DOTC uncovers 807 more fake franchises in Baguio, Benguet

By Dexter A. See

BAGUIO CITY – The Cordillera office of the Department of Transportation and Communication has uncovered 807 fraudulently issued franchises to public utility vehicles in the Baguio-La Trinidad-Itogon-Sablan-Tuba (BLIST).

These were fake certificates of public convenience (CPCs) for various types of public utility vehicles.

Lawyer Federico J. Mandapat Jr., DOTC regional director, said the illegally issued franchises ballooned to over 2,000 which is causing serious problems on traffic, especially in the city’s central business district area and other urban centers.

To correct the erroneously and fraudulently issued franchises, the DOTC is working for the legalization of such franchises considering that owners have reportedly invested a substantial amount in securing the vital documents to gain the CPCs to operate taxis, jeepneys, buses and garage vans

Mandapat said fake franchises had non-existent case numbers, double entries and
questionable motions in docketing of said records which caused doubt on the legality of their issued CPCs for their respective vehicles.

According to him, the DOTC central office is currently working out appropriate measures to curb the proliferation of fraudulently issued franchises which is contributory to the worsening traffic congestions in the populated areas of the Baguio and Benguet areas.

At the same time, Mandapat said the questionable franchiseswere in gross violation of a memorandum issued by the Land transportation Franchising regulatory Board in 1996 and 1998 granting a moratorium on the issuance of franchises to public utility vehicles in the BLIST area upon the urgent request of the previous city council.

The DOTC official claimed his predecessors insisted in issuing franchises in violation of the existing moratorium which has been questioned before the LTFRB central office and awaiting decision whether or not to cancel the same.

Another violation cited by Mandapat was that LTFRB Region I based in San Fernando City, La Union had been granting inter-regional franchises to various types of vehicles which is considered unlawful since the power to issue inter-regional franchises is vested to the LTFRB central office.

Because of the increasing number of fake franchises which are being uncovered by the agency, Mandapat said they will consistently enforce existing laws to prevent vehicles with questionable franchises from travelling since it will pose a serious threat to public safety.

Mandapat is also recommending the temporary suspension of approval of the sale and transfer of franchises until such time that all questionable CPCs shall have been corrected to legitimize their operations.

The city government wants a moratorium on the issuance of franchises to public utility vehicles to lessen the traffic problems along major streets that affect the local tourism industry.