Ombudsman lifts suspension of GSIS chief Veloso, other execs

Metro Manila, Philippines - The Office of the Ombudsman has lifted the preventive suspension of Government Service Insurance System (GSIS) President and general manager Jose Arnulfo Veloso in relation to a questionable purchase of preferred shares from a renewable energy company.

In an order dated Thursday, Sept. 18, the anti-graft body reinstated Veloso and four other GSIS executives. They are:

Jason Teng, executive vice president

Mary Abigail Cruz-Francisco, vice president

Jaime Leon Warren, officer II

Alfredo Pablo, acting officer IV.

The Ombudsman said it did not lift the suspension of Michael Praxedes, executive vice president, and Aaron Samuel Chan, vice president, as they were no longer connected with the GSIS.

“Evaluation of the case records and submitted pleadings reveals that the documents/evidence pertaining to the proper disposition of this case are already on hand,” the office said.

“Moreover, there appears insufficient ground to believe that their continued stay in office may prejudice the investigation of the case filed against the respondents,” it said.

In July, the Ombudsman suspended Veloso and six officials for alleged grave misconduct, gross neglect of duty, and violation of reasonable office rules and regulations.

It said the purchase of P1.45 billion in preferred shares from Alternergy Holdings Corporation in 2023 was not approved by the GSIS board, the shares were unlisted at the date of purchase, and there were violations of stock market requirements.

In a statement, Veloso said he respects the decision and will resume his duties

“I welcome this as a recognition of the professionalism and integrity with which I have conducted myself throughout my tenure,” he said.

“From the beginning, I have always acted in good faith and in accordance with the policies, procedures, and legal limits governing GSIS,” he added.

Senators Erwin Tulfo and Risa Hontiveros previously said they want to investigate Veloso as he invested P1 billion in DigiPlus Interactive Corporation, an online gambling firm.

READ: GSIS vows cooperation in probe on online gambling investment