Question & AnswerQ&A (SEC MEMORANDUM CIRCULAR NO.2, S. 2005)
The main purpose of Executive Order No. 13, s. 2017 is to strengthen the fight against illegal gambling, clarify the jurisdiction and authority of concerned agencies in the regulation and licensing of gambling and online gaming facilities, and to ensure the proper enforcement of laws against illegal gambling activities in the Philippines.
Illegal gambling is defined as any game scheme involving wagers of money or items of value where such game is not authorized or licensed by the government agency empowered to license the activity, or conducted in violation of the terms and conditions set by the licensing agency, including gambling conducted outside the territorial jurisdiction of the licensing authority.
The Philippine National Police (PNP), National Bureau of Investigation (NBI), and other law enforcement agencies are ordered to intensify their fight against illegal gambling, in coordination with the Department of Justice (DOJ), Department of the Interior and Local Government (DILG), and Department of Information and Communications Technology (DICT), among others.
Licensed online gambling operators are prohibited from allowing persons physically located outside the territorial jurisdiction of the licensing authority to place bets or participate in the games operated by such operators through online portals or similar means, except they may allow participation of persons located outside Philippine territory.
No. The license granted to operate online gambling cannot be assigned, shared, leased, transferred, sold, or encumbered to any other party.
The Cagayan Economic Zone Authority (CEZA), Aurora Pacific Economic Zone and Freeport Authority (APECO), and the Authority of the Freeport Area of Bataan (AFAB) are authorized under their respective laws to operate or license gambling casinos, online gaming facilities, and similar amusements within their jurisdictions.
The Office of the President, through its duly authorized representative, exercises oversight over the implementation of the Executive Order.
PAGCOR, CEZA, AFAB, APECO, and other similar regulatory entities, in coordination with law enforcement agencies, must submit consolidated reports on the progress of the fight against illegal gambling to the Office of the President every six months starting within six months from the order's effectivity.
All executive orders, rules, regulations, and other issuances inconsistent with this Executive Order are revoked, amended, or modified accordingly to conform with its provisions.
Clarifying jurisdiction and authority helps in the effective detection and suppression of unauthorized gambling activities, ensures regulators act within their mandates, improves government revenue collection from legitimate gambling, and addresses the proliferation of illegal gambling.