th images menu user export search eye clock list list2 arrow-left untitled twitter facebook googleplus instagram cross photos entrep-logo-svg

LTFRB Fines Grab Philippines Php10-M for ‘Overcharging’ Customers

Company ordered to reimburse riders who paid the Php2 per minute extra charge from June 5, 2017 to April 19, 2018
By Pauline Macaraeg |
LTFRB Fines Grab Philippines Php10-M for ‘Overcharging’ Customers

The Land Transportation Franchising and Regulatory Board (LTFRB) ordered Inc., the company operating Grab in the Philippines, to pay Php10 million in penalties for allegedly overcharging riders, according to a report from Rappler.


The order, issued July 10, seeks to penalize Grab Philippines for the alleged unauthorized collection of the Php2 per minute addition to the fare in June 2017. The collection of the extra fare was suspended by the LTFRB in April 2018 after a complaint was file by PBA party-list Rep. Jericho Nograles.


In the document uploaded by Rappler dated July 9, LTFRB also ordered Grab to reimburse passengers who were charged with the Php2 per minute of travel time from June 5, 2017 to April 19, 2018 through rebates that can be availed in their future rides.

LTFRB said the rebates will be availed of only for 20 days from the time its decision becomes final or when Grab Philippines starts the implementation of the rebate, whichever comes first. 


"We stand by the legality of the Php2 per minute fare component. We would like to reiterate that it is legal, pursuant to the DO 2015-011. We are currently studying our legal options regarding LTFRB's order. But no matter how we decide to move forward from this, be assured, Grab will stay,” said Brian Cu, Grab PH's country manager, in a Facebook post. Grab’s petition to lift the suspension on the Php2 per minute charge is still pending with the board.





Pauline Macaraeg is Entrepreneur PH's data journalist

Latest Articles