Uber offers to pay fine, appeal before LFTRB

August 16, 2017

Uber Transport Services Inc. offered to pay a big fine and submit a pleading to the Land Transportation Franchising and Regulatory Board to shorten their one-month suspension for violating their terms of accreditation.

Mike Brown, Uber Regional General Manager in Asia, said the fine is "part of rectifying what happened there."

"We’ll take responsibility for any misunderstanding and so if we can pay a fine as part of rectifying what happened there, we will do that because our top priority is to get drivers on the road and earning and to serve the people of the Philippines “ said Brown.

Brown and officials of Uber met behind closed doors with the LFTFB, Senators Bam Aquino, JV Ejercito and Risa Hontiveros at the office of Senator Grace Poe.

LTFRB Chairman Martin Delgra III said the one-month suspension on Uber, which was imposed on Monday, "stands until such time that they will file the pleading.”

Poe said Uber offered to pay a “generous” amount of fine to the LTFRB.

Poe did not say the exact amount that Uber offered to pay. But she said: "Multiply that many times" than the P5 million fine imposed by LTFRB to Uber and Grab on July 11, 2017. The two firms activated new accounts despite a moratorium put in place in 2016.

Uber agreed to submit requirements needed by LTFRB and they said they will compensate the transport network vehicle services affected by the suspension, she said.

LTFRB suspended Uber on August 14 due to the continuous activation of drivers in their platform despite an order to cease.

LTFRB will conduct the hearing on the pleading on August 23 if Uber filed has it, Delgra said.

He said Uber defied the order of the LTFRB last Monday and reactivated their website moments after the suspension order was announced.

“We have seeking them to be transparent so it came to a point where if there is an open defiance which all the senators agreed that in this case Uber is actually defiant or if I may say challenging the regulatory power of the government and for which they need to be accountable for so far as actions are concern”, he said.

He said according to Uber it was a “misappreciation of procedure”.

Brown apologized to Delgra for the “misunderstanding” between Uber and the LTFRB before the meeting with Poe.

“I told the LTFRB chairman that if there was a misunderstanding on our part relative to the LTFRB’S intention with their prior then that’s our mistake” he said.

“They are our regulator were here to respect the regulator and in this case if there was a misunderstanding then I apologize for that”, he added.

Delgra said they are “surprised” at the “complete turnaround on the manner and character” of the Uber personnel during the hearing.

“We’re actually a bit surprised that a complete turnaround on the manner and character of which they have been dealing with the LTFRB in the past twelve months. they are apologetic for they have done”, he said. Alanna Ambi/DMS