Contractor to LTO: Pay P4-billion fees

MANILA, Philippines – Land Transportation Office computerization contractor Stradcom Corp. has reiterated its demand that the LTO settle P4 billion in unpaid computer fees after the Court of Appeals (CA) issued a ruling reaffirming the ownership and management control of businessman Cezar Quiambao over the information technology firm.

The CA, in a decision handed down Aug. 20, upheld an Urdaneta regional trial court’s (RTC) resolution in a case filed by the group of businessman Bonifacio Sumbilla, declaring it as a nuisance and harassment suit.

The court found that the Sumbilla group’s alleged corporate secretary was neither an officer nor stockholder of Stradcom.

Armed with the CA ruling, the firm’s lawyers urged the LTO to immediately release the almost P4 billion the LTO has withheld from payment to Stradcom for the computer infrastructure it set up and its maintenance of the LTO database.

In a letter addressed to LTO chief Virginia Torres dated Aug. 31, Stradcom’s counsels asked that the LTO acknowledge and comply with the immediately executory CA ruling and withdraw the LTO interpleader complaint filed with the Quezon City RTC.

Quimbao said that in the spirit of fair play and to dispel any rumors of conspiracy on her part, Torres should acknowledge and comply with the CA ruling.