Grab owes passengers P4 billion, says solon

Grab Philippines owes its passengers over P4 billion after it imposed an "illegal" P2-per minute fare charge for a period of 10 months, PBA party-list Representative Jericho Nograles said on Wednesday.

Nograles made the statement after the Land Transportation Franchising and Regulatory Board (LTFRB) ordered Grab to reimburse its passengers of the excess charges through rebates.

The rebate will take effect for 20 days from the time the decision becomes final or when Grab commences the implementation.

"The LTFRB Order confirms that Grab Philippines has engaged in illegal overcharging affecting 67 million total rides from June 2017 to April 2018. They have lied to and cheated their riders and have also endangered the livelihood of their partner-drivers," Nograles said in a statement.

"Their illegal acts are also tantamount to large scale estafa," he added.

According to Nograles, each Grab ride has an estimated length of 30 minutes. For a total of 67 million rides during the span of 10 months, the overcharges equate to a total of P4.02 billion.

"This whopping figure doesn't even take into account price surge which could double the fare cost for the distance traveled. Grabe po ang tinabo sa atin ng Grab," he said.

Nograles pointed out that the fine and refund should be shouldered by Grab alone, since the company unilaterally imposed the overcharges unbeknownst to its drivers.

“Walang kinalaman ang mga driver sa illegal na patong. If Grab will charge the drivers, I will be the first to file a criminal case versus Grab management,” he said.

'High-tech barker'

The lawmaker likewise urged the LTFRB to ensure that Grab charges its commission from the booking fee, not from the entire fare cost.

"Booking lang naman ang papel nila. High-tech barker lang in short ang Grab and nothing else. It doesn't spend a cent on the vehicles, maintenance, fuel etc. These are all shouldered by their so-called driver-partners. Even in cases of accidents, it's the driver who is burdened with all the expenses," Nograles said.

"The only thing that Grab facilitated was the booking of the ride through their smart phone app. To me, Grab only deserves a commission from a booking fee," he added. — BM, GMA News