GSIS executives seek chief's ouster over P8.8 billion loss

Several current and former trustees of the Government Service Insurance System (GSIS) have called for the immediate resignation of President and General Manager Jose Arnulfo Veloso, citing alleged poor investment decisions that they claim caused P8.8 billion in losses.

- 

In a strongly worded letter dated October 14, six GSIS trustees and former board members urged Veloso to “immediately and irrevocably” vacate his post, accusing him of approving high-risk transactions that “violated fiduciary duties” and “threatened the stability and integrity” of the fund entrusted to millions of government workers.

“Your (Velasco’s) actions and championed risky transactions have compelled us to act. We contend that these initiatives are not merely questionable, but they directly violate the fiduciary duties of the GSIS,” the trustees wrote.

“Marked by a disturbing lack of transparency and offering no clear benefit to the institution, these ventures threaten the very stability and integrity of the fund we are sworn to protect. Your insistence on pursuing them, despite clear and substantial risks, is a grave betrayal of the trust placed in you by the GSIS’s members,” they added.