House panel to probe Metrobank after P900M fraud exposé

THE House committee on banks said Friday that it will investigate Metrobank after a newspaper exposed that the lending giant has been a victim of fraud that cost them at least P900 million in stolen funds.

In a statement, House banks panel chair Eastern Samar Representative Ben Evardone said lawmakers will look into possible violations and noncompliance to protocols which may have allowed the fraud to happen.

“The discovery of ‘fake accounts’ in Metrobank is very alarming. The adverse effects of the existing ‘fake bank accounts’ is more damaging… because this causes actual money to depositors,” Evardone said.

“The committee will also ask top officials of Metrobank why the scam happened. We will look into their protocols and procedures why fake accounts were allowed to be opened,” he added.

Aside from the bank’s officials, the panel will also summon Bangko Sentral ng Pilipinas (BSP) to shed light on how the scam took place.

“We will invite the BSP because being the regulatory body of all banks, it should be more proactive in its regulatory functions to protect the depositors,” Evardone said.

The Philippine Daily Inquirer broke the story on the fraud, saying a high-ranking official of Metrobank orchestrated the scam by opening fake accounts to which loans were deposited.

Metrobank on Friday issued a statement confirming the incident.

“Upon our own discovery, the bank immediately caused the arrest of the individual involved in the case, who has been detained by the authorities since Monday,” the bank said. SunStar Philippines