LTO penalizes 8 dealerships for delayed motor vehicle registrations

The Land Transportation Office (LTO) slaps fines on eight dealers of cars and motorcycles for taking too long to register vehicles sold under them. 

The agency means business when it comes to timely registration of new motor vehicles

In a statement issued Tuesday, the agency said that these outlets violated LTO Memorandum Circular 2021-2294 or the ‘Rules on the Initial Registration of Motorcycles and Penalties for Violations Thereof.’ The order stipulates that dealers have a maximum of 11 days to register new four-wheeled vehicles, while registration for new motorcycles should be completed in five days at most.

Three of the business involved were motorcycle dealers, with one taking nine days to complete the registration, while the other two did not release the registration of motorcycles purchased from their stores until 11 days after the sale. 

The LTO Manufacturer, Assembler, Importer, Rebuilder, Dealer and Other Entities (MAIRDOEs) accreditation committee issued resolutions against the erring dealers. Each has been slapped with a fine of Php 20,000 and a stern warning that a repeat violation could face more serious consequences. 

Buyers of new motorcycles should have their registration documents and license plates after five days at most

LTO Chief Assistant Secretary Jose Arturo Tugade reiterated that dealers must comply with rules and regulations regarding the timely processing of new vehicle registrations. These include the initial registration, issuance of the Official Receipt (OR) and Certificate of Registration (CR), as well as the release of the physical license plates.  

“Dealers have the responsibility of making sure that the vehicle registration processing time is observed strictly. Any delays may have repercussions on the public or client trying to purchase a vehicle in terms of their need for the vehicle, especially if it is needed for business,” he said.   

LTO Chief Jose Arturo Tugade vowed that there will be no more delays in new vehicle registrations

Delayed registrations on the part of motor vehicle dealers could also add to the current license plate backlog, which Tugade said is being unfairly blamed on the agency. “We don’t want that to happen anymore during my watch,” he added.

The LTO recently ordered car dealerships to prepare a timeline for processing new vehicle registrations in accordance with the agency's memo, and that it should be prominently displayed within their premises for the benefit of customers. Penalties for failing to do so range from Php 100,000 to outright blacklisting and cancellation of the dealer's business permit.       

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