Ermita’s ‘kotong’ groups back in business

With Christmas barely 70 days away, “kotong” syndicates have resumed their illegal operation in the Ermita district, openly defying the crackdown launched against them by Manila Mayor Alfredo Lim.

The seven “kotong” groups are back in business and have been operating untouched by the authorities from the City Hall and the Manila Police District (MPD), Ermita residents told The Star.

“The syndicates are now openly operating in Ermita and victimizing mostly workers coming from abroad and their families or foreign tourists,” the residents claimed.

In his first week in office last July, Lim launched a massive campaign against “kotong” by closing at least nine establishments suspected to be fronts of one syndicate’s illegal operations.

The Star exposed the operation of a syndicate headed by Rosy David after they shortchanged a certain Nelson Datuin Gumiran, a retired US Navy personnel, of P340,000.

After Lim launched his crackdown, David’s “kotong” operators – identified only through their aliases as Malou Mao, Emi Kabayo, Ongkee, Leony Bukbok and Loida David – fled to the provinces “to cool off while the heat is on.”

Thinking that Lim has lowered his guard, the group returned to Ermita last month and resumed their illegal activities.

“Their modus operandi is to entice OFWs (overseas Filipino workers) or their families and foreign tourists to convert their dollars at a high price. But when nobody is looking, they would shortchange their customers,” an Ermita resident told The Star.

The syndicate had a heyday these past weeks because OFWs are remitting dollars to their families and relatives with Christmas just around the corner.

Last week, elements of the anti-fraud division of the MPD raided the “kotong” syndicates’ lairs and arrested several operators, Ermita residents said.

However, the suspects were released after they allegedly agreed to shell out P1,300 each week to every personnel in the anti-fraud division, they claimed.

According to the residents, a number of policemen from the MPD and the City Hall detachment were monitored collecting “payola” money from the “kotong” syndicates every Friday and weekends.