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Philippines and China reaffirm commitment for cooperation in illegal POGO crackdown

The Philippines and China have reaffirmed their commitment to combat crimes related to Philippine Offshore Gaming Operators (POGOs).

In a recent series of meetings, both nations discussed increasing collaboration and cooperation to address the escalating issues associated with POGOs, including human trafficking and other criminal activities.

The Philippine Anti-Organized Crime Commission (PAOCC) and the Chinese Embassy agreed to enhance their partnership, focusing on a more effective crackdown on illegal POGO operations.

The meeting comes just days after a confrontation on June 17th between China Coast Guard personnel and Filipino troops en route to Ayungin (Second Thomas) Shoal in the West Philippine Sea.

Authorites from the two nations reviewed the legal and regulatory frameworks governing POGOs in the Philippines, aiming to strengthen enforcement mechanisms against illegal activities.

The Chinese government has expressed its support for the Philippines’ efforts to regulate POGOs more strictly and has committed to assisting in the deportation of Chinese nationals involved in illegal POGO operations​.

According to local media, the PAOCC chief emphasized the importance of this collaboration, noting that POGO-related crimes have led to numerous social problems, including increased rates of kidnapping, prostitution, and human trafficking.

These crimes have been largely attributed to organized crime syndicates exploiting the POGO industry, with the promised collaboration seeking to dismantle these networks and bring perpetrators to justice.

The Chinese Embassy, in a statement, reiterated its commitment to support the Philippines in maintaining social order and ensuring that Chinese nationals adhere to the local laws. This includes working closely with Philippine authorities to track and apprehend Chinese citizens involved in illegal activities related to POGOs.

The embassy also assured that it would continue to facilitate the repatriation of Chinese nationals found guilty of such crimes​.

The issue of POGO-related crimes has been a significant concern for both countries, with the Philippines recently deporting Chinese nationals involved in illegal activities.

Both nations are set to implement more robust measures and continue their dialogue to ensure sustained progress in this area. These measures are expected to include joint operations, intelligence sharing, and stricter monitoring of POGO activities.

Police to offer protection to crime prevention officials threatened after illegal POGOs crackdown

The Philippine National Police (PNP) said they will provide security assistance to personnel and officials of the Presidential Anti-Organized Crime Commission (PAOCC) who have received threats to their lives.

According to the Philippine News Agency, this is in response to threats received by PAOCC staff after their crackdown on illegal Philippine Offshore Gaming Operators (POGOs).

The PNP spokesperson said they are coordinating with the PAOCC and if anyone receives threats, they should provide statements so the PNP can document the threats and file appropriate charges.

The PNP added it respects the former president’s opinion that some police officers are involved in illegal POGO activities, and they will not tolerate corrupt officers.

Meanwhile, a Senator has urged a suspended mayor, Alice Guo, to identify the “kingpins” of illegal POGOs during an upcoming Senate hearing. Guo was charged with human trafficking related to a POGO raid in Bamban. Another Senator said POGO politics is widespread in the country and authorities should investigate further.

US tax authority claims Northern Marianas gaming regulator owes $5.8M in unpaid taxes

The US Internal Revenue Service has filed a federal tax lien against the Commonwealth Casino Commission (CCC) for over $5.8 million in unpaid taxes dating back to 2022.

According to the Saipan Tribune, this was filed with the U.S. District Court for the Northern Mariana Islands with the CCC chair, Edward Deleon Guerrero, describing the action as possibly a “mistake” by the IRS.

Deleon commented that the casino regulator for the Commonwealth of Northern Mariana Islands is a “government agency, not a small business”, and that all employee payroll and tax withholding is handled by the Department of Finance.

Previously, the CCC had requested over $4 million in funding from the government to cover personnel, operations, and other costs. However, the revised budget only allocated $2 to the CCC for the 2025 financial year.

The CCC has been facing a budget crisis since the temporary closure of Imperial Pacific International (IPI)’s casino in 2020 due to the pandemic.

