G.R. No. 225920 - Felimon C. Torres vs. Board of Trustees, Government Service Insurance System

Parties and Procedural History
Petitioner Felimon C. Torres filed a Petition for Review on Certiorari under Rule 45 assailing the Court of Appeals’ Decision dated March 16, 2016 and Resolution dated July 20, 2016 in CA-G.R. SP No. 136562.
The CA affirmed the GSIS Board of Trustees’ Decision of March 8, 2012 (GSIS Case No. 002-06) dismissing petitioner’s petition.

Underlying Transaction and Death of Borrower
In 1979, Second Lieutenant Dominador dela Cena Torres, Jr. (PAF pilot) entered into a Deed of Conditional Sale (DCS) for a low-cost housing unit in Muntinlupa City, financed by a GSIS housing loan of ₱76,830.00, payable via salary deductions.
On September 2, 1980, Dominador died in a helicopter crash ruled “purely accidental,” intestate, single and without issue; survived by his parents.

Post-mortem Loan Correspondence and Petitioner’s Actions
GSIS, unaware of Dominador’s death, sent letters and a Notice of Foreclosure (1988) for unpaid amortizations, then a Notice of Cancellation (2005).
Petitioner—Dominador’s sole heir by affidavit of adjudication—claimed Sales Redemption Insurance (SRI) coverage in letters (1989-1990); GSIS denied for lack of medical exam and premium payment.
On February 3, 2006, petitioner filed before the GSIS Board a petition to consolidate title in his name or, alternatively, settle loan on original purchase price; petition was denied. Petitioner appealed to the CA, which dismissed for lack of merit.

Whether Dominador’s DCS was covered by the compulsory Sales Redemption Insurance despite his failure to undergo GSIS medical examinations and payment of SRI premiums.
Whether the cancellation of the DCS and the demand to vacate are warranted, or whether petitioner—as sole heir—may avail himself of the Housing Loan Remedial and Restructuring Program under GSIS Resolution No. 48 (PPG No. 232-13).