The Philippine Drug Enforcement Agency (PDEA) has revealed an intricate network of criminal activities allegedly connecting Philippine Offshore Gaming Operators (POGOs) to drug syndicates, money laundering schemes, and fraudulent corporate activities.
During a hearing by the House of Representatives quad committee, PDEA Deputy Director General Renato Gumban presented a matrix highlighting how transnational criminal groups exploit legal loopholes and corporate structures to conduct illicit activities, including drug trafficking and questionable land deals involving foreign nationals.
Gumban traced the investigation to a joint operation conducted on September 24th, 2023, which resulted in the seizure of 560 kilograms of shabu, valued at PHP3.6 billion ($64.8 million), in a warehouse in Mexico, Pampanga. The operation involved multiple agencies, including the National Bureau of Investigation (NBI), Bureau of Customs (BOC), and the National Intelligence Coordinating Agency (NICA).
The warehouse was owned by Willie Ong, also known as Cai Qimeng, an incorporator of Empire 999 Realty, Inc. Ong had reportedly acquired the property with the assistance of dismissed Mexico Mayor Teddy Tumang.
Further investigation uncovered that Ong and Empire 999 Realty were part of a broader network of interconnected companies involved in various criminal enterprises.
These companies included Golden Sun 999 Realty and Development Corp. and Yatai Industrial Park, Inc., both of which were linked to Ong and incorporator Aedy Yang.
Golden Sun 999 also has ties to businesswoman Rose Nono Lin, who gained notoriety for her involvement in Pharmally Pharmaceutical Corp. During the COVID-19 pandemic, Pharmally controversially secured PHP11 billion in government contracts despite having a declared capital of only PHP625,000 ($11,250).
Lin’s corporate connections extended to Michael Yang, a former adviser to ex-President Rodrigo Duterte, and her husband Allan Lim, also known as Lin Weixiong.
Lim, who reportedly uses multiple aliases and passports, has been implicated in drug operations and casino junket schemes. He was previously named in a 2017 drug matrix by former police Colonel Eduardo Acierto, linking him to clandestine drug laboratories in Luzon and Mindanao. Michael Yang, on the other hand, has been accused of managing logistics and financial operations for drug syndicates.
The PDEA also detailed direct links between POGOs and criminal syndicates, citing Hongsheng Gaming Technology Inc. as a key example.
Based in Bamban, Tarlac, Hongsheng Gaming was identified as a major player funded by billions of pesos from suspicious sources, including Hong Jiang Yang, a sibling of Michael Yang. In March 2024, a raid on Hongsheng Gaming’s compound led to further investigations into its financial activities.
The company leased facilities from Baufu Land Development, Inc., owned by former Bamban Mayor Alice Guo. Financial investigations by the Anti-Money Laundering Council (AMLC) revealed that Guo funneled illicit funds through entities like QJJ Farm and RMCE Metal Products Trading Co.
Both companies had previously been linked to money laundering activities involving convicted Chinese drug lord Peter Co, also known as Wu Tuan Yuan. Despite being incarcerated at Sablayan Penal Farm, Co’s accounts were found to be actively used in laundering operations connected to POGO-related entities.
The PDEA’s findings exposed a vast and complex network of corporate layering, connecting various personalities and organizations. The network allegedly facilitated activities ranging from drug trafficking to financial fraud, often hiding behind legitimate business operations.
Batangas 2nd District Representative Gerville Luistro described the revelations as “enlightening and deeply troubling,” highlighting the overwhelming scale of corporate and criminal overlap.
“The volume of corporate layering along with the corporate personalities are truly overwhelming,” Luistro stated, emphasizing the difficulty of unraveling these deeply intertwined schemes.
The PDEA’s presentation underscores the urgent need for tighter regulation of POGOs and more stringent oversight of corporate and financial activities in the Philippines. The revelations point to the exploitation of legal and regulatory loopholes by both local and foreign actors, facilitating widespread criminal operations.
With POGOs already under intense scrutiny for their alleged links to human trafficking, labor exploitation, and tax evasion, these findings further reinforce the argument for their comprehensive regulation—or outright ban.
The House quad committee is expected to continue probing these issues, with lawmakers and enforcement agencies urged to collaborate on dismantling the networks that allow these operations to thrive. The PDEA’s investigation marks a critical step in understanding and addressing the multifaceted criminal activities that continue to undermine national security and economic stability.
