The Contact Center Association of the Philippines (CCAP), the largest IT and Business Process Management (IT-BPM) industry group in the country, has sounded the alarm over recent fraudulent activities linked to two Cebu-based companies falsely presenting themselves as legitimate call centers.
The incidents have sparked renewed calls for industry-wide vigilance to protect the credibility of the Philippine outsourcing and BPO industry — a global leader in customer service and business process outsourcing.
Fraudulent BPO Operations in Cebu Under Investigation
Authorities are investigating two firms at the center of controversy: BMJ Data Processing Services and Innocentrix Philippines.
BMJ, located in Barangay Kasambagan, Cebu City, was implicated in an alleged online investment scam after a viral exposé by content creator “mrwn.” Following the exposé, police raided the company’s office on May 20, seizing electronic devices for forensic analysis. The company reportedly lacked a valid mayor’s permit and is being investigated for possible violations of the Financial Products and Services Consumer Protection Act and the Cybercrime Prevention Act.
Meanwhile, Innocentrix Philippines faces more serious allegations. In December, the U.S. Department of Justice filed a complaint accusing the company of a large-scale telemarketing and publishing scam that allegedly defrauded elderly American authors of approximately $44 million.
Innocentrix has denied these allegations, with legal counsel asserting that the company’s services were open to all writers and that staff were paid accordingly.
CCAP Clarifies: Firms Not Members, Membership Rules Are Strict
CCAP Chairman Mitch Locsin clarified that neither BMJ nor Innocentrix is a registered member of the association. CCAP enforces rigorous membership requirements, including ownership verification and onsite inspections, to ensure legitimacy and compliance.
"While the incident doesn't directly affect our members, it reinforces our need to remain vigilant as an industry," said Locsin during a press briefing ahead of the Contact Islands 2025 summit held in Cebu City.
CCAP President Haidee Enriquez emphasized the importance of collective accountability and encouraged stakeholders to report unethical practices.
"Protecting the integrity of the Philippine BPO industry is a shared responsibility," Enriquez said. "Our sector’s economic contribution extends far beyond our employees. We impact communities, families, and the national economy."
Strengthening Anti-Fraud Tools: The One Trust Link Database
In response to rising concerns over fraud, CCAP is ramping up the use of its One Trust Link database. This platform, developed three years ago in partnership with the IT and Business Process Association of the Philippines (IBPAP), tracks individuals linked to scams or fraudulent operations.
This tool is now being positioned as a vital resource for BPO firms conducting due diligence on employees, subcontractors, and partner firms.
Contact Islands 2025 Focuses on AI, Innovation, and Industry Growth
Despite the controversies, the Contact Islands 2025 summit in Cebu City pushed through, with robust discussions centered on AI integration, customer experience innovations, and future-proofing the Philippine contact center industry.
The event reaffirmed the country’s position as a global outsourcing hub and highlighted Cebu’s rising role as a digital innovation hotspot.
Cebu's 24/7 City Hall Proposal Receives Praise from BPO Sector
Another highlight of the summit was industry support for the proposed “Mayor of the Night” initiative, which seeks to keep Cebu City Hall operational 24/7 — a move aimed at accommodating night-shift BPO employees who often struggle to access government services during normal business hours.
“This would be a game-changer,” said Enriquez. “It shows a deep understanding of the needs of our BPO workforce. It’s these kinds of local initiatives that elevate Cebu’s status as a digital city model.”
She credited mayor-elect Nestor Archival Sr. and incoming vice mayor Tomas Osmeña for the idea, describing their collaboration as “synergy in leadership.”
“The national government has long supported our industry, but we need that same energy from local government units (LGUs),” she added. “And while many countries aim to be the next Philippines, many LGUs here want to be the next Cebu.”
Cebu: Setting the Benchmark for Emerging Digital Cities
With its progressive policies, tech-forward initiatives, and strong private-public partnerships, Cebu City is being positioned as the North Star for emerging digital cities in the Philippines.
“Cebu is showing what’s possible when government and industry collaborate. This city is more than just a BPO hub — it’s leading the way for digital transformation nationwide,” Enriquez concluded.
