Zenaida Ignacio, aged 60, and her three grandchildren aged four, six and 12 were severely hurt after being hit by a passenger jeepney in Tondo, Manila.
All four victims were treated for multiple woulds and bruises.
The driver, identified as Ernesto Lagundi, also landed in hospital due to injuries he sustained when a vigilante mob chased him down after he tried to escape the scene of the accident.
The accident took place at 11pm on Juan Luna street in Gagalangin, Tondo. The grandmother was reportedly pushing a wooden cart with her grandchildren when Lagundi hit them with his speeding jeep.
Witnesses at the scene of the accident say that while the victims were thrown onto the concrete pavement, the suspect tried to make his escape but hit a parked car.
The angry crowd then took a battered Lagundi to the nearest police station where he was found to be drunk. He later admitted to the police he was drinking but denied having hit anyone. Charges are being filed against him on multiple counts.