Uber has filed a second appeal with the Land Transportation and Franchising Regulatory Board (LTFRB), offering to pay a P10 million fine to avoid a one-month suspension.
In a statement, Uber said that it was “urging the LTFRB to accept a fine rather than a suspension as a solution, to reduce the burden on the Filipino rider and driver community.”
“We are also offering financial assistance to driver partners, as we work to urgently resolve this matter, and hope to be able to serve the Philippines again as soon as possible.” it added.
The ride-hailing company noted that it was willing to pay up to P30 million to regulators.
A list of partner operators, along with the corresponding assistance to be provided should the suspension push through, was also submitted to the LTFRB.
Uber was suspended on Monday for allegedly continuing to sign up drivers despite an LTFRB order.
The company apologized for the “misunderstanding” but LTRB Chairman Martin Delgra III said “it’s not a misunderstanding, it’s an open defiance against the regulations of the board.”
LTFRB Board Member Aileen Lizada also said, “we do not need your apology, we need your compliance.”
Lizada said that Uber’s offer to pay P10 million would be discussed in a hearing on August 23.
Not a TNC?
Companies have been scrambling to fill the gap made by Uber’s suspension and one of them, US-based Arcade City, found itself quickly slapped down by regulators after announcing the start of operations in the Philippines.
After being ordered to halt its operations on Wednesday, the firm issued as statement saying, “we forgive the LTFRB for ordering Arcade City to ‘cease operations’ before they understood what Arcade City is and is not, specifically how Arcade City is different from Uber.”
“Arcade City does not provide ‘pre-arranged transportation services for compensation’ and therefore does not fit the LTFRB definition of a transportation network company,” it said.
Arcade also said that it would continue recruiting and activating drivers in the Philippines.
The LTFRB has warned Arcade that it could face sanctions and Lizada said the board would seek assistance from the Department of Information and Communications Technology to shut down the company’s app.