The Land Transportation Franchising and Regulatory Board (LTFRB) is preparing possible sanctions, including fines, suspensions, or revocation of franchises, against ride-hailing companies and individuals implicated in alleged irregularities in the Transport Network Vehicle Service (TNVS) sector, LTFRB Chairman Atty. Vigor Mendoza II said Wednesday.
In an interview with DZRH’s Dos Por Dos, Mendoza said the agency has issued show-cause orders and is reviewing widespread complaints of irregular onboarding practices, including allegations that applicants were charged unofficial fees ranging from P25,000 to as high as P90,000 to be entered into ride-hailing platforms.
Mendoza said the LTFRB is currently gathering evidence and leads on what he described as a possible systemic abuse in the onboarding process, noting that the matter may involve not only transport network companies (TNCs) but also individuals within government offices.
“Marami na tayong leads dyan. Maraming lumantad para ilatag itong anomalyang yan. Kasama yan sa ating recommendation sa mga cases to be filed laban sa hindi lang sa mga TNCs o iba't tao, pati na rin sa taong gobyerno, LTFRB, kung meron man nagkasala, kakasuhan natin lahat yan.”
He said cases will be recommended for filing if sufficient documentation supports the allegations.
He added that hearings are scheduled on May 14 and 15, with the agency targeting to submit its recommendations to the Department of Transportation (DOTr) by mid-June on possible next steps.
Mendoza said investigators are examining whether there was collusion between TNCs and other parties in the alleged scheme, which may have allowed applicants to bypass standard procedures in exchange for payment.
He warned that accountability measures will cover all parties found responsible, whether from the private sector or government personnel, as part of a broader effort to address what he described as long-standing systemic issues in the sector.
“Yan nga ang utos sa atin ni Secretary Banoy. Leave no stone unturned. Wala tayong sasantohin dyan. Kung sino man ang maging accountable, pasensyahan na lang. Kasi nga ang raming na-perwisyo. Ang daming problema.”
Citing the need for order in the TNVS industry, Mendoza said the agency is also reviewing supply levels of drivers and vehicles to prevent oversaturation that could affect driver incomes. He noted that the LTFRB is coordinating with driver groups to assess measures that would balance livelihood concerns with regulatory control.
“Separately, imi-meeting ko rin yung mga drivers groups para mapag-usapan na ano ang next steps rin para sa kanila.”
The LTFRB chief said penalties under consideration include suspension, revocation of accreditation, or monetary fines, citing a previous case involving Uber, which was fined P190 million after a suspension in 2018.
Mendoza also said initial findings showed around 230,000 “ghost riders” or questionable entries in the system, which he said underscore the scale of the alleged irregularities being investigated.
He added that the agency is also working to streamline and digitize its processes to reduce delays and minimize opportunities for corruption, citing a significant backlog that existed when he assumed office.
Despite the ongoing probe, Mendoza said ride-hailing services will not be immediately disrupted, noting the presence of multiple platforms that could sustain public transport demand if enforcement actions are taken against any single operator.
“We have to study that also kung paano natin matutulungan sila. Sabi nga ni Secretary Banoy, di naman talaga nila kasalanan nila kung kumapit talaga sa patalim. So how can we maintain their livelihood na hindi naman masira yung oversupply ng mga sasakyan.”
