MANILA – The Anti-Red Tape Authority (ARTA) has filed complaints against two Land Transportation Office (LTO) officials before the Office of the Ombudsman for ease of doing business violations.
Marvin Ken R. Du, the authorized representative of Du Ek Sam, Inc.; Des Marketing, Inc.; Des Strong Motors, Inc.; Desmark Corporation; and Premio Corporation, filed a complaint against Victor Emmanuel C. Caindec, regional director of the LTO Region 7 (Central Visayas).
Investigation showed that the complainant’s corporations applied for initial registration of motor vehicles and initial accreditation and renewal of accreditation of their branches in Region 7 from 2019 to 2020.
According to the LTO Citizen Charter’s 2019 (3rd Edition), the initial registration of motor vehicles should only take one hour and 20 minutes while both initial registration of motor vehicles and renewal for accreditation should only take two hours and 40 minutes.
After printing the Certificates of Registration (CRs), the applicant should present the Official Receipts (ORs) to the releasing or supply officer for the release of their documents, which would only take 10 minutes.
Du Ek Sam, Inc. filed 15 vehicle motor registrations that were released in three batches.
The OR for the first batch, dated Jan. 22, 2020, and the ORs dated Feb. 3, 2020, were only released on March 3, 2020. For the next batch, the ORs were dated March 17, 2020 while the CRs were dated May 26, 2020.
On the last batch of registrations, the ORs were dated Aug. 7, 2020 while the CRs were dated Aug. 10, 2020, but they were only released on Aug. 11, 2020.
The same pattern was seen in hundreds of motor vehicle registrations filed by the complainant corporations from 2019 to 2020.
LTO Region 7 has also not released the corporations’ Certificates of Accreditation even after they submitted complete requirements and paid the necessary fees despite the provision in its Citizen’s Charter that these should only take up to 12 days to process.
The corporations were also reportedly required by the government office to submit additional documents not included in its Citizen’s Charter.
The complainant filed a letter of complaint to ARTA on June 30, 2020.
A clarificatory hearing was set on Sept. 25, 2020 but was rescheduled to Sept. 30, 2020 after the LTO official filed a manifestation.
In his explanation, Caindec said all his actions were consistent with existing rules and regulations. He noted that they have released 19,868 records from the complainant corporations from January to September 2020.
ARTA received Caindec’s urgent motion to inhibit and terminate further proceedings and the complainant’s opposition with motion for immediate resolution. A final clarificatory hearing was set on Feb. 11, 2021.
ARTA recommended that Caindec be held liable for violation of Section 21, paragraphs (a), (b), and 75 counts of paragraph (e) of Republic Act No. 11032 or the Ease of Doing Business and Efficient Government Service Delivery Act of 2018.
The Authority also asked the Ombudsman for the LTO official’s preventive suspension pending the investigation of his case.
Also, ARTA recommended that the case be referred to the Presidential Anti-Corruption Commission for further investigation for possible violation of Republic Act No. 3019 or the Anti-Graft and Corrupt Practices Act, as well as any other laws, rules, and regulations.
Cut-off scheme
Meanwhile, the Authority also charged LTO Taguig extension Chief Alfeo Tadena Jr., who was found to be implementing a cut-off scheme in the said office.
Investigation showed that ARTA Compliance Monitoring and Evaluation Office Director Alice Fernandez went to LTO Taguig extension at around 4:30 p.m. on Feb. 18, 2021 to personally renew and change ownership of her automobile.
However, she witnessed the said office was implementing a cut-off scheme. Fernandez reported her experience to ARTA, that then sent a Notice to Explain to Tadena.
The LTO official categorically denied the violation but in a letter on March 1, 2021, Benjamin V. Santiago III, the Regional Director of National Capital Region East, mentioned the steps they took to address their problems with their customer service.
ARTA recommended that Tadena be held accountable for violation of Section 21 (f) of R.A. No. 11032. (PR)
