China unhappy with Philippines gambling

China has expressed concern with Philippine gambling operators posing a threat to both Chinese citizens and the Chinese government’s efforts to reduce crime. Gambling could be one of the hot topics when the leaders of both countries meet later this month.

Last week, Chinese state-run media reported that its embassy in the Philippines had expressed “grave concern” for Chinese nationals working for Philippine casinos and Philippine Offshore Gambling Operators (POGO), as well as other not-licensed operators. According to the embassy, many of them had been illegally recruited to work in the Philippine gaming industry, often through advertisements that promise technology jobs but turn out to be call centres for Philippine online gambling sites. They often have their passport confiscated by the employers and are forced to work long hours, six days a week, in what was described as “modern slavery.”

China also seems to be against Philippine Amusement and Gaming Corporation (PAGCOR) plans to open two ‘hubs’ on Manila’s fringes that would host POGO infrastructure and their Chinese staff. The move was partly intended to alleviate pressure on Manila’s tight real estate market, but the embassy said this “segregation” would infringe on Chinese nationals’ legal right to freedom of movement.

Yang Kang, a 27-year old Chinese national who came to the Philippines to work in “information technology,” died after falling from a sixth-floor window of an office tower in Las Piñas City in Metro Manila. As seen on video surveillance footage, he was wearing handcuffs at the time of his fall, leading police to suspect that he was being held against his will by his Chinese employer, presumably over an unpaid debt that he was working off.

In another complaint, Chinese embassy claims that Philippine-based gambling sites and casinos, which are overwhelmingly focused on the Chinese market, have “severely undermined China’s financial supervision and financial security” by helping gamblers evade China’s strict capital controls.

Philippine President Rodrigo Duterte and Chinese President Xi Jinping are expected to meet in Beijing later this month. The exact date for the meeting has yet to be set, but gambling issues between these two countries should be one of the hot topics during the summit.