LTFRB: Uber suspension lifted once ₱190-M fine is paid

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Metro Manila (CNN Philippines, August 25) — The Land Transportation Franchising and Regulatory Board (LTFRB) has decided to grant Uber's appeal to pay a fine so that its one-month suspension could be lifted.

However, the amount LTFRB has set is much bigger than the ₱10-million the transport network company had initially offered.

READ: Uber offers to pay ₱10 million to lift suspension

In an order released to the media late Friday night, LTFRB said Uber could resume operations once it paid an amount of ₱190 million.

The amount, which will "be remitted to the national treasury," is computed based on Uber's daily income, and the remaining 19 days of Uber's suspension. LTFRB spokesperson Aileen Lizada said Uber had claimed to earn ₱7 to 10 million everyday.

Aside from the fine, the Uber was also ordered to continue paying its partner operators ₱19,949,600 per day until its services are restored.

 

Sen. Grace Poe, chairperson of the Senate Committee on Public Services, welcomed the LTFRB's decision.

"The payment of a hefty ₱190 million penalty as a pre-condition before it can resume operations should be enough to make Uber rethink its actions and reevaluate its strategy in testing the extent of government regulations," Poe said in a statement.

Last Wednesday, a transport group had suggested that Uber should pay a ₱6-billion fine, but Lizada said the amount was too much. The group had also filed a complaint against Uber at the Quezon City Prosecutor's Office.

READ: LTFRB: Uber's fine may be more than ₱10M

Meanwhile, Poe added she was "quite disappointed" that the LTFRB issued its decision late Friday night, which means Uber won't be able to pay the fine immediately since it was after office hours and the coming Monday falls on a holiday.

"It is frustrating to think that we have a long weekend ahead of us and people will have to suffer the inconvenience of having limited transportation choices in going around the Metro with their families. How will Uber be able to immediately comply with the LTFRB decision given that banks are closed during the weekend?" Poe said.

LTFRB ordered the suspension of Uber on August 14 for violating a July 26 order to stop accepting and approving applications for accreditation.

Uber filed a motion for reconsideration the day after, which the LTFRB had denied. The ride-hailing company then offered to pay a fine of ₱10 million in lieu of the monthlong suspension.

CNN Philippines' Makoi Popioco contributed to this report.