Mandaue City eyes TF to inspect IT firms after Cebu scam hub discovery

scam task force

Joint inspection led by the Mandaue City Police, together with several government agencies, at BPO and IT companies in Barangay Banilad, Mandaue City, on Monday afternoon, May 26. | Photo: MCPO

MANDAUE CITY, Cebu – The Mandaue City Police Office (MCPO), in coordination with several agencies, is pushing for the creation of a specialized task force to regularly inspect IT and Business Process Outsourcing (BPO) companies operating within the city.

On Monday afternoon, May 26, joint teams from the MCPO, Mandaue Business Permit and Licensing Office (BPLO), Bureau of Fire Protection (BFP), National Bureau of Investigation (NBI), Criminal Investigation and Detection Group (CIDG), and Regional Anti-Cybercrime Unit (RACU-7) conducted inspections in several IT and BPO firms located in Barangay Banilad.

The inspections focused on verifying business permits and ensuring operational compliance with regulatory standards. According to BPLO Head Atty. Lizer Malate, the companies inspected so far appear to be legitimate.

“So far, those we inspected are legitimate. Although some of these businesses operate at night, we will conduct follow-up inspections,” Malate said during a press conference on Tuesday, May 27. He noted that most of the companies had the proper permits and documentation.

Despite these findings, Malate emphasized that inspections will not stop and will, in fact, become more stringent.

“We are not here to intimidate businesses. In fact, we are helping them. We want to maintain the good image of the city, and we don’t tolerate illegal operations,” he added.

Mandaue City is home to around 100 BPO and IT companies. Before permits are issued, establishments are typically subject to ocular inspections. However, concerns have been heightened following the discovery of a scam hub in Barangay Kasambagan, Cebu City, allegedly involved in an investment scam targeting South African nationals through a fake AI company.

The move is also in line with President Ferdinand Marcos Jr.’s directive to clamp down on illegal Philippine Offshore Gaming Operators (POGOs).

In response, the MCPO is proposing the formation of a permanent task force composed of the BPLO and various law enforcement agencies that would oversee and conduct regular inspections.

Mandaue City Police Director Colonel Cirilo Acosta Jr. said the proposal also aligns with the Regional Police Office 7’s directive to strengthen oversight of business establishments.

With the Executive Order and the creation of the task force, they hope to establish a clearer mandate regarding legal scope and ensure that all actions are within the bounds of the law.

The task force will recommend to the mayor the issuance of an Executive Order to formalize its creation and operational framework.

The NBI, through NBI-Cebu District Office Agent-in-Charge Arnel Pura, has also expressed full support for the initiative, which aims to eliminate illegal activities that may be operating under the guise of legitimate IT businesses.

Authorities are calling on the public and commercial property owners to report any suspicious or alarming activities, reinforcing the shared responsibility of maintaining a safe and law-abiding business environment in the city.

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