By Alexandria Dennise San Juan
Another ride-sharing company was summoned by the Land Transportation Franchising and Regulatory Board to explain its alleged illegal charging of P2 per minute travel time.
The LTFRB issued a show cause order to Hype Transport Systems Inc. after receiving a report from a concerned citizen that the transport network company was illegally charging extra travel time on top of its approved fare.
Based on the order dated July 13, 2018, the LTFRB asked Hype to explain through writing why its franchise should not be suspended or cancelled “for allegedly charging P2 per minute of travel time without authority from the Board.”
The TNC was also ordered to attend the hearing of the case on Tuesday, July 24.
According to the LTFRB, Hype stated a base fare of P40, a P13.50 to P14 per kilometer rate, and a surge rate of up to 1.5 times during peak hours.
However, the TNC failed to declare the P2 per minute travel charge.
Hype was among the new TNCs accredited by the LTFRB last April to enter the ride-sharing industry after Uber-Grab merger.
Meanwhile, Hype President Nick Escalante assured the public that “Hype is transparent and abides by the law, and rules and regulations concerning TNCs.”
“Hype is one with LTFRB in its aim of providing quality choice for the riding public,” Escalante said.
Early this month, the LTFRB imposed a fine of P10 million to Grab for overcharging after “illegally” imposing P2 per minute fare to its riders.