China Targets Philippines POGOs over Illegal Hiring of Workers

Chinatargets the Philippines in a gambling clamp downOffshoregambling operators will come under more scrutinyUndergroundfinancial networks at home are also part of the sweeping changes

China warns overseas operators to refrain from hiring Chinese citizens to work in the offshore gaming industry. The Philippines’ offshore gaming companies have been targeted by the Embassy in the country.

China Targets Offshore Gaming in the Philippines

China’s hostility towards the gaming sector in the Philippines is going to boost Macau’s competitiveness over the next months, analysts predict. Based on Sandford C Bernstein analysis, the process has already begun.

Specifically, China doesn’t feel comfortable with the Philippines plan to issue snap visas to Chinese workers who then start working at Philippine Offshore Gaming Operators (POGOs). China’s distaste for offshore gaming operations is not new.

Suncity Group recently came under the hits of the Chinese government over allegedly having syphoned off players from Macau and send them to play at affiliated offshore gaming operators instead, an accusation that Suncity has denied.

RegardingPOGOs, the Chinese Embassy releasedan argumentative statement about its stance on that type ofbusinesses. Yet, the Chinese government seems to be too involved withwhat citizens do outside the country. Here is what the statementsaid:

“According to the Chinese laws and regulations, any form of gambling by Chinese citizens, including online-gambling, gambling overseas, opening casinos overseas to attract citizens of China as primary customers, is illegal.”

Similarly,the statement explained that POGOs had been knowingly andspecifically targeting Chinese citizens. Any hires in those companieshad been illegal, the Embassy said.

In Big Trouble with the Red Dragon

China’s gunk-ho approach didn’t stop there. Thecountry’s Embassy explained that much of otherwise Chinese funds havebeen gobbled up by greedy POGOs. As a result, China is stepping upits efforts to crack down on cross-borders gambling and preventingoffshore operators from gaining a 7BALL ccess to Chinese nationals.

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Domestic operations will be part of the newcampaign that is designed to uproot such illegal trade. Some of themeasures that the government will take upon itself is to sweep thecountry clean of any underground financial networks that have beenfacilitating gambling.

Recently, Australia’s Crown Resort was implicated in being in cahoots with Chinese crime syndicates. At one point, the name of Chinese President Xi Jinping was mentioned insofar Mr. Jinping’s cousin has been among the alleged beneficiaries of an expedite visa to enter Australia to play at the casino.

The most recent warnings released by the Chinesegovernment should serve only one reason – to warn junket operatorsand online gaming companies who are tempted to try operating outsideMacau and skirt gambling taxes in the region.

Under China’s vigilant eye, this is not very likely to go down well. The Embassy did say, however, that it is prepared to collaborate with the Philippines government to fight illegal POGO workers.

China recently stated that it would also welcome a move whereby the Philippines take it upon themselves to deport such illegal employees.