Pagcor Bans New Offshore Operators After Recent Misconduct Warning

Following the recent gaming license, and provisional accreditation cancellations of offshore gaming hubs in the Clark Freeport Zone by the Philippine gaming regulator, the Clark Development Corporation (CDC) has decided to stop accepting any new applications from offshore gaming operators eager to operate in the Zone. As Inside Asian Gaming Reports, the decision seems triggered by the involvement of a hub at Sun Valley Clark in a range of illegal activities that will now prevent new offshore licenses until further notice.

Banning New Establishments:

The information reportedly recently provided by the national gaming regulator PAGCOR (the Philippine Amusement and Gaming Corporation) indicates that the CDC Board of Directors followed the recommendation of the CDC management not to allow any new offshore service providers from establishing gaming facilities in the Clark Freeport Zone.

Operations No Longer Approved:

According to the source, CDC President and CEO Agnes Devanadera said on the occasion: “The CDC will no longer process or approve the operation of any incoming overseas gaming, even if they already have license from PAGCOR.” The measure implies that the Clark Freeport Zone will continue to host only four accredited gaming operators and one licensed offshore service provider headquartered out of the zone. These operators seem to have received or renewed their gaming licenses before the restriction and had no criminal record. 

Misconduct and Criminal Offenses:

Inside Asian Gaming reported last month that PAGCOR cancelled the gaming license for CGC Technologies and the provisional accreditation for Sun Valley Clark in Clark Freeport. The regulator reportedly claimed that CGC Technologies was involved in the fraudulent and criminal activities that included human trafficking and serious detention, while Sun Valley Clark had failed to set up a lawful and orderly offshore gaming operations.

These failures and offenses drove the regulator to suspend the subject service providers and leave them to competent national authorities, but also made it halt new offshore applications to prevent any further occurrence of similar conduct.

Sublicensing Subject to Fines:

The latest restrictions are reportedly the result of the Philippine Amusement and Gaming Corporation‘s continued effort to establish safety and security in the country by banning the offshore gaming clubs that violated the law and exercised misconduct in the provision of their gaming services. According to the source, the PAGCOR announced on June 9 that any offshore license holders or gaming operators that lease or sub-lease their licenses for operation by any third parties in the Clark Freeport Zone will be subject to investigation and fines of $50,000.