Bill outlawing 'license for rent' filed at Senate

Senator Erwin Tulfo on Monday filed a measure seeking to ban the unlawful lending, borrowing, and fraudulent use of licenses in a bid to strengthen accountability and prevent further abuses in government transactions. 

Senate Bill No. 1453 or the “License Integrity Act” stressed that licenses and permits should be treated as personal and non-transferable, subject to the continuing oversight of the State. 

“Yet these privileges have often been misused and abused. A disturbing practice has emerged where grantees lend, lease, sell, or otherwise allow third parties to unlawfully use their licenses, while others fraudulently obtain or misrepresent such privileges to cloak illegitimate transactions under the guise of legality," Tulfo said in the bill’s explanatory note.

"Equally troubling are instances where public officials, whether through negligence or bad faith, issue licenses to unqualified applicants or in circumvention of the law,” added Tulfo, the acting acting chairperson of the Senate blue ribbon committee.

The bill covers not only cover the contractors’ license in the Department of Public Works and Highways (DPWH), but even the customs brokers’ license in the Bureau of Customs (BOC), and environmental licenses in the Department of Environment and Natural Resources (DENR).

In his bill, Tulfo proposed that the lending, borrowing, and fraudulent use of licenses, permits, and other concessions granted by the government be penalized with at least three years to 12 years imprisonment and/or a fine of up to P3 million.

Public officials who issue licenses to unqualified or conflicted applicants will also face administrative and criminal sanctions.

Individuals who report violations in good faith shall be protected against retaliation and may be entitled to incentives under existing laws.  — JMA, GMA Integrated News