MANILA (October 20) — A rift has erupted within the Government Service Insurance System (GSIS) as several current and former trustees called for the resignation of President and General Manager Jose Arnulfo Veloso over alleged P8.8-billion investment losses—claims the agency strongly denies, citing record-breaking earnings.
In a letter dated October 14, six trustees and ex-board members accused Veloso of approving “high-risk” placements that violated fiduciary duties and “threatened the stability” of the pension fund for 2.6 million government workers. They cited investments in firms including Monde Nissin Corporation, Nickel Asia Corporation, Bloomberry Resorts Corporation, Digiplus Interactive Corp., and Alternergy Holdings Corporation, along with a flagged P456-million deal with Figaro Coffee Group and the planned purchase of The Centrum property.
The signatories—including Ma. Merceditas Gutierrez and Emmanuel de Leon Samson—also cited audit and Ombudsman findings on Alternergy investments that earlier led to Veloso’s preventive suspension.
Pension fund stands by its numbers
The GSIS, however, rejected the accusations, calling them a “difference in perspectives” and highlighting what it described as strong financial performance.
As of August 2025, GSIS assets stood at ₱1.92 trillion, with net income surging to ₱100.02 billion—51% above target. Total income hit ₱231.06 billion, extending the fund’s life to 2058.
“These results are the direct outcome of a stability-focused strategy and expert asset management—delivered under the very leadership that is now being questioned,” the agency said.
Veloso, who has returned to his post following suspension, continues to lead the institution amid mounting internal pressure.
