Misamis Oriental, Philippines — The Philippine Veterans Investment Development Corporation Industrial Authority (Phividec-IA) has confirmed that one of its registered locators, the Philippine Sanjia-Steel Corporation (Phil-Sanjia), is under investigation for alleged links to Philippine Offshore Gaming Operators (POGOs), raising concerns about the impact of POGOs in the country.
Atty. Benjamin Medrano, Phividec-IA’s acting deputy administrator for operations, stated in a recent interview that while Phil-Sanjia is still operational, the agency is conducting an investigation following revelations that the firm is connected to POGOs operating in Barangay Cugman, Cagayan de Oro City.
“We are currently investigating it because we learned that the firm is linked to one of the alleged POGOs,” Medrano said. He emphasized that the firm had been listed as a locator in Phividec’s 3,000-hectare estate—covering 13 villages in Tagoloan and Villanueva municipalities—since 2018, before the tenure of current administrator Joseph Donato Bernedo.
This investigation comes amid rising concerns over the influence of POGOs, which have been scrutinized for alleged involvement in illegal activities such as human trafficking, money laundering, and the employment of undocumented foreign nationals. POGOs, primarily catering to offshore clients, have proliferated across the country, generating both economic benefits and controversy. While they have contributed to the economy by attracting foreign investments and generating tax revenues, they have also faced accusations of fostering criminal activities and employing undocumented foreign workers.
Phil-Sanjia’s involvement in POGO-related activities surfaced during a recent hearing in the House of Representatives’ quad committee (quadcom) investigation. The company, reportedly owned by Tony Yang, who is believed to be Jian Yang Xin, elder brother of former Duterte administration economic adviser Michael Yang, denied allegations of employing undocumented Chinese nationals and storing contraband.
Medrano clarified that Phividec-IA was unable to attend the hearing due to the late notice but expressed readiness to cooperate with the congressional probe. “We received the invitation a day before the event, so we had difficulty arranging for our flights. But if Congress invites us again, we will be ready to present our side,” he said.
The growing presence of POGOs in the Philippines has been a point of contention in recent years. Critics argue that these operations have led to increased crime rates and societal problems, particularly in communities where POGOs have set up offices. Proponents, on the other hand, highlight the sector’s contributions to real estate demand, job creation, and tax revenues.
Phividec-IA, established through Presidential Decree No. 538 in 1974, is tasked with promoting industrial and economic growth. Its estate in Misamis Oriental is one of the key industrial areas under its jurisdiction, hosting several firms, including Phil-Sanjia.
As the investigation unfolds, the case is expected to add fuel to the ongoing debate over the role of POGOs in the country, particularly in terms of their legal compliance and their impact on national security and public safety.
The continuing inquiry into Phil-Sanjia and its alleged ties to POGOs will likely influence broader discussions about the future of the offshore gaming industry in the Philippines, particularly as the government balances economic incentives with legal and social concerns.
