Philippine authorities detain more than 160 people over suspected cybercrime operation

Manila, Philippines is shown in this undated photo. (kieferpix / Istock.com)

MANILA, Philippines — Philippine authorities raided a suspected illegal online gaming and cyberscam complex in a central province and took into custody more than 160 people — mostly Chinese and Indonesians — who were committing internet-based crimes, officials said Sunday.

The raid on Saturday by more than 100 government agents, backed by military intelligence, on a resort compound in Lapu-Lapu city was part of an ongoing crackdown after President Ferdinand Marcos Jr. ordered a ban in July on widespread — and mostly Chinese-run — online gaming operations that cater mostly to clients in China, where illegal gambling is banned.

Marcos said then that the massive illegal gambling operations have ignored Philippine laws with largescale violations of regulations and also committed other crimes, including financial scams, human trafficking, torture, kidnappings and murder.

The raid at the Tourist Garden Resort, which has 10 buildings with swimming pools, karaoke bars and restaurants, came after the Indonesian Embassy in Manila requested the rescue of eight Indonesians who were reportedly forced to work in the online gaming hub, according to the Presidential Anti-Organized Crime Commission.

At least 162 foreign nationals “were found working in three separate scam farms within the compound," the commission said without elaborating. Such crimes include fraudulent love, gaming and investment schemes online that have defrauded victims of large amounts of money, according to Philippine officials.

The 83 Chinese, 70 Indonesians, 6 Myanmar nationals, two Taiwanese and a Malaysian will be flown to Manila to face an investigation by the Bureau of Immigration and possible deportation, it added.

The owner of the hotel compound was arrested and could face criminal complaints, including for harboring illegally staying foreigners, the commission and immigration officials said.

“We will suggest to the authorities to file cases against resort owners who allow their properties to be used by illegal aliens in their covert operations,” Tansingco said. “This will serve as a warning to those who might attempt to start illegal online gambling operations.”

Marcos’s move to ban the Chinese-run online gambling outfits — estimated to number more than 400 across the Philippines and believed to be employing tens of thousands of Chinese and Southeast Asian nationals — was welcomed by Beijing.

It has led to the shutdown of several sprawling complexes where authorities suspect thousands of Chinese, Vietnamese, Indonesians and others mostly from Southeast Asia have been illegally recruited and forced to work in oppressive conditions.

Philippine authorities have also been tracking down a dismissed mayor of a small town in Tarlac province north of Manila, Alice Guo, who apparently left the country in July after the Philippine Senate ordered her arrest after she failed to appear at public hearings where allegations against her were being investigated, including her alleged links to a large online gambling complex near the town hall.

She has also been accused of fraudulently hiding her Chinese nationality to be able to run for a public office that is reserved for Filipino citizens.

Guo, who is believed to be hiding in Indonesia, has denied any wrongdoing but has been dismissed from her post for grave misconduct by the Ombudsman, an agency that investigates and prosecutes government officials accused of crimes, including graft and corruption.

Philippine senators say the massive online gambling industry has flourished across the country largely due to corruption in government regulatory agencies and big payoffs to officials.