2 bus firms lose franchise, fined P1 M

MANILA, Philippines – The Land Transportation Franchising and Regulatory Board (LTFRB) has canceled the franchise of two bus companies for operating outside their designated routes.

In a resolution issued on Monday, the LTFRB ordered the operators of Dimple Star Transport and CUL Transport to pay a fine of P1 million each for colorum operations.

LTFRB board member Ariel Inton said the agency canceled the franchise of 10 buses of Dimple Star and six buses of CUL Transport.

The firms’ violation was discovered when the LTFRB inspected their terminals during its Oplan Krismas.

“The board’s decision should serve as a warning to bus operators not to engage in colorum operations,” Inton said.

He said a bus of Dimple Star (TYR-393) and another unit of CUL Transport (HPV-746) were apprehended for operating out of line without securing a special permit from the LTFRB last December.

During a hearing at the LTFRB, the operators of the bus companies said they failed to secure a special permit as the issuing period had ended.

The bus firms were ordered to surrender the license plates of the affected units.

Dimple Star was fined an additional P5,000 for breach of franchise and incorrect route markings.

The LTFRB also canceled the registration of the bus companies to operate public utility vehicles.