The Philippine Amusement and Gaming Corporation (PAGCOR) has cracked the whip on an offshore gaming service provider in Las Piñas City suspected to be involved in criminal activities.
In a Show Cause Order addressed to its authorised representative, PAGCOR ordered Xinchuang Network Technology, Inc. to explain in detail its defenses against the allegations being faced by the company and why the state-run gaming regulatory firm should not cancel its Certificate of Accreditation and Authority to Operate.
Alongside the show cause, PAGCOR ordered Xinchuang Network Technology, Inc. to Cease and Desist from all offshore gaming activities pending the completion of the investigation being conducted by the Philippine National Police (PNP).
The office of the offshore gaming service provider was raided by elements of the PNP-Anti Cybercrime Group (PNP-ACG) on June 26, 2023, after nearly a month of surveillance operations inside its facility. According to ACG Director, Brigadier General Sidney Hernia, they put Xinchuang under surveillance earlier this month after receiving a series of reports about the alleged criminal activities inside the operating site.
Information and pieces of evidence gathered by the authorities link Xinchuang to possible involvement in human trafficking and cryptocurrency and love scams, among other illegal activities.
Among those rescued during the raid were 1,534 Filipinos, and over 1,000 foreign nationals from China, Vietnam, Indonesia, Thailand, Malaysia, Taiwan, and Singapore, among others. The foreign nationals were turned over by the ACG to the custody of their respective embassies.
Seized during the raid were computer units, SIM cards, cellular phones, and passports that will all be subjected to forensic investigation.
PAGCOR Chairman and CEO Alejandro H. Tengco, meanwhile, reiterated the state-run agency’s stand against illegal activities that are being linked to offshore gaming.
“We condemn all criminal activities that violate Philippine laws and human rights – regardless of nationality. As we have always said before, PAGCOR will not hesitate to impose sanctions on erring licensees and accredited service providers. Similarly, we will continue to cooperate with our partner law enforcement agencies to ensure that responsible and regulated gaming is observed,” he said.