IPI had been the CCC’s sole source of funding through an annual $3.15 million regulatory fee, which IPI has failed to pay since 2020. This has led to the CCC’s office being temporarily closed since January 2023 due to lack of funds.

Imperial Pacific International’s listing on the Hong Kong Stock Exchange (HKEX) was officially canceled on June 17th.

The gaming operator is IPI still also facing claims of approximately $62 million, which it allegedly owes in casino license fees to the CNMI, relating to almost four years of its annual casino license fees.

Paradise Co. projects steady business growth in coming years with new offerings

South Korea’s leading foreigner-only casino operator, Paradise Co., projects steady business growth in the coming years, forecasting that the firm’s sales volume will reach KRW1,322.6 billion ($952 million) by 2026.

The projection is based on the 1H24 results, as the company revealed that its estimated sales, including affiliates not subject to consolidated financial statements, are KRW569.9 billion ($410 million), with an operating profit of KRW91.2 billion ($66 million).

The projection was shared via a filing to the South Korea Stock Exchange on Wednesday.

Meanwhile, the company also plans to develop a new all-suite flagship hotel in Seoul. This move is part of a revamped strategy to attract more international high rollers to its properties, according to the company’s CEO, Choi Jong-hwan.

In its filing, Paradise Co. mentioned that the project aims to build a high-end hotel on a 13,950㎡ site near Jangchung-dong in the country’s capital, with construction expected to start in the fourth quarter of 2024 and the opening scheduled for 2028.

The estimated hotel construction cost is currently KRW500-550 billion ($360 million – $400 million).

According to reports from the previous day, the company held a press conference at the Paradise City gaming resort, announcing that Paradise Casino Walkerhill will open a new 383.31-square-meter space exclusively for VIP high roller games. The opening is scheduled for September this year.

Paradise Co.’s CEO notes that the company views the Chinese consumer segment as a key driver for future sales growth.

South Korea’s GKL sees 7.4% drop in gaming revenue in 1H24

South Korean foreigner-only casino operator Grand Korea Leisure (GKL) reported a 7.4 percent decrease in casino gaming revenue on a year-on-year basis in the first six months, totaling KRW192.57 billion ($138.6 million).

The decrease in revenue is seen in both table games and slot machines compared to the same period last year.

According to the company’s latest update on the South Korean Stock Exchange, table games revenue fell by 7.6 percent year-on-year in 1H24 to KRW175.29 billion ($126.2 million), while machine revenue saw a 5.4 percent drop to KRW17.3 billion ($12.4 million).

For the single month of June, the company’s gaming revenue experienced an increase of 25.3 percent from the same month last year, reaching KRW37.02 billion ($26.6 million).

Table gaming showed a 29 percent increase compared to June 2023, while machine gaming revenue decreased by 7.8 percent year-over-year.

GKL is a foreigner-only casino operator in South Korea, which is a subsidiary of the Korea Tourism Organization, itself affiliated with South Korea’s Ministry of Culture, Sports, and Tourism.

CDNetworks launches revolutionary Gaming Shield to enhance Security and Performance for iGaming platforms

CDNetworks, the APAC-leading network to deliver edge as a service, is thrilled to announce the launch of its latest innovation, the Gaming Shield, specifically designed to bolster the security and efficiency of online iGaming platforms.

In an era where digital threats are increasingly complex, the Gaming Shield offers a robust defense mechanism against DNS hijacking, IP blocking, and other cybersecurity challenges that plague the iGaming industry.

Addressing Core Challenges with Advanced Technologies

The iGaming industry frequently encounters specific network-related issues such as DNS hijacking, IP blocking, connection timeouts, and security breaches that can disrupt gameplay and affect the user experience. CDNetworks’ Gaming Shield tackles these challenges head-on with state-of-the-art technologies, including intelligent IP scheduling, link encryption, and hijacking monitoring.

