Latest Stories

Philippines now haven for transnational cyber-crime groups—police


MANILA, Philippines—A top Philippine National Police official said the country has become a “haven” for transnational organized crime syndicates involved in cyber pornography, cyber sex dens, illegal online gambling, credit card fraud and identity theft due to weak laws against cyber crimes and the poor technical know-how of law enforcers.

Chief Superintendent Samuel Pagdilao Jr., director of the PNP Criminal Investigation and Detection Group (CIDG), said cyber-crime mafias, mostly foreigners, have established their base of operations in the Philippines.

Pagdilao said cyber-crime operators have taken advantage of the PNP’s “organizational and technical incapability” to fight cyber crimes.

While cyber-crime syndicates use sophisticated technology, he rued that “law enforcers in the country are lagging behind in terms of training and equipment.”

Pagdilao asked Congress to prioritize passing the proposed cyber-crime prevention law to address the country’s legal inadequacies.

He also asked the PNP to support the organizational and technical capability build-up of the CIDG’s cyber-crime unit.

Pagdilao said foreign mafias have been running cyber-sex dens and cyber-pornography operations in the country.

He said Korean mafias have been behind illegal online gambling and credit card fraud operations in the country.

Pagdilao said their recent arrest here of a Korean hacker wanted by Interpol revealed that “Korean cyber-crime syndicates are operating almost unhampered” in the country.

Shin Un-Sun, 38, was arrested by operatives of the CIDG’s Anti-Transnational and Cyber Crime Division last October 4 in his hideout in Barangay (village) San Juan in Sto. Tomas, Batangas.

He was caught hacking a corporate databank in his laptop at the time.

Pagdilao said the suspect was wanted in the Philippines and in South Korea for large-scale Internet fraud.

CIDG investigators have found that Shin Un-Sun’s group had hacked the servers of the country’s leading telecommunication companies and some private corporations.

Pagdilao withheld the names of the corporations due to pending investigation.

Shin was reportedly jailed in South Korea for three years for hacking the Korean Stock Exchange.

Shin was also accused of hacking the online databank of Hyundai Capital Corp., a Seoul-based financial service company specializing in auto financing, personal loans and home mortgage.

He allegedly blackmailed Hyundai Capital Corp. to pay a huge sum in exchange for his not leaking the account information of 420,000 clients as well as 13,000 passwords from customers’ loan accounts and credit rating information that he had hacked.

Pagdilao said Shin was also able to withdraw large amounts of money from the credit card accounts of hundreds of clients based on data he had stolen from the databank of international and local banks.

Pagdilao said that during their investigation, the suspect owned up to hacking bank and credit card records as well as the e-mails of several defense officials for the past 11 years and to being part of a Korean mafia of hackers.

Shin claimed that he was brought to the Philippines to develop illegal online casino programs that have been in use in the mafia’s illegal operations for years.

Pagdilao said the CIDG has already raided seven of these illegal online casinos operated by Shin Un-Sun’s group.

Pagdilao said the suspect also revealed that Korean mafias have been using Filipinos as “e-mules” for their transnational money laundering and credit card fraud operations.

Follow Us

Follow us on Facebook Follow on Twitter Follow on Twitter

Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: credit card fraud , Crime , cyber pornography , Foreign Nationals , Global Nation , identity theft , illegal online gambling , Korea , Philippines , Shin Un-Sun , transnational crime

  • http://twitter.com/hustlergalore hustlergalore

    anne curtis has “…sweet image”.

    really? HUH! 

  • Bayushi Sai

    Hmmm… Is it coincidence that this news came out just as the AFP got a budget boost?

