Grab, Uber fined P5M each for accreditation violations


Posted at Jul 11 2017 01:36 PM | Updated as of Jul 11 2017 02:12 PM

MANILA (UPDATED) - Regulators on Tuesday fined ride-sharing services Uber and Grab P5 million each, citing violations of the terms of their accreditation.

The companies failed to screen vehicle operators, show proof of car registration and allowed the transfer of accreditation certificates said Land Transportation Franchising and Regulatory Board chairman Martin Delgra.

The LTFRB has been tightening rules governing the app-based firms. 

Earlier this year, the LTFRB required vehicle owners to personally process their accreditation, instead of just relying on Uber or Grab. 

It also required the ride-hailing apps to show proof of vehicle registration within their respective mobile apps or face suspension, in an effort to weed out "colorum" vehicles.

Brian Cu, Grab country manager, said the decision was better than suspension or cancellation of their accreditation.
Ride-hailing apps like Grab and Uber are popular in the Philippines, especially in Metro Manila, where traffic jams are a daily misery for 12 million people.

The Philippines is also among the first countries in the world to regulate such services.--with a report from Jeff Hernaez, DZMM