The Supreme Court of the Philippines released a decision stopping the distribution and releasing of 300,000 pairs of vehicle license plates and the 400,000 license plates for motorcycles by the Land Transportation Office (LTO). The said license plates were turned over by the Bureau of Customs (BOC) last April 15, 2016.
Based upon the temporary restraining order (TRO) issued during Tuesday’s full court session, the Supreme Court granted the plea for a restraining order sought by Reps. Jonathan dela Cruz and Gustavo Tambunting.
The controversial license plates at the hands of LTO were confiscated and seized from Power Plates Development Concepts Inc./J. Knieriem B.V. Goes (PPI-JKG) for non-payment of taxes and customs duties. After being confiscated the license plates were turned over by the BOC to LTO in connection with the LTO Motor Vehicle License Plate Standardization Program (LTO-MVLPSP).
Before the TRO was decided by the Supreme Court, the petitioner Dela Cruz and Tambuting told the SC that the Commission on Audit (COA) had issued a notice of disallowance on July 13, 2015 and had required the LTO- DOTC (Department of Transportation and Communication) and PPI-JKG to return and deliver to the Bureau of Treasury the advance payment made by LTO for the plates amounting to P477.9 million.
Thus, they said, the confiscated plates cannot be donated or transferred by the BOC and DOF to the LTO because of COA’s notice of disallowance.