The Land Transportation Franchising and Regulatory Board (LTFRB) has summoned nine motorcycle taxi firms for allegedly exceeding the authorized number of drivers. This action comes as the board issues show-cause orders demanding explanations from the companies.
The firms are required to clarify why their operating authority should not be suspended or revoked for onboarding more riders than permitted. A hearing is set for May 15.
In addition to exceeding driver limits, the LTFRB has noted that these companies failed to maintain their accredited vehicles, leading to service abandonment for users.
The LTFRB has issued a total of 30 summonses to various ride-hailing services suspected of illegally onboarding drivers. Only vehicles authorized by the LTFRB should be allowed to operate on these platforms.
The situation escalated during a recent government fuel subsidy distribution, revealing discrepancies in the number of accredited drivers reported by some companies.
Following this revelation, the Department of Transportation has launched a comprehensive investigation into the inflated lists of beneficiaries.
LTFRB Chair Vigor Mendoza II emphasized the need for transparency among ride-hailing companies, indicating a push for mandatory access to their databases despite potential legal challenges.
They have a lot of explaining to do on this matter and we will make sure that those who defied our regulations will pay the price.
LTFRB Chair Vigor Mendoza II