Ex-GSIS execs face graft charges over 2004 deal

Former Government Service Insurance System (GSIS) President and General Manager Winston Garcia and 10 other executives of the agency are facing graft charges over an alleged anomalous contract in 2004.

The Office of the Ombudsman has filed graft charges against Garcia before the Sandiganbayan in connection with the awarding of a contract for an electronic membership card project in 2004.

Other coaccused included in the graft case were former GSIS officials vice president Enriqueta Disuanco, senior vice president Benjamin Vivas Jr., board of trustees chair Hermogenes Concepcion Jr., and members Elmer Bautista, Fulgencio Factoran, Floriño Ibañez, Aida Nocete, Reynaldo Palmiery, Ellenita Tumala-Martinez and Leonora Vasquez-de Jesus.

The Ombudsman said the GSIS executives violated Section 3 (e) of Republic Act No. 3019 or the Anti-Graft and Corrupt Practices Act when it awarded the multi-million GSIS eCard project to Union Bank of the Philippines in May 2004 “without complying with the requirements/procedures” provided by law.

The Ombudsman said the former officials “took advantage of their official positions through manifest partiality or evident bad faith or gross inexcusable negligence.”

Under Section 3 (e) of R.A. No. 3019, a public official, in the discharge of his official functions, is prohibited from inflicting any undue injury or giving unwarranted benefits, advantage or preference to any person or entity.

The Ombudsman noted that the officials also violated Section 49 of the Implementing Rules and Regulations of Republic Act No. 9184, or the Government Procurement Reform Act.

Ombudsman said the GSIS awarded the project to Union Bank “despite the fact the closing date for submission of bid proposals has not been closed and prior to the recommendation of the committee tasked to evaluate the proposals.”

According to GSIS, the eCard is “by far, the most innovative government-issued identification card today.”

“This is because the eCard Plus is not just a GSIS membership ID Card, it is also a GSIS transactional card, disbursement card, ATM Card, VISA debit card, hospitalization discount card, medicine discount card, and tuition discount card, among others,” the agency said. RC