Ombudsman suspends LTFRB, OTC Chiefs over ₱13.37-B LTO fees
The Office of the Ombudsman has ordered the six-month preventive suspension without pay of Land Transportation Franchising and Regulatory Board (LTFRB) Chairman Vigor Mendoza II and Office of Transportation Cooperatives (OTC) Chairperson Teofilo Guadiz III over administrative charges stemming from their previous roles as chiefs of the Land Transportation Office (LTO).
The suspension is linked to the continued use of the STRADCOM-operated LTO information technology system even after the rollout of its replacement, the Land Transportation Management System (LTMS).
According to the Ombudsman, there is “strong evidence” indicating the officials’ liability for grave misconduct and conduct prejudicial to the best interest of the service.
Investigators found that the parallel use of the outdated system resulted in an estimated ₱13.3 billion in additional computer fees charged to motorists from 2019 to 2025.
The Ombudsman said the preventive suspension is necessary while the administrative proceedings are ongoing, citing the gravity of the allegations and the strength of the evidence on record.
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