stopping prostitution operations by criminal groups, kidnappings, and killings related to POGO. He said local residents are afraid of the criminal activities related to POGO operations because they just want to live in peace. Gatchalian also said that only less than 10 percent of the POGO workforce are Filipinos while about 90 percent are foreigners. “Local officials should be alert on the modus of POGO-related businesses that do not get local permits and the underlying illegal activities. Since they were able to corrupt the Bureau of Immigration (BI) officials, there is a strong possibility that they could also corrupt the police and local government officials. And if they are able to corrupt the police, then who will enforce the laws?” he asked.