  • Anonymous

    Ayan….di naniniwala ang mga idiot sa Malakanyang sa sinabi ng US Ambassador na ang sadya ng good percentage of male tourists in going to the Philippines is sex. Kahit mga Pinoys na nakatira na sa US o Canada pag umuuwi…believe it or not,….sex ang isa if not the primary na sadya nila. Si Leila De Lima, Jusctice Secretary, nagalit dahil sa statement ng Ambassador at kung ano ano ang pinagsasabi against the Ambassador. Instead of taking his statement as a revelation and a challenge to find ways to improve the lot of Pinays so umiwas sila sa mga gawaing ganito, dumada lang siya ng dumada. Well, kahit naman nong nasa opposition pa siya, puro dada lang naman ang mga pinaggagawa. Ngayong Secretary na siya for how long now???…….tell me what she accomplished so far……..BIG FAT “O”…..nothing!!!!!!! Maliban of course sa mga statements ‘good-in-prints’ na gustong marinig ni Noynoy. Paano aabante ang Pilipinas sa ganitong klase ng mga leaders? Inept lahat…..contrary sa mga leaders ng MILF. Utuin lang si Abnoy kumakagat na agad. Dahil sa mga walang kuenta ang mga leaders natin, at since na inutil ang mga PMAers ngayon na nakaupo sa mga matataas na puesto ng AFP, baka MILFs na ang mag-take-over sa Pinas in the near future…….WAG NAMAN!

  • http://twitter.com/boymatiao isko daya

    “Philippines now haven for transnational cyber-crime groups—police”

    Safe country for criminal enterprises and extortionist rebels. Where can you find a rebel group (after ambushing and killing 22 military men and 3 policemen) safeguarded by no less than the President himself? Then he has the gall to urge people to be calm and patient. Only in the Philippines.

    • Fred Santos

      Only in the Philippines, you’re absolutely right. I don’t know if he has the courage or there’s money involved. How can he take this abuse, deceipt, and barbaric actions by MILF? What if one of those killed is his relative? Will he be acting the same? Why can’t he feel what the family of those soldiers that were massacred are feeling? Bale wala bang lahat iyon? What will the other soldiers think of their commander in chief? Laglagan na lang ba? How can you expect loyalty from the soldiers when at times like this, their commander in chief ay bahag ang buntot? I would hate to be a soldier under him.

Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94


  • Bus kills pedestrian before falling into Olongapo City ravine – report
  • Bernice Lee arrested by NBI team
  • Group: Bataan cop killed to stop him from exposing colleagues linked to drug ring
  • Chemical Engineer licensure examination
  • Troubled history fuels Japan-China tension
  • Sports

  • NLEX fights off Derulo Accelero to remain unbeaten
  • Mayweather diehard Bieber eats pride, poses with Pacquiao for photo op
  • Power Pinays rip Singapore to enter quarters in Asian volley tilt
  • PBA D-League: Waves edge skidding Superchargers
  • Ilad’s last-second basket lifts Gems over Bakers
  • Lifestyle

  • Miss America: Don’t suspend teen over prom invite
  • Transitions and resurrection in the performing arts
  • ‘Archaeology tour’ of Cebu’s heritage of faith
  • Historic Fort Bonifacio tunnel converted into a septic tank
  • ‘Imports’ from London, and play of the year
  • Entertainment

  • Arrest warrants out vs. Deniece Cornejo, Cedric Lee, et al over serious illegal detention
  • Lindsay Lohan says she had a miscarriage
  • Discovery network cancels Everest jump
  • ‘Captain America’ stays strong atop US box office
  • Easter musings
  • Business

  • Century Pacific Food sets IPO price at P13.75 per share
  • Oil prices down in quiet Asian trade
  • Asian shares mixed in holiday-thinned trade
  • BDO seen keen on bidding for Cocobank
  • Bataan freeport investment pledges up 1,302%
  • Technology

  • PH has slowest internet in Southeast Asia
  • Nintendo’s trailblazing Game Boy marks 25th anniversary
  • Nasa’s moon-orbiting robot crashes down
  • Netizens pay respects to Gabriel Garcia Marquez
  • Nokia recalls 30,000 chargers for Lumia 2520 tablet
  • Opinion

  • Gigi’s home
  • Palace stonewalls on MRT inquiry
  • Couple of things too
  • There is plenty of water behind Wawa Dam
  • Triduum thoughts of a young boy
  • Global Nation

  • Balikatan could spoil peace talks, says militant group
  • DFA officers hold workshop on aiding human traffic victims
  • Canada in communication with PH on toxic wastes
  • Filipinos in Middle East urged not to panic amid MERS-CoV scare
  • Obama on mission to quiet Asia skeptics
  • Marketplace