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Las Piñas Trial Court convicts ex-GSIS Family Bank employee for theft


The Regional Trial Court Branch 255 of Las Piñas City convicted a former employee of the closed GSIS Family Bank (A Thrift Bank) for theft, in violation of Article 308 of the Revised Penal Code.

In the Judgment dated May 30, 2023 issued by Presiding Judge Victor R. Aguba, a former Accounting Assistant of the GSIS Family Bank (Talon Branch) was convicted of theft in the amount of P1.7 million and was sentenced to imprisonment for a minimum of three years up to a maximum of seven years and five months. Likewise, said former employee was ordered to pay GSIS Family Bank the amount of P1,703,920.00, representing the funds the closed bank lost from the accused’s fraudulent transactions. The accused filed a Notice of Appeal on even date.

Investigations showed that the accused took advantage of her position in the bank and the trust entrusted to her by her colleagues by gaining access to their user IDs and passwords that allowed her to create fictitious deposits and transactions. The accused even admitted to one of the prosecution’s witnesses, the former Vice President of the GSIS Family Bank’s Branch Banking Group, that she committed the fraudulent transactions from November 2006 to March 2008 resulting in the embezzlement of P2,138,194.00 from the bank to be able to pay off the loan she acquired from her frequent casino gambling.

GSIS Family Bank was ordered closed by the Monetary Board (MB) of the Bangko Sentral ng Pilipinas on May 13, 2016. The MB also designated the Philippine Deposit Insurance Corporation (PDIC) as statutory receiver of the bank. The PDIC took over the bank and its 21 branches also on May 13, 2016.

The PDIC remains relentless in its pursuit of justice against erring bank owners, officers, who take advantage of their positions in the bank and even unscrupulous parties who take advantage of the deposit insurance system for their gain. The Corporation’s vigorous legal actions are crucial for protecting the interests of bank depositors, safeguarding the Deposit Insurance Fund, and deterring bank officials and individuals from abusing the deposit insurance system.

The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963, by Republic Act No. 3591 to provide depositor protection and help maintain stability in the financial system by providing deposit insurance. Effective June 1, 2009, the maximum deposit insurance coverage is P500,000 per depositor. All deposit accounts of a depositor in a closed bank maintained in the same right and capacity shall be added together. A joint account shall be insured separately from any individually owned deposit account.

PDIC news/press releases and other information are available at the website, www.pdic.gov.ph.

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