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Advocates Philippines
9 More Motorcycle Taxi Firms Called Out By LTFRB Over 'Excess Units' Issue
Photo credit: LTFRB
The Land Transportation Franchising and Regulatory Board (LTFRB) is widening its investigation into ride-hailing services, summoning nine more motorcycle taxi platform providers over discrepancies in the number of units they are allowed to operate.
In a statement released May 5, the agency said the latest show cause orders bring the total number of transport network companies (TNCs) and motorcycle taxi platforms under investigation to 30. The probe centers on allegations that some firms onboarded more vehicles and riders than what was authorized.
The LTFRB, under the guidance of Giovanni Lopez, stressed that only units with proper authority should be allowed on ride-hailing apps. But the issue came to light during the distribution of fuel subsidies, when submitted company lists reportedly exceeded the official LTFRB records.
“That raised serious red flags,” said LTFRB Chairman Vigor Mendoza II, warning that companies found violating regulations will face consequences. “They have a lot of explaining to do,” he added.
The agency has long been pushing for greater transparency, including access to the internal databases of these platforms. However, legal limitations have prevented full oversight. Despite earlier assurances from companies, the LTFRB said the subsidy process exposed inconsistencies—particularly in the actual number of active units operating on their apps.
The nine motorcycle taxi firms were ordered to explain why their authority to operate should not be suspended or revoked. Among the violations cited are exceeding the approved cap on riders and vehicles, and failing to maintain their original fleet—some of which allegedly shifted to other platforms or stopped operating altogether.
A hearing has been set for May 15, where the companies are expected to respond to the allegations.
As the investigation deepens, the LTFRB is sending a clear message: compliance isn’t optional, and accountability in the ride-hailing sector is now under sharper scrutiny.
In a statement released May 5, the agency said the latest show cause orders bring the total number of transport network companies (TNCs) and motorcycle taxi platforms under investigation to 30. The probe centers on allegations that some firms onboarded more vehicles and riders than what was authorized.
The LTFRB, under the guidance of Giovanni Lopez, stressed that only units with proper authority should be allowed on ride-hailing apps. But the issue came to light during the distribution of fuel subsidies, when submitted company lists reportedly exceeded the official LTFRB records.
“That raised serious red flags,” said LTFRB Chairman Vigor Mendoza II, warning that companies found violating regulations will face consequences. “They have a lot of explaining to do,” he added.
The agency has long been pushing for greater transparency, including access to the internal databases of these platforms. However, legal limitations have prevented full oversight. Despite earlier assurances from companies, the LTFRB said the subsidy process exposed inconsistencies—particularly in the actual number of active units operating on their apps.
The nine motorcycle taxi firms were ordered to explain why their authority to operate should not be suspended or revoked. Among the violations cited are exceeding the approved cap on riders and vehicles, and failing to maintain their original fleet—some of which allegedly shifted to other platforms or stopped operating altogether.
A hearing has been set for May 15, where the companies are expected to respond to the allegations.
As the investigation deepens, the LTFRB is sending a clear message: compliance isn’t optional, and accountability in the ride-hailing sector is now under sharper scrutiny.
May 5, 2026
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