Metro Manila Transit Corporation
After World War II, the pre-war tranvía streetcar system in Manila was left destroyed, leaving a gap in the city's public transport infrastructure that was subsequently filled by buses and jeepneys.
[10] Around this time, the MMTC reportedly had over 2,500 bus drivers and conductresses and 491 employees in its administration and maintenance departments.
[1] By 1980, the MMTC shifted from its original role in monopolizing all public transport operations in Metro Manila to supporting private operators through integrating fewer but larger bus consortiums, acting as a government tool for achieving broader social and developmental goals, such as pioneering new services and routes.
[13] At some point in the 1990s, the Love Bus was discontinued due to significant losses incurred by MMTC.
[citation needed] Following the People Power Revolution in 1987, which led to Marcos' resignation, the subsequent Aquino administration shifted the government's focus towards deregulating and privatizing the transport sector.
[15]: 46 During the Ramos administration, a study group was created in 1994 to formulate a plan to privatize the MMTC.
[16] After multiple unsuccessful attempts to liquidate MMTC, the company was eventually sold to its blue-collar employees on April 10, 1995.
Its remaining 155 buses were then acquired and operated by four groups formed by the former employees:[17][2]: 7-3 [18] MMTC retained a skeletal workforce of 12 employees and focused on asset liquidation, auditing the four groups operating its former buses, and collecting outstanding payments from prior obligations.
[2]: 7-3 The area of that property was then developed in a joint venture between Ayala Land and the NHA into Vertis North.
Its former fleet initially consisted of buses made by industry giants Hino, Mercedes-Benz, and Volvo, then expanded into then-lesser known brands such as Ford, Fiat, and four other companies.
During the curfew under the martial law period, the MetroCom would also direct the MMTC to deploy buses to rescue stranded commuters.
The board was chaired by the general manager or governor of Metro Manila, who also served as the MMTC chairman.
DMCI responded by filing for a temporary restraining order against the public auction, which was granted on April 11, 1990.
[34] MMTC filed a motion for reconsideration of the restraining order and a petition for certiorari, but these were denied by the courts.
In 1995, the Regional Trial Court ruled in favor of DMCI, finding no legal basis for MMTC to repossess the buses or sell them at auction.
DMCI also sought damages, claiming the buses had deteriorated during the prolonged legal battle.
[34] In 2001, the Court of Appeals upheld the decision against MMTC and ordered additional compensation, including ₱2 million for DMCI's offices.
MMTC appealed to the Supreme Court, contesting the ruling on the repossession and the ₱2 million compensation.
