Philippines LTO defies Ombudsman, keeps dual IT systems

The Land Transportation Office (LTO) in the Philippines has taken enforcement action against 37 car and motorcycle dealers for failing to process and release Official Receipts, Certificates of Registration and license plates, issuing fines, suspending accreditations and blacklisting some dealers for a year.

Separately, the LTO is continuing to operate the Stradcom‑developed LTO‑IT system alongside the government‑owned Land Transportation Management System (LTMS) despite a May 29 directive from the Office of the Ombudsman ordering an immediate stop to the Stradcom platform. LTO Executive Director Martin Ontong told lawmakers the agency will maintain both systems while awaiting a Supreme Court ruling on the LTMS contract and cited technical and legal issues. The agency also announced plans to blacklist German firm Dermalog Identification Systems GmbH over alleged contractual violations, which Dermalog denied, stating it still controls the LTMS database.