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LTFRB suspends InDrive over fare violation charges

By: Catherine Cueto

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THE operation of the latest ride-hailing app InDrive was ordered suspended by theLand Transportation Franchising and Regulatory Board after commuter groups complained of alleged fare rules violations.

 

It ordered RL SOFT Corp., the operator of InDrive to cease operations temporarily pending the result of the investigations.

 

"The operations of the RL SOFT CORPORATION, operating under the name inDrive, has been temporarily suspended by the LTFRB until it complies with MC 2019-036: Fare Rates For Transportation Network Vehicle Services(TNVS)," the LTFRB said.

 

Among the InDrive's business model had included the “haggling” when agreed upon by both the driver and the commuter. 

 

But LTFRB Chairman Teofilo Guadiz III said this was a "clear breach of the terms and conditions outlined in its accreditation" as a TNVS.

 

"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," it added.

 

InDrive was suspended from Jan. 23 until it complies with MC 2019-036, LTFRB said. 

 

It had 15 days to comply.

 

The LTFRB had approved the accreditation of the California-based mobility firm in November 2023.

 

RL Soft Corp for comments has yet to issue a statement as of this posting