Reports reached this office that the MAIDRS Section, Operations Division of Regional Offices no longer require accredited dealers to report their sales on a regular basis. Instead, prior to registration of motor vehicles, buyers/end-users proceed to the MAIDRS Sec., Operations Division, Regional Office and present the CSR with the Sales Invoice, which is later authenticated by the personnel assigned in the sales evaluation. The authenticated Sales Invoice then becomes one of the mandatory documentary requirements in the initial registration of the motor vehicle.

This practice is in violation of the existing LTO Laws, Rules and Regulations, as follows:

• Item B of MC No. 33 dated Oct. 06, 1977 states that “”Every dealer in motor vehicles acting as agent for the sale of one or more makes, styles, or kinds of motor vehicles keeping the same in stock or selling same or handling with a view of trading the same shall likewise submit dealer’s report required in no. 2, hereof.”
• Sec. 5 (c) of BP Blg. 74 dated June 2, 1980, which states that the “dealers shall submit to the Director of Land Transportation a report concerning the sale or transfer of or any other transactions involving motor vehicles”;
• Sec. 3 of Circular No.84C-DIR-013 dated July 23, 1984 which states that “The Registration Division, under no circumstances issue any confirmation of the commercial sales invoice, unless there is in its records/files an existing stock and sales report submitted by the assemblers, manufacturers, or importers as the case maybe, and the sales invoice must be accompanied by sales certification with the corresponding stencil of engine and/or chassis numbers.
•  item no. 5 of MC No. 513-2004 dated April 30, 2004 stating therein that “the franchised dealers while applying for PNP-TMG Clearance shall simultaneously submit to LTO Regional Office the sales report, sales invoice and the stencils of the engine and chassis/frame numbers in diskette form with hard copies which shall be uploaded in the MAIDRS in the Regional Office within two (2) days”;

In order to streamline the registration process and to ensure that only legitimate sale of motor vehicles and component parts are entered in the database, hereunder are the guidelines and requirements to be followed in sales reporting, to wit:

1. Accredited dealers shall report their sales to the MAIDRS Section, Operations Division of the Regional Offices regularly at least once a week or as often as necessary, with the following documentary requirements in diskette form together with the hard copies, to wit:
   
   
   • sales report, using the attached form
   • sales invoice, 2nd  copy or certified xerox copy
   • sales certification, refer to attached form
   • stencil of engine/chassis/frame numbers
   • certified xerox copy of certificate of stock reported (CSR)
2. MAIDRS Section, Operations Division, Regional Office shall within two (2) days upon receipt of the sales report, evaluate the supporting documents and upload/encode the details of the sale in the MAID Registration System;
   
   
3. Buyer/end-user submits to the LTO district office all mandatory documentary requirements for the initial registration of the motor vehicle;
   
   
4. Evaluator at the LTO district office initiates the registration transaction, evaluates the supporting documents and verifies the stocks and sales data in the MAIDRS electronically (on-line confirmation of sales transactions per MC No. RTL-MC-03461) using the engine or chassis number as the search criteria, employing hard validation procedure to ensure correctness and validity of data.

Any official or employee found violating this memorandum circular shall be subjected to disciplinary action in accordance with existing office and Civil Service rules and regulations.

All orders, circulars and memoranda which are in conflict herewith are hereby deemed superseded.

Strict compliance is hereby enjoined.

Adopted: 10 Aug. 2006