Transportation Secretary Jaime J. Bautista has approved the recommendation of the Land Transportation Office (LTO) to impose stiffer penalties on erring motor vehicle dealers and importers, especially in their registration.

LTO chief Assistant Secretary Vigor D. Mendoza said Bautista’s approval paved the way to the amendment of an LTO Administrative Order to give it more teeth against fraud relating to motor vehicle sales and documentations.

For the first offense, the penalties are the suspension of the Certificate of Accreditation of the dealers and importers for not more than six months and a P500,000 fine; and the cancellation of the Certificate of Stock Reported (CSR), sales report and registration of the vehicles.

For the second offense, the penalties are cancellation of Certificate of Accreditation and blacklisting for a period of one year from finality of order of cancellation, and cancellation of the CSR, sales report and registration of the vehicles.

Mendoza said the period of suspension will start only upon the finality of the order and decision and the payment of the fine imposed. During the period of suspension, the user log-in the parties shall be deactivated.