Hontiveros seeks e-wallet probe amid scams

Metro Manila, Philippines – Senate Deputy Minority Leader Risa Hontiveros is calling for a legislative inquiry into unauthorized transactions, scams, and irregularities involving mobile financial services in light of recent issues with leading providers GCash and Maya.

Hontiveros on Wednesday filed a resolution urging the Senate leadership to assign a committee to conduct the probe.

She cited reports from GCash users who complained of fraudulent transfers overnight, on Nov. 8 to 9. They said money was deducted through consecutive transactions of P1,000 or P2,000, with screenshots from concerned users gone viral.

GCash took responsibility for the incident, attributing it to errors in its "system reconciliation process." The company confirmed that it has refunded all affected users and said that their accounts remain secure.

The resolution also highlighted phishing attempts disguised as official text messages from GCash and Maya, another e-wallet provider.

“These messages were apparently sent using an International Mobile Subscriber Identity (IMSI) catcher, a device used to monitor – and intercept – mobile data traffic by posing as a cell site,” Hontiveros said.

Both companies have warned subscribers about the scheme, advising them to avoid clicking on links in unsolicited text messages.

While the fintech sector is primarily regulated by the Bangko Sentral ng Pilipinas, Securities and Exchange Commission, Insurance Commission, and other government agencies, Hontiveros emphasized the need for a comprehensive legislative framework.

“The list of risks and complications which threaten the earnings of mobile financial service users grows longer everyday. We urgently need upgraded policies to ensure that mobile financial service providers and fintech firms observe the necessary level of care and accountability in handling digital transactions,” she said.