LTFRB suspends Uber accreditation for one month

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A photo illustration shows the Uber app logo displayed on a mobile phone in central London, Britain on Oct. 28, 2016. -- REUTERS

THE Land Transportation Franchising and Regulatory Board (LTFRB) on Monday suspended the accreditation and operations of Uber System, Inc. (Uber Philippines) for a month.

In a statement, LTFRB said its board slapped a one-month suspension on Uber’s accreditation and ordered it to “cease and desist its operation of their online booking application during the period of suspension.”

The LTFRB said it “strongly recommends” that Uber extend financial assistance to its affected peer-operators during the suspension. It noted this would be “an expression of good faith as their accredited peer-operators would not have suffered the current predicament were it not for the predatory actions of respondent Uber.”

For its part, Uber Philippines said it is studying the LTFRB order, which it only received at 6 p.m. on Monday. 

The Metropolitan Manila Development Authority, the Philippine National Police-Highway Patrol Group, Land Transportation Office, and LTFRB enforcers were also given copies of the order for their enforcement.

Last Aug. 2, the LTFRB held a hearing on Uber’s continued accreditation of drivers despite a July 26 order directing ride-sharing platforms to stop accreditation and/or activation. In July, Uber and its rival Grab were fined P5 million each by the LTFRB for allowing drivers to operate without permits, violating the terms of their accreditation. — Patrizia Paola C. Marcelo