PAGCOR tightens integrity checks on casino operators after the Philippines leaves FATF gray list

PAGCOR has stepped up integrity checks on casino operators after the Philippines was removed from the FATF gray list in February 2025. For high-risk payment businesses, the useful part is not the headline cleanup: it is the new compliance pressure on license holders, owners, directors, and beneficial owners.

1. According to a report by Arden Consult, the new framework is meant to do more than tick a bureaucratic box. It is tied to the FATF’s Recommendation 28, which requires regulators to prevent criminals and their associates from controlling or managing casinos.
2. While the Philippines was on the FATF gray list, its financial system faced heavier international scrutiny, and PAGCOR was pushed to prove the strength of its control mechanisms. After a series of sustained reforms, the country exited the list in February 2025, and PAGCOR now appears to be trying to protect that status with tighter integrity controls.
3. The checks are triggered in several situations: when a new license is applied for or renewed, but also when there are interim changes in the board of directors, corporate officers, ownership, or beneficial ownership of a licensed company. Adverse reports, suspected irregularities, and routine annual reviews can also lead to additional screening.
4. Licensed entities must notify PAGCOR in writing within 15 calendar days of any change in their board, officers, or owners. Missing that deadline can raise suspicion about the operation, even if there is no underlying wrongdoing.
5. The framework uses three levels of review. Level 1 is a minimum assessment for low-risk applicants and is carried out directly by PAGCOR’s Investigation and Verification Department (IVD). Levels 2 and 3 cover intermediate and advanced intensity reviews, while the checks themselves can reach beyond identity and address to credit and financial history, plus screening against international anti-money laundering and counter-terrorist financing watchlists.