The Land Transportation Franchising and Regulatory Board (LTFRB) has suspended the operations of newly accredited transport network company (TNC) RL Soft Corp., operator of California-based ride-hailing app inDrive, due to complaints on haggling of fares.
In a statement, LTFRB said it issued a 15-day suspension order starting on January 23, until inDrive presents proof of compliance with its Memorandum Circular 2019-036 that provides for fare rates for transportation network vehicle services.
Haggling of fares is a breach of the terms and conditions outlined in its accreditation as a TNC.
“Haggling of fares not only goes against the principles of transparency, but also jeopardizes the welfare of both passengers and drivers. We take these allegations seriously and are conducting a thorough investigation to determine the extent of the violation,” LTFRB said in a statement.
“We remind all Transportation Network Companies that adherence to the terms and conditions of accreditation is essential to maintaining the integrity of our public transportation system. The LTFRB will continue to enforce policies that prioritize the safety, fairness, and efficiency of transportation services for the benefit of the commuting public,” it added.
Last December, LTFRB accredited inDrive as a TNC.
The company plans to start its commercial operations in Metro Manila and initially in key five cities — Baguio, Iloilo, Cagayan de Oro, Butuan and Bacolod — within the first quarter of the year.
The ride-hailing service operator will activate its services in Metro Manila in the first quarter.
Prior to its Metro Manila launch, the inDrive app is now available for download online and passengers can already explore and use the services while inDrive continues to beef up its roster of drivers in the city.
inDrive provides passengers with a list of available drivers upon confirmation of a ride request. They can check the drivers’ profiles, which contain the driver’s rating, vehicle model, ride history and estimated time of arrival, and based on this information, select the driver.
The inDrive app has been downloaded over 200 million times and was the second most downloaded mobility app in 2023. It operates in over 700 cities in more than 46 countries.
