The Philippine Amusement and Gaming Corporation (PAGCOR) has directed casinos and other regulated gaming entities to reinforce their anti-money laundering (AML) systems following the issuance of updated red flag indicators intended to help identify transactions linked to corruption and other illicit financial activities. The move is part of PAGCOR’s broader effort to tighten oversight in the gaming industry and improve the detection of suspicious financial behavior.
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“Casinos must establish internal controls and risk-based procedures that are commensurate with money laundering risks inherent in their products, services, customer base, and delivery channels,” PAGCOR stated in a memorandum.
Following the issuance of the directive, the regulator said licensed gaming operators are required to reassess their current AML and counter-terrorism financing frameworks to determine whether enhancements are necessary. This includes reviewing existing safeguards and strengthening mechanisms used to detect and report suspicious transactions.
PAGCOR added that the updated memorandum is intended to help gaming firms improve compliance systems, particularly in identifying corruption-related risks and reinforcing customer due diligence and monitoring processes.
Stronger Internal Controls Required Across Gaming Firms
PAGCOR emphasized that casinos must adopt risk-based procedures aligned with the level of exposure in their operations. This covers stricter customer verification, enhanced transaction monitoring, and improved reporting of suspicious financial activity.
The agency stressed that these safeguards are necessary to prevent gaming platforms from being misused for illegal financial flows and to strengthen overall regulatory compliance.
Enhanced Monitoring and Compliance Framework
Under the new directive, regulated entities are expected to regularly review and upgrade their AML and counter-terrorism financing systems. This ensures that potential gaps in monitoring are addressed and that reporting mechanisms remain effective.
PAGCOR said the strengthened framework supports its continuing efforts to maintain integrity and accountability within the regulated gaming sector.
For Filipinos, tighter anti-money laundering controls in casinos help reduce the risk of illicit financial activity, strengthen oversight of regulated gaming operations, and improve trust in both the financial and regulatory systems in the country.
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