House should look into P8-B GSIS losses–Tinio
ACT Teachers Rep. Antonio Tinio on Tuesday said the House of Representatives should look into the Government Service Insurance System (GSIS) following revelations that the state-run insurer had suffered more than P8 billion in investment losses, a setback being blamed on its president, Jose Arnulfo “Wick” Veloso.
In a statement, Tinio said the House needs to check on GSIS and its actuarial life, noting that the status of government employees’ pension for the coming years is of paramount concern.
He said he will file a resolution seeking the probe, adding that President Marcos should hold Veloso accountable rather than continuing “to express confidence in the embattled GSIS chief.”
“The House of Representatives must immediately investigate these alarming allegations of financial mismanagement, lack of transparency, and apparent circumvention of proper governance procedures at the GSIS,” Tinio said.
“We cannot allow the hard-earned contributions of our teachers, nurses, and other government workers to be gambled away through reckless and dubious investments,” he noted.
According to Tinio, the call from current and former GSIS board members for Veloso to resign only highlights the pressing need to check on the issues in GSIS.
“If the board members of GSIS itself, including those heading legal, risk, and audit oversight, are asking for the resignation of their president, we know the problem is serious,” Tinio said in Filipino.
“This is not just about poor investment performance—the allegations point to systematic bypass of governance safeguards, splitting of transactions to evade board review, and investments that serve interests other than those of GSIS members,” he added.
“Nearly a million teachers contribute a portion of their already meager salaries to GSIS every month, trusting that their retirement will be secure. Instead, they hear that billions may have been lost through risky investments—including P1.2 billion in an online gambling company and questionable ‘rescue’ operations for politically connected businessmen,” Tinio said.
Unified focus
In a letter dated Oct. 14, 2025, current and former high-ranking officials of GSIS called for the “immediate and irrevocable” resignation of Veloso for alleged “poor investment decisions” that led to the huge losses.
The letter was signed by Ma. Merceditas Gutierrez, chair of the legal oversight committee; Emmanuel de Leon Samson, chair of the risk oversight committee; Rita Riddle, chair of the audit committee, board member Evelina Escudero, and former board members Jocelyn de Guzman Cabreza and Alan Luga.
Gutierrez, Samson, and Riddle eventually submitted their respective resignation letters to President Marcos, citing deep divisions over Veloso’s investment strategies.
‘Moving forward’
President Marcos on Oct. 17 appointed Gilbert Tan Sadsad, Enrico Gregorio Molina Trinidad and Cenon Cruz Audencial Jr. to the nine-member GSIS board of trustees, replacing Gutierrez, Samson, and Riddle.
The GSIS issued a statement on Tuesday saying it was ready to move forward with new board members replacing those who had sought the ouster of its president and general manager, expressing confidence that its revamped leadership would now function as “a solid and cohesive team.”
“The GSIS is moving forward with a renewed and unified focus on its mission,” the pension fund for public sector workers said in a statement on Tuesday.
“We look forward to working with them, knowing their extensive experience will be invaluable as we build on the pension fund’s historic gains,” it added.
The reshuffle marked a turning point in a monthslong rift within the state pension fund, which manages nearly P2 trillion in assets for millions of government employees.
It also drew attention to issues of due diligence, risk exposure and the management of pension funds in the stock market.
Replacements
Documents showed the seat vacated by Gutierrez, a former ombudsman under the Arroyo administration who chaired the GSIS legal oversight committee, was filled by current board member Garry de Guzman, whose position, in turn, was taken by Audencial.
Samson, who led the pension fund’s risk oversight committee, was succeeded by Trinidad.
Both Audencial and Trinidad would serve as acting board members representing the banking, finance, investment, and insurance sectors, the documents showed.
Riddle, the former chair of the GSIS audit committee, was replaced by Sadsad, who was the president of the Philippine Public School Teachers Association. —WITH A REPORT FROM HALLE DANELLE YUSON