Tailored Solutions for Diverse Scenarios

The Gaming Shield provides tailored solutions for both web and mobile gaming scenarios:

  1. Web Scenarios: The solution utilises intelligent IP and domain scheduling strategies to ensure secure and uninterrupted access to gaming websites and prevent DNS hijacking through advanced link encryption technologies.
  2. Mobile App Scenarios: Gaming Shield ensures that mobile gaming applications maintain smooth and secure operations through SDK plugins that connect directly to the global IP scheduling centre. The solution employs encrypted tunnels and intelligent PoP scheduling to provide optimal performance.

Comprehensive Benefits

The Gaming Shield offers multiple benefits, enhancing both security and user experience:

  1. Comprehensive Scenario Coverage: The solution addresses a range of network hijacking issues from the web to mobile applications.
  2. DNS and Content Hijacking Prevention: Employs innovative techniques to bypass DNS resolution issues and prevent content hijacking.
  3. Reduced Domain Costs: Minimizes the need for multiple domains through smart IP and domain scheduling.
  4. Integrated Security & Acceleration: Works seamlessly with CDNetworks’ Flood Shield 2.0, a cloud-based DDoS mitigation platform, ensuring enhanced protection and superior availability.

Future-Ready Security for the iGaming Industry

With the introduction of Gaming Shield, CDNetworks reaffirms its commitment to providing cutting-edge solutions that address the unique needs of the iGaming industry. The company ensures that iGaming platforms can deliver a safe and seamless experience to users worldwide, and also serves as a testament to CDNetworks’ ongoing efforts to enhance the digital experience at the edge with innovative and effective solutions.

For more information about the Gaming Shield, please contact us.

About CDNetworks

With over 2,800 global PoPs, CDNetworks delivers the fastest and most secure digital experiences to end users. Our diverse products and services include web performance, media delivery, cloud security, and colocation services — all designed to spur business innovation. Visit cdnetworks.com and follow us on LinkedIn.

Daily Asia Gaming eBrief: Vanuatu launches new eGaming regulatory framework

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Good Morning. Vanuatu is entering a new era, with its sun-kissed shores now calling out to eGaming operators hoping to expand their licensing capabilities and reach new markets. The updated framework offers significant advantages to companies, shining brighter than other competing jurisdictions. Meanwhile, Emerald Bay has again hit a roadblock, with Okada Manila operator TRLEI pulling out of its acquisition deal. And in Macau, industry property EBITDA is expected to fall quarterly, as expenses rise.

What you need to know


On the radar


AGB Intelligence

VANUATU

New regulatory framework for eGaming

Vanuatu is leaning into the future, launching a new regulatory framework that aims to attract eGaming companies to the jurisdiction. A purely online process facilitates the ease of set up, while still ensuring compliance and oversight. Meanwhile, the region is offering highly favorable conditions for its licensees, aimed at creating a win-win scenario for both the jurisdiction and the companies it partners with.


Corporate Spotlight

Know Your Enemy: An Interactive Guide to Online Gaming Fraud

Sumsub, Online Gaming Fraud, verification platform

Online gaming fraud is on the rise in the iGaming industry. In Q1 2022, there was an 85% increase in fake account registrations compared to Q4 2021. While players are undoubtedly affected by gaming fraud, iGaming platforms also suffer due to damaged reputations, huge financial losses, and legal consequences.

How 1xBet dominates the Asian market: conditions and approach

1xBet, Asian Market

1xBet operates in several dozen countries in Asia, and the number of partners in this region is growing steadily, which indicates the effectiveness of the 1xPartners affiliate program. The brand offers favorable conditions and a modern set of tools for making money on the Internet.


Industry Updates


MEMBERSHIP | INTELLIGENCE | ASEAN | CAREERS

Coordinated Singapore and Malaysia Police crackdown dismantles illegal remote betting operation

In a joint transnational operation, Singapore and Malaysian police forces have foiled an organized criminal group believed to be behind illegal remote betting activities.

