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Senate Blue Ribbon to LTO-7: Go after erring motorcycle dealers

By: Delta Dyrecka Letigio - CDN Digital | April 21,2021 - 02:09 PM

CEBU CITY, Philippines — The Senate Blue Ribbon Committee has instructed the Land Transportation Office in Central Visayas (LTO-7) to go after the motorcycle dealers allegedly falsifying documents and cheating their customers of proper registrations.

The Blue Ribbon Committee wrapped up their hearing on the matter on April 20, 2021, with an instruction to LTO Chief Assistant Secretary Edgar Galvante, the Bureau of Internal Revenue (BIR), and LTO-7 regional director Victor Emmanuel Caindec to go after the dealers who have been charging undue interest rates to motorcycle owners and yet they have not filed proper taxes.

“Go after them and don’t let them get away with it,” said Senator Richard Gordon.

The Senate committee said these motorcycle dealers should be brought justice for the “thousands of motorcycle owners who’ve been deprived of their proper rights of ownership.”

The hearing was conducted following the decision of the LTO on penalizing three Cebu branches of a motorcycle dealer with a P100,000 fine for violating Republic Act 4136 or the Land Transportation and Traffic Code.

Senator Gordon asked Caindec if there were only three motorcycle owners that were apprehended for having no plate attached to his motorcycle unit and failure to carry a certificate of registration.

“Mr. Chair we already submitted to the NBI Region 7 apart from the 18 show cause orders and the other reports that we have gathered including the reports na galing sa mga kliyente na nagreklamo. So we have submitted to NBI 7 for (the) request for (an) investigation of all the records that we have also forwarded to BIR,” said Caindec in the hearing.

The director added that the same records were submitted to the BIR. The Senator has also ordered the BIR to go after these dealers following the decision of the LTO Central Office.

“Magbibigay sila ng installment, ayaw nila ng cash, mas mahaba ang kita nila dun, pero palalabasin nila binayaran sila so niloko na tayo,” Senator Gordon reiterated.

Senator Gordon also warned the public officials on the “Regulatory capture,” wherein the “bodies regulating industries become sympathetic to the businesses they are supposed to be regulating.”

“Regulatory capture can mean monopolies can continue to charge high prices to the detriment and great disadvantage to the people,” he said.

On February 24, 2021, the LTO Central Office released a decision of the Resolution dated September 10, 2020, against the motorcycle dealers for violations of RA 4136 to LTO Administrative Order 2014-023.

READ: Prosecutor: File raps against motorcycle dealers’ officers, employees

On March 15, 2021, the Mandaue City Prosecutor’s Office has recommended the filing of information for nine counts of falsification of commercial documents under Article 172 of the Revised Penal Code against seven employees and several John Does of these motorcycle dealer.


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TAGS: Bureau of Internal Revenue, Land Transportation Office in Central Visayas, LTO-7, motorcycle dealers, Senate blue ribbon committee, Vic Caindec

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