Minister Says Online Gambling is Now Illegal

August 13, 2007

According to the Department of Justice, Justice Secretary Raul Gonzalez has decided that the legality of online casinos was incorrect. Gonzalez had earlier supported the online casino in the zone, but has now changed his mind in regards to the dispute. The Philippine Amusement and Gaming Corporation (PAGCOR) is opposed to the online casino, and thus Gonzalez seems to have changed his opinion.

There has been an ongoing dispute over online gambling within the Zamboanga City Special Economic Zone (Zamboecozone). PAGCOR says that the online casino in the zone does not fall under city zoning laws, and that all online casino or online gambling licensing falls under PAGCOR jurisdiction.

Gonzalez says that his earlier decision to support the online gaming issue was based on a letter from the zone’s chair that said that they had the legal right to issue licenses for operating online gambling. PAGCOR says that although the Cagayan Economic Zone Authority (Ceza) does have that permission to operate online gambling facilities, Zamboecozone does not.

Therefore, Zamboecozone has been ordered to cease and desist all online gambling activities, but they refused. Then PAGCOR had to file a Supreme Court petition to halt the online gambling activities in Zamboecozone. Gonzalez said that after further review, it was clear that PAGCOR was the only one with online gambling jurisdiction here, and it being part of the Supreme Court didn’t hurt either.

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