Stock News 2011: ‘Using fake borrowers was GA practice’

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Two former Globe Asiatique (GA) employees have admitted to state prosecutors that the property developer had been using fake borrowers even before the Xevera projects in Mabalacat, Pampanga.

Venissa Panem and Francisco dela Cruz told a special Department of Justice (DoJ) panel that GA used “special buyers”—the term used by the firm to refer to fake borrowers—not only to obtain loans from the Home Development Mutual Fund or the Pag-IBIG Fund, but also from private banks.

The two admitted that they and other GA employees posed as “special buyers” so the company can get loans.

“At the behest of my superiors in Globe Asiatique, I was able to produce several hundreds of special buyers,” Dela Cruz said.

GA president Delfin Lee and other GA officials are currently facing charges of syndicated estafa (fraud) constituting economic sabotage before the DoJ for allegedly using spurious or fake borrowers to obtain housing loans amounting to over P6 billion from Pag-IBIG Fund.

http://business.inquirer.net/money/breakingnews/view/20110317-325928/Using-fake-borrowers-was-GA-practiceex-employees