NBI Raids Illegal Gambling Operations Using Allegedly Cloned PCSO POS Machines

Posted on September 8, 2026 at 6:56 am

Tacloban City — Six people, including a minor, were arrested by the National Bureau of Investigation (NBI) in separate operations against illegal gambling in Eastern Visayas on September 3. Authorities allegedly found cloned Point-of-Sale (POS) machines being used for PCSO lottery games.

The operations covered several areas, including Tacloban, Ormoc, Albuera, and Samar. According to the NBI, the cloned machines were allegedly being used to accept bets that did not go through the government’s authorized system.

The investigation began after the NBI Director’s office received a formal complaint. The complaint was referred to the Fraud and Financial Crime Division (FFCD) for verification and investigation.

Dominador Samiano, Executive Officer for Fraud and Financial Crime Investigation, said the NBI first contacted representatives of DFN, the sole authorized agent of PCSO lotto machines, to verify whether the machines being used were legitimate.

“Nung nabasa natin yung complaint, pinatawag natin yung representative ng DFN and then doon natin nalaman na may mga gumagaya ng mga devices ng DFN,” Samiano said.

The information led the NBI to conduct operations in several areas in Eastern Visayas. Samiano said the bureau also plans to expand the investigation to other parts of the country because of the possibility that other groups may be copying POS machines legitimately issued by PCSO.

Machines Made to Resemble Legitimate Devices

Agent Joromy Ace Tobios, the lead investigator, demonstrated how the alleged operation works.

According to Tobios, the unauthorized machines are made to look like legitimate DFN/PCSO devices. Some are even manually colored to make them look more like the original machines.

This could make bettors believe that their bets are being processed through the legitimate PCSO system.

“Kapag may tumataya, hindi napupunta sa gobyerno… nade-deprive ang ating gobyerno ng kanyang revenue,” Tobios explained.

He described the operation as a “luto” or rigged system.

Instead of passing through PCSO, the bets are allegedly processed by an illegal “banker.”

Tobios said this also means that bettors who win large amounts in games such as the 6/55 and 6/58 lotto have no guarantee that they will receive their winnings.

Because the operation allegedly uses specialized computer applications and devices, the NBI filed charges under Republic Act No. 9287, or the Illegal Numbers Games Act, in relation to Republic Act No. 10175, or the Cybercrime Prevention Act.

Minor Among Those Arrested

The NBI also raised concerns about the people allegedly being used to operate the illegal gambling activities.

One of the six people arrested was a minor.

Eastern Visayas NBI Director Jeremy Lotoc and other officials present during the operation said children were allegedly being used by people behind the illegal gambling operations.

Lotoc said these children should be in school.

The director also pointed to collectors and sari-sari store owners who allegedly serve as front-liners while those behind the operation remain out of sight.

According to an NBI official, front-liners may face bail of P100,000, an amount that can be difficult for them to raise.

“Mahirap yung 100,000 na ilabas sa kanila unless may principal sila… yun yung mga lulutang para tulungan mga ito,” the official said.

The official said this may leave the front-liners dependent on their financiers and make it difficult for them to leave the operation.

NBI Tracks Those Behind the Operation

The arrests are only part of the ongoing investigation.

Lotoc said the NBI already has names of influential individuals and politicians allegedly linked to the operation. However, he said the names cannot yet be made public because the investigation is still ongoing.

“We have names, but… hindi muna pwedeng i-divulge kasi ongoing pa ho yung investigation,” Lotoc said.

He said the NBI must first gather sufficient and admissible evidence before taking action against people who may be involved.

He also stressed that the agency cannot rely solely on hearsay or names being mentioned by other people.

The NBI is also coordinating with e-wallet services such as GCash and Maya to trace the flow of money from transactions linked to the illegal gambling operation.

NBI Warns Lotto Bettors

While the investigation continues, the NBI is advising lotto bettors to make sure they are placing their bets through legitimate outlets and terminals.

The public may check their tickets through the official DFN website, where receipts can be scanned and possible signs of fake tickets or machines can be checked.

The NBI said it will continue its operations to “significantly reduce” illegal gambling and identify the people referred to by investigators as the “King and Queen” of the network.

For now, the investigation continues as authorities trace financial transactions and gather other evidence that could lead them to people allegedly operating at higher levels of the organization.

Photo by: Jazmin Bonifacio | The Vanguard

Photo caption: CLONED LOTTO MACHINE. NBI Agent Joromy Ace Tobios shows a POS machine that allegedly resembles a legitimate DFN/PCSO device. The NBI said the machines were being used to take bets outside the authorized PCSO system.

Photo by: Jazmin Bonifacio | The Vanguard