The Land Transportation Franchising and Regulatory Board (LTFRB), under the guidance of Department of Transportation (DOTr) Secretary Giovanni Z. “Banoy” Lopez, warned motor vehicle owners against operating as transport, logistics, and delivery services without the proper permits from the agency.
Acting LTFRB Chairman Atty. Greg G. Pua, Jr. said the issue was raised by legitimate operators and was confirmed by the investigation conducted by the agency.
And based on the investigation report, private motor vehicle owners that include trucks and vans are illegally catering to online e-commerce marketplaces and shopping platforms as transport, logistics, and delivery services.
“This is a fair warning to all those involved in this modus. We have already started our operations against you in coordination with law enforcement agencies. Your only options so far are to stop or get the necessary permit for your operation,” said Acting Chairman Pua.
He said such a modus is considered as colorum and is very unfair to legitimate operators who have been complying with regulatory requirements as a way of respecting the existing rules and regulations and the rule of law.
He said the LTFRB’s Law Enforcement Unit was already tasked to intensify its anti-colorum operations nationwide, particularly against private motor vehicles engaged in unauthorized Truck-for-Hire Services which cater the online e-commerce marketplaces and shopping platforms.
Acting Chairman Pua explained that securing the Certificate of Public Convenience (CPC) or valid authority issued by the LTFRB is not only about regulations but also about road safety since motor vehicles being used for this purpose are being subjected to roadworthiness inspections.
This is in line with the instruction of President Ferdinand “Bongbong R. Marcos, Jr. to implement fair rules and regulations to ensure that the interest and welfare of those in the transport sector are protected.
Acting Chairman Pua explained that the illegal services such as this modus is in violation of the Joint Administrative Order No. 2014-01 and is punishable by impounding of their unit and a fine of up to P200,000 per unit.
He also emphasized that in relation to the Public Service Act, as amended by Republic Act No. 11659, this kind of operation also requires ownership and control by Filipino citizens following the Constitutional limitation of 60%-40% ownership.
And Acting Chairman Pua said the violation on this aspect has a harsher penalty with imprisonment of six (6) years and one (1) day to twelve (12) years, or a fine not exceeding P2 million, or both.
“Let us make our country a better place to do business. And it starts with complying with the rules and regulations,” said Acting Chairman Pua.
“Otherwise, we will be forced to do it our way, and this means, law enforcement. We in the LTFRB do not want it that way so as much as possible, do your share on this aspect by respecting the existing rules and regulations on this matter,” he added.
