Group seeks probe on German contractor blamed for LTO woes

A PUBLIC transport group on Sunday urged Congress and the Senate to investigate German contractor Dermalog allegedly involved in controversies that repeatedly disrupted operations of the Land Transportation Office ( LTO), notably delays in the issuance of driver’s licenses and renewals of vehicle registration.

Meanwhile, a highly placed source at the LTO said their chief, Jose Art Tugade was already looking into the issue, adding that “definitely there would be sanctions against Dermalog, including the possible scrapping of the Dermalog contract.”

The National Public Transport Coalition (NPTC) charged that after 14 extensions and two-and-half years delay, Dermalog has yet to deliver in full the Land Transportation Management System (LTMS) despite substantial payments already made by the LTO, amounting to 80 percent of the P3.4-billion contract.

NPTC president Ariel Lim claimed that Dermalog’s non-compliance with its contract has resulted in delays in the processing of driver’s licenses and motor vehicle registrations, as well as LTO other services.

Lim asserted that the irregularities “breed more corruption and opens the door for the seamless registration of colorum public transport and even carnapped vehicles.”

“Actually, we have already requested the Senate and the House of Representatives to look into the failure of Dermalog to deliver the complete system because it is the cause of the recurring glitches in the LTO system. The Dermalog’s LTMS is a complete failure, and was so disadvantageous to the government,” Lim said.