A total of 43 individuals between the ages of 34 and 82 were arrested for their suspected involvement, Channel News Asia reported.

Nine of the arrested individuals will be charged on July 2nd for offenses under the Gambling Control Act, while investigations against the remaining suspects are still ongoing, according to a news release from the Singapore Police Force (SPF).

The operation, conducted from June 30th to July 1st, saw SPF officers from various divisions carry out simultaneous raids at multiple locations, leading to the arrest of 37 men and two women. Concurrently, Malaysian police apprehended four Singaporean men.

As part of the enforcement action, the SPF issued prohibition of disposal orders for secen properties valued at over SG$10.7 million ($7.9 million). Cash, jewelry, luxury watches, and over 40 bank accounts totaling nearly SG$4 million ($2.9 million) were also seized for investigation and to prevent the suspected criminal proceeds from disappearing.

Electronic devices such as computers and mobile phones, as well as gambling-related paraphernalia, were taken by the police as case exhibits.

“The SPF will continue to work with our partners to detect and dismantle criminal syndicates wherever they choose to operate,” said acting deputy commissioner of police (investigation and intelligence) and concurrent director of the Criminal Investigation Department, Zhang Weihan.

Individuals convicted of conducting an unlawful betting operation as an agent may face a fine of up to SG$200,000 ($147,288) and up to five years imprisonment.

IGSA welcomes industry leader and standards champion Continent 8 Technologies

The International Gaming Standards Association (IGSA) is pleased to welcome Continent 8 Technologies, the award-winning global managed hosting, connectivity, cloud and cybersecurity solutions provider to the global online gaming industry, as its newest association member.

Continent 8, an IGSA Silver member, is a trusted industry partner for global leading brands in the iGaming and online sports betting market. With over 25 years of experience, Continent 8 brings unparalleled expertise to the association. Their well-respected regulatory and cybersecurity practices make them an obvious choice in supporting IGSA, advocating true industry standards for the gaming industry.

As a member of the IGSA Cyber Resiliency Committee, Continent 8 will have an immediate impact, empowering suppliers, operators and regulators with best-practice recommendations to meet current and evolving regulatory and cybersecurity requirements.

Continent-8-Technologies

Jeremie Kanter, Continent 8 Director of Regulatory Affairs said, “We are excited to collaborate with the IGSA and industry peers to develop and establish comprehensive compliance and cybersecurity standards with the goal of elevating regulatory and cybersecurity excellence, performance and innovation across the gaming industry.”

“IGSA is very excited to welcome Continent 8 to our membership. As a long-time champion of industry standards, they are intimately familiar with the regulatory and cybersecurity challenges, opportunities and requirements that today’s gaming stakeholders face,” said Mark Pace, IGSA President.

Evoplay offers multipliers aplenty in Venice Festival

Evoplay’s latest title, Venice Festival, brings a celebratory flair to the supplier’s portfolio, exhibiting a distinctive trio of wild multipliers that can significantly enhance win potential.

Venice Festival is the 1-payline slot that brings the atmosphere of a vibrant festival. During the base game, Bronze (x2), Silver (x3) or Gold (x5) wild multipliers can appear and replace all other icons to form a plethora of winning combinations, boosting rewards if any three land.

Free spins are triggered when three free spins symbols land. This activates 10 initial spins, with a win multiplier box visible above the reels, showing a random multiplier value after each spin. If three or more free spins symbols land during the feature, five or more free spins are awarded.

As the main game progresses, win multipliers can be randomly granted whilst in free spins the feature works for every spin.

Additionally, the possibility of landing free spins is doubled when Venice Festival’s Double Chance option is switched on. Players can also access Bonus Buy in specific regions, initiating 10 free spins from the beginning.

Ivan Kravchuk, CEO at Evoplay, said: “Venice Festival is a delightful slot escapade centered around one of the world’s most beautiful cities, offering players a simple yet immersive experience.