The Office of the Ombudsman has ordered a six-month preventive suspension without pay for Land Transportation Franchising and Regulatory Board (LTFRB) Chairman Vigor Mendoza II and Office of Transportation Cooperatives (OTC) Chairperson Teofilo Guadiz III over administrative charges tied to their past tenures as chiefs of the Land Transportation Office (LTO).
Issued on August 18, 2026, the suspension stems from the prolonged, parallel use of the legacy IT system operated by Stradcom Corporation alongside its intended replacement, the Land Transportation Management System (LTMS).
According to the Ombudsman, there is “strong evidence” indicating that Mendoza and Guadiz may be held liable for grave misconduct and conduct prejudicial to the best interest of the service.
The Ombudsman noted that the failure to fully migrate LTO operations to the LTMS resulted in an estimated P13.37 billion in extra computer fees charged to motorists between 2019 and 2025. The preventive suspension was issued to prevent the respondents from potentially influencing witnesses or interfering with ongoing administrative proceedings.
In response, Mendoza affirmed his commitment to addressing the charges once formally served with the directive.
“I fully respect the decision of the Office of the Ombudsman in relation to its ongoing investigation,” Mendoza said, adding that he has yet to receive an official copy of the order.
Mendoza stated that the document will serve as the basis for presenting legal arguments and evidence to defend his actions and clear his name regarding decisions made during his time heading the LTO.